Mumbai: In the complex landscape of real estate, first-time buyers often found themselves navigating unfamiliar territory. Introduction of Real Estate Regulatory Authority (RERA) has come as a big relief to home buyers as it protects the interests of the buyers and makes builders answerable.
Maharashtra's Real Estate Regulatory Authority (RERA) Chairman Ajoy Mehta, in an interaction with the Free Press Journal during the FPJ Dialogue earlier this February, shared insights into the regulatory measures and various topics, including how buyers could effectively use RERA information to safeguard their interests in the evolving dynamics of the real estate industry.
During the interaction with the Free Press Journal, Mehta said, "MahaRERA plays a role akin to a football referee running alongside the players, not like cricket umpires who only raise their fingers when a violation occurs."
"The key objective of the authority is to safeguard the interests of flat buyers. We are dedicated to serving home buyers. Through our website, we facilitate informed choices for apartment buyers before they proceed with sale agreements with developers." he added.
Mehta, also quoted during the interaction that the MahaRERA website contains basic details about a project, ensuring transparency and protecting the buyer from being misled in the real estate market.
Use RERA information effectively
Revolutionising the landscape of the Indian real estate sector, the Real Estate (Regulation and Development) Act, 2016 (RERA), stands as a transformative force. The introduction of RERA guidelines serving as a catalyst for change are strategically crafted to foster transparency, instill accountability, and enhance overall efficiency within the realm of real estate.
Payment Provisions and Interest: Homebuyers must fulfill payment obligations as per the sale agreement, and delays may incur interest.
2022 RERA Regulations: Homebuyers can pay up to 10 per cent of the total amount until the agreement is completed.
Distribution of Fees: New regulations require the distribution of various fees specified in the agreement, including registration fees, municipal taxes, water and energy costs, maintenance fees, ground rent, etc.
Builder's Responsibilities: The builder is responsible for expenses like water and electricity until possession is handed over.
Refund and Interest for Delayed Possession: If the builder fails to transfer control, buyers are eligible for a refund and interest based on new RERA laws.
Interest Rate Increase: Buyers can request an increase in the interest rate for the property loan each month of delay if they don't wish to cancel the agreement.
Reimbursement for New Investors: New investors are eligible for reimbursement with interest even if possession delay is due to the builder's RERA registration suspension or revocation.
Occupancy Certificate and Possession: Upon receiving the occupancy certificate, homebuyers are entitled to possession within two months.
Access to Essential Documents: Allottees have the right to obtain essential property documents once they have physical ownership.
Title Papers for Common Areas: Builders must hand over title papers for common areas to authorities or homeowner associations within 30 days of receiving the completion certificate.