Why You Should Buy Only RERA-Approved Properties: A Guide
The real estate market is one of the most significant sectors in India, but it also comes with many challenges for buyers.
With the introduction of the Real Estate (Regulation and Development) Act, or RERA, the landscape has shifted towards more transparency and buyer protection.
Whether you’re a first-time homebuyer or looking to invest, understanding why you should only buy RERA-approved properties is essential.
This blog will dive into everything you need to know about the benefits, protection, and long-term value of RERA-approved properties.
What is RERA?
RERA, enacted in 2016, is a regulatory body designed to bring accountability, transparency, and efficiency to the real estate sector. It ensures that homebuyers are not exploited by developers and that all real estate transactions are fair and standardized. Each state has its RERA authority, where developers must register their projects before advertising or selling.
Why RERA Approval Matters
Transparency in Project Details One of the primary benefits of RERA-approved properties is the transparency it offers. The details of the project, including completion timelines, layout, and amenities, are clearly mentioned in the RERA portal. This means you know exactly what you’re investing in, with no hidden surprises.
Buyer Protection RERA protects buyers by enforcing strict penalties on builders for delays in possession or deviation from promised construction standards. Developers must also maintain a separate account for each project, ensuring that the funds collected are only used for that particular project and not diverted elsewhere.
Timely Delivery With the RERA mandate, developers are legally bound to complete the project on time. If there is a delay, the developer is liable to pay compensation to the buyer. This rule safeguards homebuyers from delays, which were a common issue before the act came into effect.
How to Check if a Property is RERA-Approved
One of the best parts about RERA is the ease with which buyers can check if a property is RERA-approved.
Each state has its dedicated RERA website, where homebuyers can search for projects using various filters such as project name, developer name, and registration number.
This ensures that you’re making an informed decision.
Benefits of Buying RERA-Approved Properties
1. Clear Documentation
With a RERA-approved property, you are guaranteed proper documentation that is legally binding. This includes everything from the sale agreement to the building plan, ensuring there’s no manipulation or changes post-purchase.
2. Post-Possession Warranty
Under RERA, developers are liable for structural defects in the building for up to five years after possession. If any issues arise within this period, the builder is required to rectify them at no additional cost.
3. No Arbitrary Hikes in Prices
RERA prevents developers from increasing property prices arbitrarily after a buyer has made the purchase. This ensures that buyers are not burdened with unexpected costs.
4. Fair Payment Terms
Builders cannot demand more than 10% of the property cost as an advance payment before signing a sales agreement. This protects buyers from high upfront costs and ensures that payments are made systematically.
Important Sections of RERA Every Buyer Should Know
- Section 4: Mandates developers to provide clear project details before registering with RERA.
- Section 12: Protects buyers from false promises and misleading advertisements.
- Section 18: Ensures timely delivery or compensation if the project is delayed.
- Section 14: Prevents builders from changing any structural designs without prior consent from two-thirds of the buyers.
Common Misconceptions About RERA
Despite the advantages, some misconceptions persist around RERA-approved properties.
Let’s debunk them:
Myth: RERA only benefits homebuyers in the metropolitan cities.
Fact: RERA applies to all real estate projects across the country, whether in big cities or small towns.Myth: Only large-scale developers register under RERA.
Fact: Every developer, regardless of project size, must register under RERA to legally sell or advertise properties.
Conclusion: Why Choose RERA-Approved Properties?
Purchasing a RERA-approved property not only protects you legally but also ensures you are investing in a project that upholds high standards of accountability and transparency.
Whether you’re buying your first home or looking to invest in real estate, RERA provides a safety net that guarantees timely delivery, adherence to promises, and, most importantly, peace of mind.
If you’re ready to take the next step in your real estate journey, contact us today.
Our team of experts can help you find the perfect RERA-approved property that suits your needs and budget. Your dream home is just a call away!