RERA Registration in India

Advantages

  • Standardized Carpet Area
  • Right to Information
  • Projects can’t be delayed
  • Grievances will be addressed quickly
  • Builders to be held responsible for default

Eligibility for Registration

  • Commercial or residential land of over 500sq m
  • Commercial or residential real estate having more than 8 apartments
  • Agents engaged in selling / purchasing of properties

Introduction

The Real Estate Regulatory and Development Act (RERA) was implemented on 1st May 2017, to regulate the real estate sector of India. RERA, 2017 has shaped the total regulation of the activities of the builders and has also empowered the buyers regarding the real estate regulations.

Under the Real Estate Regulatory Act, 2016, every builder & promoter has to mandatorily register their real estate projects under RERA to purchase, sell, advertise, market or book.

RERA Registration ensures the effective and transparent regulation of the contract between the purchaser and seller of the plot, apartment, or building. Furthermore, it aims to ascertain the higher responsibility towards the clients and lessen up the delays, fraudulent acts & high transaction costs.

Following are the salient features of RERA:-

  • More security to first time home buyers upon the investment made them
  • Better assurance of timely possession
  • More strict actions against any fraud or false promise
  • Digitization of all records, to reduce the loss of data
  • Quick remedies for any dispute

Who needs to apply for RERA Registration in India ?

RERA Registration is applicable to all the Real Estate Agents, Promoters and Projects contingent upon the below-mentioned criteria:

  • All commercial as well as residential real estates including the plotted development
  • Every commercial, as well as the residential project that surpasses the limit of 500 square meters or have more than 8 units or apartments
  • All the local promoters having small projects
  • All the on-going projects which do not have any Completion Certificate (must apply within 3 months)

Documents Required For RERA Registration in India

RERA application must be affixed with a set of following documents:

  • Builder’s/Real Estate Agent’s PAN Card.
  • Apartment’s description like a total number of floors, measurement of carpet area, parking space and so on.
  • Builder’s declaration and evidence that certifies his/her legal possession over the land
  • Builder’s balance sheet and ITR of the preceding 3 years.
  • Property’s detailed information such as title, rights or mortgage
  • Project’s crucial details like location, sanctioned plan, layout plan, etc.
  • Ownership documents such as allotment letter, sale agreement.
  • Details about other parties who are involved like Engineers, Architects, etc.
  • Consent letter of the owner along with supporting documents (when the builder is not the owner of the land)

Procedure For Registration Of Project/Agent Under RERA Act, 2016

Procedure For Registration Of Project:

  • 1

    Creation of user ID

    Registration of the project starts with the creation of the user id by the promoter on the Rajasthan RERA web portal- http://rera.rajasthan.gov.in

  • 2

    Profile creation and Documents upload

    In the next step, a promoter profile is created and project details (documents, maps, etc.) are uploaded by the applicant.

  • 3

    Submission of online application & fee payment

    Online application for registration is submitted after the prescribed fee is paid online.

  • 4

    Issuance of Registration No.

    As prescribed under Section 5 of The Real Estate (Regulation and Development) Act, 2016 The Authority grants the registration no. within a period of thirty days from the date of submitting the completed online application. Registration no. is conveyed to the applicant by e-mail and SMS.

  • 5

    Submission of hard copy of the online application

    A hard copy of the online application along with promoter and project-related documents is submitted to the office of The Registrar, RERA Rajasthan, Nagar Niyojan Bhawan

  • 6

    Issuance of the certificate of registration

    After submission of the hard copy, the certificate of registration is issued by the authoritative official to the applicant.

Procedure For Registration Of Agent:

  • 1

    Creation of user ID

    Registration of the project starts with the creation of the user id by the promoter on the Rajasthan RERA web portal- http://rera.rajasthan.gov.in

  • 2

    Details Upload

    After the Agent profile creation, details need to be uploaded by the applicant.

  • 3

    Online submission of application with fee

    The application needs to be submitted online for registration along with the prescribed registration fee which must be paid via online mode.

  • 4

    Issuance of Registration Number

    As prescribed under Section 5 of The Real Estate (Regulation and Development) Act, 2016, the Authority issues the registration no. within a period of thirty days from the date of submitting the completed online application. Registration no. is conveyed to the applicant by e-mail and SMS.

  • 5

    Submission of hard copy of the online application

    A hard copy of the online application along with promoter and project-related documents is submitted to the office of The Registrar, RERA Rajasthan, Nagar Niyojan Bhawan

  • 6

    Issuance of the certificate of registration

    After submission of the hard copy, the certificate of registration is issued by the authoritative official to the applicant.

Procedure For Registration Of Agent:

  • 1

    Creation of user ID

    Registration of the project starts with the creation of the user id by the promoter on the Rajasthan RERA web portal- http://rera.rajasthan.gov.in

  • 2

    Details Upload

    After the Agent profile creation, details need to be uploaded by the applicant.

  • 3

    Online submission of application with fee

    The application needs to be submitted online for registration along with the prescribed registration fee which must be paid via online mode.

  • 4

    Issuance of Registration Number

    As prescribed under Section 5 of The Real Estate (Regulation and Development) Act, 2016, the Authority issues the registration no. within a period of thirty days from the date of submitting the completed online application. Registration no. is conveyed to the applicant by e-mail and SMS.

  • 5

    Submission of hard copy of the online application

    A hard copy of the online application along with promoter and project-related documents is submitted to the office of The Registrar, RERA Rajasthan, Nagar Niyojan Bhawan

  • 6

    Issuance of the certificate of registration

    After submission of the hard copy, the certificate of registration is issued by the authoritative official to the applicant.

RERA Registration Fees for Real Estate Agents

The fee for RERA registration differs from state to state. However, the estimation for the same is as follows:

  • Registration fee of Rs 10,000 applies when the Real Estate Agent is a person or has a proprietorship firm.
  • Registration fee of Rs 50,000 applies to the business entities like Partnership firm, LLP, Private Limited Company, One Person Company, Society, Public Limited Company.

Note:- The registration fee for RERA registration is payable during application via NEFT, RTGS System or any other alike digital transaction mode.

Validity of RERA Registration

An approved RERA registration has a validity of a period as specified by the Promoter for finishing the real estate project or as specified in the affidavit affixed with the application form. However, the validity may be further extended through an application under some circumstances like Force Majeure like flood, war, drought, cyclone, earthquake or any other natural calamity that disturbs the normal build out of the real estate project.

It should be noted that the validity can be extended by the concerned authority to a maximum time-span of one year, in case of reasonable circumstance other than force majeure.

FAQs on RERA Registration

Registration under the Real Estate Act, 2016 shall be mandatory for all the commercial and residential real estate projects where the land is over 500 sq m, or eight apartment. A registration with the Real Estate Regulatory Authority (RERA) is done for launching a project and to provide a greater transparency in project-marketing and execution of the plan.-

No promoter is allowed to advertise, market, book, sell or offer for sale for any of the real estate project in any planning area without registering it first.

No, it does not covers the rental arrangements.

As RERA is applicable state wise the minimum fee requirement is decided according to the states. In case of Rajasthan broker’s fees for registration under RERA is Rs. 10,000 and as an individual and Rs. 50,000 of other than individual.

As the builders takes contract in large there is requirement for RERA registration for the builders or the constructor or the developer for the construction or the development of any the residential or commercial project or where the area of land proposed to be developed exceeds 500 sq m or the number of apartments proposed to be developed exceeds 8 inclusive of all phases.

The objective behind RERA coming into force with the provider of relief to the buyers from the malpractices of the unfair builders. The RERA , 2016 states certain norms for building and development of the real estate which will ultimately enhance the transparency in transactions in the real estate sector.

The Registration under the RERA, 2016 can be revoked, if any complaint is received against the developer & is satisfied that the Developer has not complied with the rules and regulations under the Act, or has violated the terms & conditions of the approval, or is involved in the unfair practices to sell, market or advertise his projects.

There are mainly three exceptions for the registration under the Act –

  • Where area of land proposed to be developed does not exceed 500 sq m or number of apartments proposed to be developed does not exceed eight, inclusive of all phases. While the central government provides for these minimum area requirements the local governments can change the area requirements to conform to the Act, if required such minimum area threshold can be revised even lower.
  • Where promoter has received completion certificate for Real Estate Project prior to commencement of Act
  • For purpose of renovation or repair or re-development which does not involve marketing, advertising, selling or new allotment of any apartment, plot or building, under real estate project.

Registration shall be valid for the time period required for completing the project or the phase, as declared by the builder / developer.

The validity of the registration is based upon the builders’ own estimates. Thus, the accountability lies with them to adhere and abide to the timelines otherwise they risk suffering losses / penalties as prescribed.

The Registration can only be extended in the case of the natural calamities like, floods, drought, fire etc. or in the circumstances of a war. Such extensions, if any applied for by the builder or developer, will be for a period of one year.

The Registration under the RERA can be revoked by the RERA, if any complaint is received against the developer/builder and is satisfied that the Developer/builder has not complied with the rules and regulations under the Act, or has violated certain terms and conditions of approval, or is involved in unfair practices to sell, market or advertise his projects.

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