{"id":526,"date":"2017-08-29T11:57:14","date_gmt":"2017-08-29T06:27:14","guid":{"rendered":"https:\/\/www.pridepurpleproperties.com\/blog\/?p=526"},"modified":"2024-01-04T13:06:24","modified_gmt":"2024-01-04T07:36:24","slug":"rera-impact-on-home-buyers","status":"publish","type":"post","link":"https:\/\/www.pridepurpleproperties.com\/blog\/rera-impact-on-home-buyers\/","title":{"rendered":"RERA \u2013 Impact on Home Buyers"},"content":{"rendered":"\n<p>Investing in real-estate is no more a risky task for the buyers since the RERA(<a href=\"https:\/\/pridepurpleproperties.com\/media-room.html\">Real Estate Regulation Act<\/a>) has come in practices. The home buyers are now assured the delivery of the property on the time which is committed by the builders. RERA has brought the transparency within the real-estate services. According to the <a href=\"https:\/\/www.pridepurpleproperties.com\/blog\/top-10-major-benefits-of-the-rera-act-for-property-buyers\/\">RERA act, implemented since May 2016<\/a>, builders need to give the timely delivery of the projects to the buyers.<\/p>\n\n\n\n<p><em>\u201cNo more will unscrupulous smaller builders or even larger organized developers be able to take buyers for a ride,\u201d said JLL Residential (JLLR) Chairman Anuj Puri.<\/em><gwmw style=\"display:none;\"><\/gwmw><gwmw style=\"display:none;\"><\/gwmw><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"font-size:18px\">Here is how RERA has impacted on Home buyers:<gwmw style=\"display:none;\"><\/gwmw><\/h2>\n\n\n\n<p>As the act is in favor of buyers the impacts are positive for them.<gwmw style=\"display:none;\"><\/gwmw><gwmw style=\"display:none;\"><\/gwmw><\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Buyers will get the project in hand on committed time:<\/strong><\/li>\n<\/ol>\n\n\n\n<p>As per the law, builders cannot delay the delivery of the projects. The picture where buyers didn\u2019t get the possession of their flats even after paying the full amount to the developers will change as the builders will be charged 2 percentage points above State Bank of India\u2019s lending rate to the home buyers. The penalty doesn\u2019t ends here; RERA also commends imprisonment of up to three years for unfaithful developers.<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Builders will have to take the responsibility of defects:<\/strong><\/li>\n<\/ol>\n\n\n\n<p>According to the law the builders are supposed to take the responsibility of the entire structural defect in the building for five years. But the law doesn\u2019t clears everything about the structural faults, so there can be differences between the opinions of the buyers and the builder which can cause the disputes among them.&nbsp;<a href=\"https:\/\/pridepurpleproperties.com\/nri-corner.html\">RERA<\/a>&nbsp;also states that it is mandatory for the promoter to rectify the structural or workmanship defects brought to the notice of a promoter within a period of five years starting from the date when the possession is handed over.<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Charges for the carpet area only:<\/strong><\/li>\n<\/ol>\n\n\n\n<p>The builders are not allowed to charge money for the outside area which means the buyers need not to pay for the area except the area which is within&nbsp;walls.The&nbsp;builder can\u2019t charge for the super built-up area, as they are practicing it today, where you get 1,200-1,300 sq. ft. carpet area even if you are promised 1,500 sq. ft. house, where the left 200 sq. ft. are counted for the common places and balconies etc. The new law omits such kinds of practices.<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>No structural changes without buyers\u2019 approvals:<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Under RERA, regulatory bodies and appellate tribunals have to be set up in each state to resolve the disputes between the builder-buyer within 120 days. Moreover, promoters cannot make changes in the original design of the project without buyer\u2019s permission. Promoters should have the approval of two-thirds of the buyers in a project before making any change in the number of units or other structural changes.<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Builders are prohibited to use buyers money for other projects:<\/strong><\/li>\n<\/ol>\n\n\n\n<p>The developer will need to transfer 70% of the money received from the buyers to an escrow account. This money cannot be withdrawn without the approvals of engineers and the charted accountants of the builders which mean the money withdrawn as needed at the each stage of construction. This is how the buyer\u2019s money will be prevented from to be used in any other project.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Conclusion:<\/h2>\n\n\n\n<p>This act undoubtedly holds the key to the future development of the Indian real estate as it can assure the potential to bring the value based trust in the sector. After getting&nbsp;<a href=\"https:\/\/pridepurpleproperties.com\/\">RERA registered, developers<\/a>&nbsp;will be proud enough to add on another certificate to their projects which just go about as a greater certainty promoter for the home purchasers.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Investing in real-estate is no more a risky task for the buyers since the RERA(Real Estate Regulation Act) has come in practices. The home buyers are now assured the delivery of the property on the time which is committed by the builders. RERA has brought the transparency within the real-estate services. According to the RERA [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":527,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[40],"tags":[102,204,199,155,517],"class_list":["post-526","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-pride-purple-properties","tag-pune","tag-pune-properties","tag-pune-real-estate","tag-real-estate-blogs","tag-rera"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v25.0 (Yoast SEO v25.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>RERA | Impact on Home Buyers | Pride Purple Group<\/title>\n<meta name=\"description\" content=\"Investing in real-estate is no more a risky task for the buyers since the RERA has come in practices. 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