What is RERA?
RERA stands for the Real Estate (Regulation and Development) Act, 2016, which establishes Real Estate Regulatory Authorities in Indian states to regulate the real estate sector, promote transparency, and ensure customer rights. RERA is also the deciding factor in the event of any disputes and helps ensure accountability. RERA registration helps establish a property’s legitimacy and ensures that the purchase proceeds in accordance with the legal terms of Indian real estate law.
In Pune, RERA refers to the Maharashtra Real Estate Regulatory Authority, which grants initial permission to begin construction of a structure. It is not easy or straightforward to obtain a RERA registration, as certain rules must be followed and specific documents and inspections must be completed before a building is issued a RERA number. It is only after these matters are addressed that a RERA registration is possible. There are also certain regulations under RERA that must be followed judiciously.
What Are The Conditions For a RERA Registration?
Certain aspects of RERA registration must be completed before obtaining the registration number. The aspects are as follows –
1. There is mandatory registration:
Under RERA, there is mandatory registration for any property that exceeds 500 square meters or has more than eight apartments. A building under these numbers may not need to register right away, but it is best that they do, as this establishes a paper trail that will authenticate the building and the process.
2. There will be Project Transparency:
It is a given that developers will have to keep updating their plans and their project details, such as layouts and land titles, as well as completion timelines on the RERA website, making all the details available for any potential and present buyers. There should be no confusion regarding the building, the land, or the materials.
3. They Need To Have Financial Discipline:
Of all the funds collected from buyers, 70% of it must be held in an escrow account so that construction never has to lag behind due to a lack of funds. This is to ensure that construction does not stall due to cash flow issues. Putting the money in escrow will keep it intact and use it only for the building.
4. There will be legal protections:
The act itself is designed to stop fraud, guard against any undue delay in construction, and offer a platform where buyers can file complaints should any arise. There is certainly no doubt that RERA is primed and leans towards buyers, ensuring they are neither duped nor taken advantage of.
All this is well and good, but how is a person to check the RERA registration themselves before buying a property?
How to Verify the RERA Status of a Project in Pune?
The process is very easy and easily accessible, so long as you know the RERA number of the property you are buying. You can check the RERA status for a property you are buying by following the given steps-
1. Visit the Website:
Since there are RERA registrations set up in most, if not all, of the states of India, to check the specific property in a particular area, you will have to check the RERA website assigned to that particular state. For Pune, which falls under Maharashtra, it would be the MahaRERA (Maharashtra Real Estate Regulatory Authority), and their website is here.
2. Navigate to Search:
When you open the webpage, you will have to scroll just a bit down, and you will come upon a selection of choices that will note ‘Search For MahaRERA Information.’ You will find that the information can be submitted under different sections; here, select ‘Registered Projects.’
3. Search For The project:
Here, you will have to fill in the particulars provided by the developers or builders, then click the search button. You will need the project name, the developer’s name, or the specific RERA registration number (e.g., P5XXXXXXXXX) to find the project exactly, so remember to find out these details before you sit down to search.
4. Verify the Details:
When you input the above information and search, you will be led to the plans of the said project, and you will be able to see for yourself the application details, uploaded documents, layout plans, and the revised completion date. This will enable you to check how truthful your developer has been and remains.
5. Check the Validity:
After you have checked the above information to your satisfaction and have come to the conclusion that your developer is keeping you in the loop perfectly, don’t forget to check the validity of the RERA registration. The project status must be ‘Registered’ and not expired or cancelled. Another matter of note is that you check that the project is ‘RERA Approved’ and not just ‘RERA Registered,’ as the approval comes only with all legal and environmental clearances.
If you are buying any property in Pune from any developer or builder, do your due diligence and always remember to check the RERA registration of the property before you make the purchase. That is the only way you, as the buyer, can remain safe and protected. Go only to the official MahaRERA website and check all the information as per your developers, and check for yourself. The property you are buying should never become a liability, so long as you stay smart and alert about it.
