RERA Rules of Gujarat
Real Estate News
RERA Rules of Gujarat
The Real Estate (Regulation and Development) Act, 2016 (RERA) is an Act of the Parliament of India which regulates and promotes the real estate sector in India. The Act was enacted to protect the interests of homebuyers and to promote transparency and accountability in the real estate sector.
The RERA Rules of Gujarat came into force on May 1, 2017. The Gujarat Real Estate Regulatory Authority (GUJRERA) is the regulatory authority for the real estate sector in Gujarat.
Key features of the RERA Rules of Gujarat
- Registration of real estate projects: All new and ongoing real estate projects in Gujarat, with an area of more than 500 square meters or more than 8 units, must be registered with GUJRERA.
- Disclosure of project details: Promoters are required to disclose all relevant details about their real estate projects, such as the project plan, layout plan, specifications, and approvals, to GUJRERA and to homebuyers.
- Escrow account: Promoters are required to deposit 70% of the sale proceeds from each project into an escrow account. This money can only be used for the development of the project and for repaying loans.
- Timely delivery of projects: Promoters are required to deliver the projects within the agreed-upon timeline.
- Dispute resolution: GUJRERA provides a speedy and effective dispute resolution mechanism for homebuyers.
Benefits of RERA for homebuyers
RERA has provided a number of benefits to homebuyers in Gujarat, including:
- Transparency and accountability: RERA has made the real estate sector more transparent and accountable. Promoters are now required to disclose all relevant information about their projects to homebuyers and to GUJRERA. This has helped to reduce the risk of fraud and misrepresentation.
- Protection from delays: RERA has made it easier for homebuyers to seek relief in case of delays in project delivery. Promoters are now required to pay compensation to homebuyers for any delays beyond the agreed-upon timeline.
- Speedy dispute resolution: GUJRERA provides a speedy and effective dispute resolution mechanism for homebuyers. Homebuyers can now get their grievances resolved quickly and without having to go through the lengthy and costly court process.
Conclusion
RERA has played a significant role in protecting the interests of homebuyers in Gujarat. The RERA Rules of Gujarat have made the real estate sector more transparent, accountable, and buyer-friendly. Homebuyers should ensure that the real estate project they are investing in is registered with GUJRERA and that the promoter is complying with all the RERA rules.