Is Your Dream Homes Possession Delayed? RERA Can Help You

May 04, 2017 Share

From 1st may 2017 the RERA (real estate regulation and development) act has come into effect, which means now onwards there would be no delay in possession of your dream home.  This act not only will help new home buyers but also the ones who awaiting possession of their homes.The States that have notified the rules are Uttar Pradesh, Gujarat, Odisha, Andhra Pradesh, Maharashtra, Madhya Pradesh and Bihar.

Delay in possession in home has been the biggest issue with homebuyers since ages. In some cases delay of possession has been more than 6 years for there have been legal cases filled.To have timely possession RERA has defined some regulations for such as, if there is an ongoing project which does not have completion certificate, the developer has to get it registered within 90 days of implementation of RERA act.  

Certain other regulations under RERA for promoters

1. Written Affidavit: The promoter has to give an affidavit along with other required document stating the time period within which the project would be completed/delivered.

2. Possession Date would be Unimpeachable:  The agreement of sale would have date of possession and the interest rate if the developer defaults the said date of possession.

3. Clear Title of Land:  Promoter has to give a written affidavit that the legal title of land on which the project is to be done has legally valid documents with authentication of such title if the land is owned by another person.

4. Free from Obstruction: Mostly projects are delayed due to obstruction such as title of the land is not clear. To avoid such situations promoter has to give in written affidavit the land is free from all obstructions.

5. Maintaining Book of Records: As per RERA, 70 percent of the amount realised for the real estate project from the buyer shall be deposited in separate accounts in scheduled banks to cover the cost of construction and the cost of land and it shall be used only for that purpose.

6. Offence : If  the promoter/builder does not adhere to the rules, he not only loses the registration of the project but he is also liable for punishment for a term up to 3 years or 10 percent of the estimated cost of the real estate project  fine could be imposed.   

With the above points if the promoter still defaults and delays the possession of the property as per the 'agreement of sale', Buyer would have the right to claim refund of the amount paid along with interest and the registration of the promoter is cancelled.

As per RERA act if the Developer delays and buyer still wants to continue, every month of delay interest has to be paid by the developer till the possession. The amount of interest has to mention at the time of booking in the agreement of sale. All States which have notified under RERA have to notify the rate of interest applicable in case of defaults in its rules and regulations under the act.






Share Your Comment 0 Comments

Investment Opportunities

  • Price on Request
    Ganga Platino III , by Goel Ganga Developments presenting premium 2 & 3 BHK XL Residences in Kharadi, Pune. Luxurious livin...
  • ₹ 66.72 L - ₹ 73.27 L
    Overview Nyati Elysia II, a residential project by Nyati Group offes 2 BHK premium homes in Kharadi, Pune. Experience the harmo...
  • Duville Riverdale Heights, by Duville Estates, presents an array of 1 bhk & 2 bhk new launch flats at Kharadi, Pune. An ideal...
  • Price on Request
    Purvankara presents Purva Silversands 1, 2, 3 and 4 bhk apartments project in Keshav nagar, Pune which is a project spread across...
  • Vascon and Clover Builders brings to you Forest County spacious 2 bhk and 3 bhk new launching apartments in Kharadi, An 18 acres l...
  • Price on Request
    Vascon and Clover Builders brings to you Forest County 2 bhk and 3.5 bhk under construction apartments in kharadi, An 18 acres lu...
  • ₹ 65 L - ₹ 85 L
    Godrej Properties Launching Pune’s first community dedicated to Healthy living, Godrej Rejuve at Keshavnagar. A remarkable p...
  • Price on Request
    Vascon Forest Edge developed by the Vascon Group, the under construction residential apartments in kharadi with wide range of amen...
  • ₹ 62.6 L - ₹ 98.06 L
    Overview Gera’s Misty Waters by Gera Developments Pvt. Ltd., is a residential venture that consists of 2 BHK and 2.5 BHK...
Disclaimer - The particulars contained on the mentions details of the Projects/developments undertaken by the Company including depicting banners/posters of the Project. The contents are being modified in terms of the stipulations / recommendations under the Real Estate Regulation Act, 2016 and Rules made thereunder ("RERA") and accordingly may not be fully in line thereof as of date. You are therefore required to verify all the details, including area, amenities, services, terms of sales and payments and other relevant terms independently. FourrWalls does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the information contained herein. You are advised to conduct an independent verification before entering into any transaction.