RERA: What Home Buyers Need to Know
RERA Act Overview
The Real Estate (Regulation and Development) Act, 2016, was enacted to protect home buyers and ensure transparency in real estate transactions.
Key Provisions
Mandatory Registration: All projects with plots exceeding 500 sq.m or 8 apartments must register with RERA.
Carpet Area Definition: Standardized definition ensures buyers know the exact usable area.
Project Delays: Developers must pay interest for delays. Buyers can claim refund with interest or seek compensation.
Buyer Protection
- 70% of funds must be kept in escrow account
- Project details and approvals must be disclosed
- Structural defects covered for 5 years
- Fast-track dispute resolution
- Penalties for misleading advertisements
How to Verify RERA Registration
Visit your state's RERA website and search for the project using registration number. Check project details, approvals, and complaint history before making a decision.
