Today, it is considered that building standards and regulations worldwide are the guidelines for a safe level of construction activity. This underlines that the development of a building code is merely one step, and it is also essential to get people and businesses to understand these necessary benchmarks.
In India, the 2005 National Building Code, which includes a multidisciplinary approach to the formulation of guidelines and from project conception to planning, design, construction and maintenance, is considered to be a “holy book” for the construction industry. In order to establish standards and building codes relating to structural safety, the NBC is increasingly being used as a benchmark. This was further reinforced by the introduction of RERA, which also took into account consumer protection.
The full form of RERA is the Real Estate Regulatory Authority. It came into existence in 2016 with the aim to enhance accountability and transparency in all dealings of real estate. Section 14 (3) of the Act states that the promoter is deemed to rectify any defect without further charges – in case of improper or poor construction quality has been proven. Within 30 days of the issue being reported by the purchaser, the rectification of the defect shall take place. If the promoter/developer fails to rectify the defects within the prescribed time, the buyer stands to receive adequate compensation under the Act.
What is a RERA Certificate?
A RERA certificate is a legal document. It has information on properties or projects registered at state level through the RERA authority, together with a unique registration number. Without the issue of an RERA certificate, a property or construction project may not be marketed, booked or offered for sale.
Advantages of RERA Certificate
1. Increases the credibility of the builder.
2. This information relates to the property or real estate project.
3. It guarantees that the rules and regulations laid down by them are followed by builders and developers.
4. Reduces chances of malpractice.
5. Ensures the interests and rights of buyers
6. Provide access to RERA’s complaints panel for buyers and developers.
7. Ensures that a uniform model of pan India is implemented
8. Creates a feeling of responsibility for builders as well as investors.
In order to help buyers reduce their risk when investing in real estate, it is important to take into account certain aspects.
Project features and characteristics:
It is of paramount importance to carry out a complete evaluation of the properties’ core attributes before investing.
The role and credibility of real estate agents:
Ensure that you deal with transaction specialists who are professionally trained and duly accredited. Through their reasoned and transparent advice, these agents play an important role in building client and market trust, aiding confidence and assurance, and working to the highest standards and ethical codes of conduct.
A detailed and transparent funding plan for the project:
No uncertainty or delay in requesting a financial plan of this kind. It also helps to identify any significant gap in developer cash flow, inflows and outflows.
Project basic principles:
RERA’s aim is to protect the interests of buyers. It is important to register the projects which are selected for investment under RERA. It shows that, taking into account their RERA registration, developers have the professional competence to deliver projects in line with deadlines, costs and quality targets.
Tamil Nadu Real Estate Regulatory Authority (TNRERA):
The rules for the RERA of Tamil Nadu have been made public on 22 June 2017. TNRERA shall have jurisdiction over both the state of Tamil Nadu as well as the islands of Andaman and Nicobar. On the basis of whether or not the project is located within or outside the CMA(Chennai Metropolitan Area and Property Tax Chennai), amongst other factors, it is either excluded or included in the registration.
What data is needed to be supplied by the builder under TNRERA?
1. The number of an apartment, the category and the actual carpet area;
2. All essential modifications and changes shall require the consent of affected allottees;
3. The website of the Real Estate Regulatory Authority shall be updated on a quarterly basis with information such as unsold records and pending permits;
4. The deadline for the completion of the project;
5. In the advertisement, there will be no misleading statements or commitments;
6. The promoter will not be allowed to annul the units at random.
State Wise RERA Links:
Thirty-one utS (Union Territories) and states have established Real Estate Regulatory Authorities as of March 26, 2022. There are six interims and 25 regulars.