RERA registration in Rajasthan: Developers to pay 2% of project cost as penalty for delay
Jaipur: The Real Estate Regulatory Authority (RERA) has announced that the developers who haven’t yet registered their ongoing projects can do so after depositing a penalty of 2% of project cost or 10 times of registration fee, whichever is more.
This can be done until September 30, after which the penalty will be increased to 10% of the project cost and registration fee.
After the Act came into effect on May 1 in Rajasthan, the developers were given 90 days to register. This was as per section 3 of RERA Act, 2016. After the Act was announced, chief minister Vasundhara Raje had launched the RERA website on June 1.
It became mandatory for all the real estate agents and builders to register on the website until July 31. However, a request from developers ensured an extension of one month, till August 31, to register with the regulatory authority after depositing Rs 50 per square metre.
The good news for residents is that majority of developers have registered their ongoing projects in the state meaning builders will now be under the radar of the regulatory authority.
The residents who want to register their complaints with the regulatory authority can do so after seeing the registered project profile on the RERA online portal. If people realise they have booked flats in a residential complex whose developer has not registered on the portal, they can also inform about the same to the authority.
Selling of flats on the basis of a dubious super built-up area will also end as the new law makes it illegal. The law will ensure that developers define the accurate carpet area. Providing the details of the projects has also become mandatory. The Act aims to protect home-buyers, as well as help, improve investments in the real estate industry.
The bill for this Act was passed by the Rajya Sabha on 10 March 2016 and five days later by the Lok Sabha on 15 March. The Act then came into effect on 1 May 2016 with 59 of 92 sections notified while the remaining provisions came into effect on 1 May 2017. The Act will help to establish state-level RERAs to regulate transactions related to both commercial and residential projects and ensure their timely completion and handover.