After a massive delay in implementing the Real Estate (Regulation & development) Act , RERA, the Karnataka state government on Wednesday approved the much-needed real estate reform. The cabinet passed the RERA bill in the dusk after tweaking some of the provisions prescribed in the parent Act notified by the Central Government on 1st May 2016.
As per the approved Karnataka RERA rules, on-going projects that have executed 60% of the sale deed or 60% of the construction work is complete, will not come under the preview of the Act.
According to some home buyers, this deed by the state government will deprive consumers from availing the benefits of the RERA. This is a major loophole as developers can manipulate the 60% completion work and thus most of the projects will not come under the ambit of the RERA.
According to T B Jayachandra, Law and Parliamentary Affairs Ministers, the RERA committee has framed the rules on the lines of RERA Rajasthan and RERA Gujarat model. The government will publish a Gazette notification in next 3-4 days to implement the rules, he added.
Click here to read Karnataka RERA draft rules.