The Real Estate Regulator bill is now passed by both the houses of parliament here are key highlights of Real Estate Bill.
- The Real Estate regulatory bill will make it possible to establish state level regulators for the real estate.
- The regulator will also grade projects to help consumers make informed decisions.
- Real estate developer will have deposit 70% of the project cost in a separate account so that projects can be completed in time.
C.If there is delay in possession, the real estate developer will have to pay the same interest to the buyer as they charge them in case of delayed payments.
- In case of dispute between buyers and developers over land title there is a provision of insurance that will avoid loss to both the parties.
- Developers will have to specify the carpet area of the flats they sell instead of the super area.
- within three months of allotment of majority of flats in a real estate project, it will be mandatory to form allotee association so that buyers are able to use common facilities.
- Buyers may also approach district level consumer courts for quick redressel of their complaints apart from state level regulators.
- If Real Estate promoters or agents disobey the orders of the tribunal they may have to face imprisonment (upto 3 years for promoter and upto 1 year for agents) or fine of both.
- The bill is applicable for existing projects as well as projects that are being sold.
- Without prior registration with authorities developers can not advertise or launch projects.
- In order to ensure transparency about the project developers will have to disclose layout plans, submit clearances, and name the associates architects, contractor, and others with regulator.
- The loss of Taxable income caused by builders asking the buyers to pay certain amount in cash will now be curbed, thus eradicating corruption.
- The bill will regulate both residential and commercial projects.
It is said that the bill will create more trust among the buyers and will create feel good factor before buying property and for Industry.