With a view to regularize the transactions in the real estate, Real Estate (Regulation and Development) Act was passed in March 2016. Following are the key features of RERA:
Key Features of RERA
- Promoters of the project have to register commercial or residential projects with 500 sq. Meters under RERA before booking, selling or offering for sale.
- 70% of the money to be put into a separate account to meet the construction cost. Not more than 10% of the cost can be recovered as advance payment before signing the registered sale agreement.
- Quarterly compliance's needs to be performed with respect to certification of costs and Project completion from Chartered Accountant, Engineer and Architect