BACKGROUND

Housing sector is one of the top contributors to country’s GDP and employment creation. Surprisingly, inspite of being such an important part of the economy, the real estate sector has remained by and large unregulated. The Real Estate sector is, to a limited extent, controlled and regulated at the local government’s level with every state government having its own set of rules and regulations for real estate development. Taking benefit of country’s abysmal judicial system, the developers have been taking property buyers for a ride, and putting real estate sector on the bottom of customer protection and satisfaction pyramid.With the things getting bad to worse, it has let to big hue and cry, making urgent need for a unified regulatory legal framework to protect customers’ interest.

INTRODUCTION

To address the various structured issue in the real estate sector, the Central Government enacted “The Real Estate (Regulation and Development) Act, 2016” which received the President’s assent on 25th March 2016.The Act has been partly notified w.e.f. 1st May 2016, as far it concerns to the establishment of Regulatory Authority, Central Advisory Council and Appellate Tribunal and administration. However, the operative part of the Act is yet to be notified. In all probabilities this will come effective only after the States have put the administrative mechanism in place. Preamble: Highlighting the core of enacting this Act, the Preamble of the Act states; “An Act to establish the Real Estate Regulatory Authority for regulation and promotion of the real estate sector and to ensure sale of plot, apartment or building, as the case may be, or sale of real estate project, in an efficient and transparent manner and to protect the interest of consumers in the real estate sector and to establish an adjudicating mechanism for speedy dispute redressal and also to establish the Appellate Tribunal to hear appeals from the decisions, directions or orders of the Real Estate Regulatory Authority and the adjudicating officer and for matters connected there with or incidental there to.”

Preamble

Highlighting the core of enacting this Act, the Preamble of the Act states; “An Act to establish the Real Estate Regulatory Authority for regulation and promotion of the real estate sector and to ensure sale of plot, apartment or building, as the case may be, or sale of real estate project, in an efficient and transparent manner and to protect the interest of consumers in the real estate sector and to establish an adjudicating mechanism for speedy dispute redressal and also to establish the Appellate Tribunal to hear appeals from the decisions, directions or orders of the Real Estate Regulatory Authority and the adjudicating officer and for matters connected there with or incidental there to.”

RERA Advise

RERA Laws brought in by the Government is the biggest game changer for the real estate industry since INDEPENDENCE with far reaching impact on the whole real estate industry. SPACIO has in depth knowledge and expertise in advising the developers as well as buyers of property. Our domain knowledge ensures that RERA laws are understood and followed in its true spirit and content. Coming to SPACIO ensures you best and reliable advice on RERA issues.

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