Manipur RERA: Real Estate Development Authority

The Government of India is trying to implement the RERA Act in every state of our country including the northeastern states like Manipur, Meghalaya, Mizoram, Nagaland, and Sikkim. Apart from these, West Bengal has formed its own Regulatory Authority in terms of Real Estate which is known as West Bengal Housing Regulatory Authority (WBHIRA), but other states which fall under RERA Act do not have their separate web portal and also maintain the rules and regulations of the Act as well.

The RERA Act was made to include the big real estate developers, builders, or promoters, and also agents, from all over India. Now, the RERA Act has around 22 states and 6 union territories, who already maintain the guidelines of the act and are performing accordingly. Most of the states have online portals, from where you can access the benefits and get regular updates and information about the RERA Act in the particular state. But at the same time, there are few states, who don’t yet have an online portal and the RERA Act has not been implemented on them so far, but the government is also looking into this matter, and we can say that soon the northeastern states will join the club of RERA Act.

The main role of the RERA Act?

The introduction of the Real Estate Regulatory Authority Act or the RERA Act in 2016, not only enhanced the whole real estate business but at the same time encouraged the public to buy more and more properties, which in turn helped the buyer or investor, the builder or developer and most importantly helped in our country’s economy.

Some benefits under the Manipur RERA Act:

• A percentage of only 10% is allowed as advance by the builders from the buyers.
• Only the carpet area of a property is taken into consideration over the super built area.
• A refund of the full amount to be done to the investor in case of a change in investment decision towards a property.
• Approval from the buyer or investor is a must by the developer to proceed with a project.
• Original copies of the important documents should be submitted by the builder to the authority and later returned to the buyer intact.
• Within 5 years all the problems faced by the investor should be solved by the builder and in case of complaint raising, then within 30 days, it must be solved.
• In case of any losses faced by the buyer or the investor while the project is on, the builder or developer is liable for compensation.

What is there a registration fee under RERA?

The Manipur RERA registration fee for:

• The residential projects that are within 2000sq.m and doesn’t exceed this much, have to pay a fee of Rs. 10 per sq.m
• The residential projects that are more than 2000sq.m but don’t exceed 5000sq.m, have to pay a fee of Rs. 20 per sq.m
• The residential projects that are more than 5000sq.m, have to pay a fee of Rs. 30 per sq.m
• The non-residential properties like commercial properties have to pay a fee of Rs. 30 per sq.m.

The housing authority in West Bengal has to pay the following charges in the procedure:

• The complaint filing charge is Rs. 1000
• The appeal filing charge is Rs. 1,000

What documents are required for registration under the RERA Act?

All the necessary documents along with the hardcopy of the application form have to be submitted by the builder or developer. The following is the list of documents required for the completion of the whole process.

• The builder has to submit his/her PAN Card
• The balance sheet of the income tax filing of the last 3 years
• The carpet area, the plot size, some facilities have to be explained and cleared by the builder
• The builder has to provide a declaration, that he has right on the property
• The builder has to disclose the location of the property
• Some important details about the plot should be submitted
• An approval or concernment letter from the owner of the land or plot by the builder has to be done before proceeding with the project
• Every detail of the project has to be shared by the builder with the owner and the plan also has to be shown
• The information and details about the people who would be working under or with the builder should be submitted.

What are the punishments and consequences of the RERA Act?

There might be a time when the builder denies to abide by the rules and the regulations of the Manipur RERA Real Estate Regulatory Authority Act and also forces the investor to agree to the unfair offers him. But now under RERA Act, certain rules are set for the builders or promoters, the agents, and also for the buyers of properties. Everybody is liable to punishment if fails to abide by the rules of the RERA Act while building or buying a project. Now let’s see, what happens if any of the above-mentioned parties doesn’t obey the Manipur RERA rules.

Promoters

• The properties which skip the process of registration has to face a penalty of 10% of the total cost of the project.
• In the case of law violation, the promoter can get a penalty of imprisonment of almost 3 years may be with or without paying a fine. Along with this, he has to pay 10% of the total cost of the project.
• For providing misleading information and raising false hopes, the promoter would be liable to pay a penalty of 5% of the total expense of the project.
• For many other violations, the promoter would be liable to pay a penalty of 5% of the total expense of the project.

Agents

• The properties which purposely skip the process of registration may have to face an extended penalty of 5% of the total cost of the project, which got extended from Rs. 10,000 per day.
• If the agent fails to comply with the authorities, he may have to face a penalty of 5% of the total cost of the project
• If the agent fails to comply with the tribunals, he may have to face a penalty of 5% of the total cost of the project

Buyer or Investor

• If the buyer or the investor fails to comply with the authorities, he may have to face a daily penalty that may get an extension of 5% of the total cost of the property
• If the buyer or the investor fails to comply with the tribunal, there won’t be any mercy and he has to face imprisonment for a year or maybe more or less and also may or may not have to pay a fine of 10% on the total estimated cost of the property.

Also Read    RERA Act: How RERA Benefits the Home Buyers

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