RERA Real Estate Laws Bring Major Changes to India’s Real Estate Sector
In 2024, the Real Estate Regulatory Authorities (RERAs) across India made significant strides in protecting the rights of homebuyers. With landmark decisions and new regulations, RERA is transforming the real estate landscape and ensuring transparency, accountability, and fairness in the industry. Here are the biggest RERA moves that have occurred this year, shaping the future of real estate in India.
Mandatory Parking Details and Allotment Letters
Starting with MahaRERA, it directed developers to include specific information about parking spaces in the sale agreement. This decision ensures clarity for homebuyers and mitigates potential disputes in the future. Additionally, developers must now issue an allotment letter to provide further transparency in the buying process.
Crackdown on Non-Compliant Projects in Uttar Pradesh
In Uttar Pradesh, the UP-RERA took a firm stance on non-compliant projects. It flagged 400 projects as “in abeyance” for failing to upload essential land and map documents on the portal. This action demonstrates the authorities’ commitment to ensuring that developers comply with regulations and adhere to the necessary processes.
Revolutionary Bank Rules in Gujarat
Leading the way, Gujarat introduced a revolutionary rule that developers must maintain three separate bank accounts for each project. This move enhances financial transparency and prevents the unauthorized withdrawal of funds. Homebuyers can now feel more confident knowing that their payments will be utilized properly and efficiently.
New Guidelines for Senior Citizens’ Housing
MahaRERA introduced guidelines specifically aimed at addressing senior citizens’ housing needs. These guidelines cover essential aspects like design, accessibility, safety features, and green principles. They ensure the well-being and comfort of retired citizens while also guaranteeing transparency and adherence to the newly established standards.
Innovative Structural Repair Rule in Odisha
Odisha implemented a groundbreaking rule requiring developers to set aside 1% of the project cost in a RERA-designated account for five years after completion. This provision ensures that homeowners aren’t burdened with costly structural repairs after moving into their new homes.
Simplified Filing Process in Uttar Pradesh
UP-RERA made developers’ lives easier by clarifying that no late fees will be charged for uploading Occupation Certificates (O.C.) or Completion Certificates (C.C.), even if the project registration period is still valid. However, Quarterly Project Reports (QPRs) must be filed before new reports can be submitted, emphasizing the importance of keeping all paperwork up to date.
Empowering Buyers’ Association in Karnataka
Karnataka RERA (K-RERA) made a historic ruling, empowering a buyers’ association to take over a stalled project if the developer fails to deliver on time. The association will use funds collected from the sale of mortgaged apartments to complete the project. This decision safeguards the interests of homebuyers and ensures that non-performing developers are held accountable.
Enhanced Transparency for Homebuyers in Maharashtra
MahaRERA responded to homebuyer complaints about delayed or mismatched amenities by implementing a crucial directive. Developers must now explicitly outline the delivery schedule, dimensions, and precise location of all amenities in their agreements. With these measures in place, transparency and accountability in the real estate sector are greatly enhanced, and homebuyers’ expectations are met more effectively.
Banning Pre-Launch Offers
TS-RERA has deemed pre-launch offers illegal, deeming them a violation of RERA rules. This decision is aimed at protecting buyers from unethical marketing practices where developers offer attractive deals before obtaining necessary approvals. Developers found engaging in this practice face severe penalties, including fines up to 10% of the project’s total cost.
With these bold moves, RERA has emerged as a powerful force in the real estate sector. Its efforts in 2024 have already led to significant changes that put the rights and interests of homebuyers at the forefront. The focus on financial transparency, stricter adherence to regulations, and enhanced transparency measures have positioned RERA as a vital institution in ensuring trust, security, and fairness in the Indian real estate market. As the enforcement continues to tighten in 2025, the sector can expect even greater oversight, ultimately benefiting both developers and homebuyers.
