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Vice President of India Venkaiah Naidu shared his views on RERA while inaugurating 28th convention of the Builders’ Association of India in Bengaluru. He strongly supported RERA by stating that it seems to be strangulated only for those “fly-by-night operators” who have been misusing the customer’s confidence in them but RERA is not breaching civil liberties. He further added that he is very much aware of contractor’s problems and certain difficulties which are facing by them; therefore, NITI Aayog has initiated steps to form a committee of all stakeholders to bring out unified standard contract document. ...
RERA’s strategy to establish dominion over malpractices of culprit developers and promoters is working effectively as corporate developers are opened up to joint ventures with realtors who have credible track records and a strong brand name. This scheme has unbarred a potentially lucrative business opportunity for corporate entities and new entrants/emerging companies. Moreover, banks that have an increased number of NPA (non-performing assets), are looking for “government-oriented companies” to monetize these assets. Now large corporate entities are not limited to one option; therefore, they have plans to expand their real estate portfolios. In the wake of this, they are contacting several developers and landowners to enter the residential market. ...
Having enough of builder’s sluggish behavior, Goa government has decided to reject CREDAI’s (The Confederation of Real Estate Developers’ Associations of India) request for on-going real estate projects’ extension till April. CREDAI was seeking 90 days extension period from the launch of RERA registration portal. However, it got rejected by the state government and CM Manohar Parrikar said that agents and builders have got enough time to study the Act. Hence, from August until today, they have known everything and consequently, builders and agents must strictly adhere to 24 February 2018 to register their underway projects. ...
Maharashtra is on a mission to resolve all disputes in their initial phase and to comply with such motive MahaRERA has established a forum of 33 conciliators. This forum is made up of 15 teams with 2 members each in which one is from realty developers’ industry body and another one is from consumer forums to represent home buyers. To deal with any shortfall due to anonymous reason, this regulator has also appointed 3 extra conciliators who will be the part of these teams. 10 conciliation teams, out of 15, will look after homebuyers’ plea from Mumbai and rest 5 teams will take care of real estate queries from Pune. ...
The state court acted promptly on homebuyer’s plea and revoked an order, which was issued by MahaRERA on 28 November 2017, by saying that the order is illegal and asked MahaRERA to reassess the petitioner’s claim and pass a well-thought-out order. The complainant argued that MahaRERA had just copied the developer’s arguments without even considering real facts and situation. In this case, the developer claimed that his project had been started in 2009 but was delayed due to change of law, incorrect classification of the plot as CRZ II and administrative conflicts. So he is not liable to pay any compensation as these reasons beyond his control. ...
Brand Capital and Brand Estate of The Times Group organized a conference in Navi Mumbai for the sake of developers. Brand capital is the investment arm of the Times Group. Here experts exchange their views and put some opinions in front of developers. They are confident about RERA act feasibility in realty sector as 2017 was the year of formation and implementation of some taxes and acts like GST, RERA and demonetization but 2018 will give benefits to developers and homebuyers as RERA Implementation brings transparency and profitability moreover these things are needed to fuel the sales. ...
To skip heavy penalties and rigorous imprisonment, TNRERA directed all concerned real estate and building owners to register their properties under RERA Act. The new guidelines stated that without obtaining consent from RERA authority no one should involve in development and sale of any building or real estate project having development or built-up area of 500sqm moreover if the number of units exceeds eight one should register this project with this authority. Now every certified building owner or promoter has their registration number which they got under RERA. This number must be mentioned with their own advertisement while doing sale and development of the particular property. ...
The shackle of the non-existence of mechanism, to conduct checks and issue completion certificates for housing projects in areas under the DTCP (Directorate of Town and Country Planning), is preventing TNRERA (Tamil Nadu Real Estate Regulatory Authority) to take prompt action against developers who are violating the rules. However, such violations can be eliminated if completion certificates are made obligatory in areas under the DTCP which covers the entire state except for Chennai Metropolitan Area. Moreover, TNRERA stated that the real estate act does not allow the Chennai Metropolitan Development Authority (CMDA) to inspect buildings; instead of that CMDA is issuing completion certificate after inspecting the construction. ...
If homebuyers want to file a complaint against a promoter whose project is not registered with RERA, in this case, the complaint shall not be maintainable before Punjab RERA. This Authority solved out the obscurity related to complaint’s maintainability where the errant builder violation took place prior to the commencement of the RERA Act. Henceforward, if any complainant wants that its complaint must be considered so he shall fulfill 3 conditions. The alleged violations, though commencing before the enforcement of the RERA Act, must be continuing till present. The alleged violations must also comprise an infringement of the RERA Act and the rules and regulations made thereunder. Any complaint shouldn’t be pending in any consumer forum before approaching RERA. ...
The government of India took meritorious decision to allow 100% Foreign Direct Investment (FDI) under automatic route in the real estate broking services. Many property consultants believe that this initiative is not a new provision; however, the re-introduction will revamp the path of investment in Indian brokerage companies through International counterparts. Furthermore, this move will encourage International brokerage firm to establish their own subsidiaries in India. It has been clarified by the Cabinet that real estate broking services would not be classified as Real Estate business so companies, which work under these broking services, are eligible for 100% FDI under the automatic route. ...
A Vadodara based builder, Jayesh Patel was penalized by Rs. 3 lakh for not handing over the possession of flats on time which was in his scheme. In case of failing the process of project registration with RERA, a builder can be fined up to 10% of the project. In spite of that, RERA cited the fact that the builder has already gone through a lot in selling his units besides delay in construction work due to lack of funds. Back to back penalty cases reflect that RERA authority is in no mood to spare the culpable builders. ...
Rajasthan RERA authority has given itself to consumers by taking action against violators of Real Estate (Regulatory Authority) Rules. In an idiosyncratic case, which has taken place in Rajasthan, the authority took action against 4 developers for the very first time since initiation of RERA in May last year. In the verdict, two developers were asked to pay a fine that was 4 times the RERA registration fees as they were not able to complete formalities related to document submission even after the registration of their projects with RERA. Furthermore, two other were served show-cause notices because they just started promoting and marketing their projects without registering them with RERA. ...
Amid of certain ambiguities and assumptions; finally, the website of Goa RERA for online registration of real estate projects and agents will be unveiled within a week. Now builders don’t need to wait for so long because they will be able to register their projects on the website from its inception. Sudhir Mahajan, the chairman of Goa RERA, disclosed that incorporate changes, which were suggested by industry stakeholders, led to the delay in the launch of this website but now the trial run of this online portal is on and the final launch will be made within a week. ...
TNRERA has come up with a new strategy to make sure that developers will adhere to rules of RERA registration. In this matter, TNRERA will approach the concerned banks because it believes, “if banks insist on the TNRERA registration number before providing loans to prospective buyers, the builder would be left with little options expect to register his project with the authority.” This step will be taken in the aftermath of the disproportion between the number of housing projects registered with the realty regulator and the volume of planning permissions. ...
Buyers Devendra and Pushpa Agarwal alleged that the developer Nandraj Developers Pvt Ltd. of a project, named Royal Residency C in Lalbaug, had charged them Rs 25,000 towards allotment of an open car parking slot. The Chairman of MahaRERA Gautam Chaterjee heard the whole matter in which Agarwals paid a consideration for one stilt car parking, but details of closed car parking weren’t shown on the MahaRERA website and directed the developer to refund the amount collected from selling that parking area. One more thing which must be considered that selling of parking spaces even before RERA came into force was not allowed. ...
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