RERA

Registration and Compliances

 PURPOSE OF ACT

Promotion and regulation of real estate sector

To protect interest of consumers
To establish adjudicating and redressal mechanism
 PROMOTION AND REGULATION

Prone to park black

Non regulated Unorganised
money

This issues have been resolved through RERA regulations in APPLICABILITY, DISCLOSURE AND UTILISATION
OF FUNDS norms, Safeguard of project through insurance regulation
 TO PROTECT INTEREST OF CONSUMERS

Legal and Commitment Misappropriation of

Aftersales issues
issues funds

Registration of project and
quarterly updates
Consent of allottees
Designated seperate bank account.
Formation of society
Defect liability period of
 REGISTRATION OF REAL ESTATE
PROJECT
3. (1) No promoter shall advertise, market, book, sell or offer for sale, or invite
personsto purchase in any manner any plot, apartment or building, as the case may be,
in any real estate project or part of it, in any planning area, without registering the real
estate project with the Real Estate Regulatory Authority established under this Act

Ongoing projects as well as new project has to get themselves

registered
 FLOWCHART FOR REGISTRATION
Plot area
Promoter 500 sq
mtr or 8
appts

Advertise, On going
book, sale projects
or offer for with
sale completion
certificate

Plot ,appart Redevelopm

In planning in real estate ent ,reapir
area project not require
marketing or
sales
 PROMOTER" MEANS,
(i) a person who constructs or causes to be constructed an independent
building or a building consisting of apartments, or converts an existing building
or a part thereof into apartments, for the purpose of selling all or some of the
apartments to other persons and includes his assignees; or
(ii) a person who develops land into a project, whether or not the person
also constructs structures on any of the plots, for the purpose of selling to other
persons all or some of the plots in the said project, whether with or without
structures thereon; or
(iii) any development authority or any other public body in respect of
allottees of
(a) buildings or apartments, as the case may be, constructed by
such authority or body on lands owned by them or placed at their disposal
by the Government; or
 plots owned by such authority or body or placed at their disposal by the
)

Government,for the purpose of selling all or some of the apartments or plots; or

(iv) an apex State level co-operative housing finance society and a primary co-
operative housing society which constructs apartments or buildings for its
Members or in respect of the allottees of such apartments or buildings; or
(v) any other person who acts himself as a builder, coloniser, contractor,developer,
estate developer or by any other name or claims to be acting as theholder of a
power of attorney from the owner of the land on which the building or apartment is
constructed or plot is developed for sale; or
(vi) such other person who constructs any building or apartment for saleto the
general public.
Explanation.For the purposes of this clause, where the person who constructs or
converts a building into apartments or develops a plot for sale and the persons who
sells apartments or plots are different persons, both of themshall be deemed to be
the promoters and shall be jointly liable as such for the functions and
responsibilities specified, under this Act or the rules andregulations made
thereunder;
ts for such purposes

IMPORTANT DEFINATIONS
Sec 2(b) :
advertisement" means any document described or issued as advertisement through any
medium and includes any notice, circular or other documents or publicity in any form,
informing persons about a real estate project, or offering for sale of a plot,building or
apartment or inviting persons to purchase in any manner such plot, building or apartment or to
make advances or deposits for such purposes

. sec 2(k) :
carpet area" means the net usable floor area of an apartment, excluding the area covered by
the external walls, areas under services shafts, exclusive balcony or verandah area and
exclusive open terrace area, but includes the area covered by the internal partition walls of the
apartment
"
"planning area" means a planning area or a development area or a local
planning area or a regional development plan area, by whatever name called, or any
other area specified as such by the appropriate Government or any competent authorit
and includes any area designated by the appropriate Government or the competent
authority to be a planning area for future planned development, under the law relating
to Town and Country Planning for the time being in force and as revised from time to
time;
 SEPARATE BANK ACCOUNT

The provision states that the promoter should deposit 70% of the amount received
from customer in a separate special account.

The amount can be withdrawn based on the percentage of work completed and the
same has to be certified by an Architect, Engineer and Chartered Accountant
 ROLE OF CHARTERED ACCOUNTANT IN
COMPLIANCES TO BE MADE BY PROMOTOR
1.Certification of incurred cost at time of registration
2.Cerificate for POCM based withdrawal form separate account
3.Quartely updates
4. Audit