A special leverage has been given to the builders that allow them to advertise and sell their on-going projects without registering it with the Real Estate Regulatory Authority , RERA till July 31st, 2017. In the time being, they have to register their projects with their respective state’s real estate regulatory authority.
Housing department of various states clarified this after the Chairman of RERA, Anthony De Sa, RERA Haryana committee member, Dilbag Singh Sihag and Additional Secretary, housing & urban development of Punjab, Vini Mahajan proposed this leverage (as per RERA rules implemented by the Central government) while speaking at a conference organised by FICCI on real estate regulation rules on Thursday.
According to Joint Secretary, the ministry of housing and urban poverty alleviation, Rajiv Ranjan Mishra, if developers fail to register their projects by 31st July 2017 then the projects will become unauthorized.
The RERA mandates all real estate developers to register their projects and agents to register themselves with the authority within three months (starting from 1st May 2017) of the implementation of the RERA rules. Failing to do so will prohibit them to carry out any real estate business.
Considering the topic of diluting the RERA rules by the states, Mr. Mishra told that if states will change the fundamental rules of the Act then they will be inviting legal action against themselves.
The Central government implemented The Real Estate (Regulation & Development) Act, RERA on 1st May 2016. It asked the states to notify their respective RERA rules by 30th April 2017. Till now only nine states and six Union Territories have notified the RERA rules.