RERA Registration

RERA registration is required for individuals and companies that buy and sell properties. This was brought out by the Government of India to improve the standards of transparency. It is crucial to consider this form of registration. Securing this form of registration is crucial, hence it is suitable to utilise ex..

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RERA Registration- An Overview

To increase the amount of transparency in land dealings (buying and selling), the government of India promulgated the RERA Act in 2016. This act was brought out in response to address the requirements of buyers, sellers, brokers and other concerned stakeholders in the real estate industry.

There have been many amendments since the inception of the act. Hence all the concerned stakeholders require an understanding on how RERA applies to real estate sector. Before the implementation of the RERA there was no form of transparency or accountability in the real estate sector. Plus dealings with authorities such as the SEBI, IRDAI and TRAI were not considered.

The Real Estate (Regulation and Development) Act, 2016, (RERA) was enforced in May 2016. Due to this regulation, all institutions, intermediaries and other authorised bodies must secure this form of registration.

Statistics of Real Estate Industry in India

As per statistics and reports produced by the Indian Brand Equity Foundation, the Real estate sector as of March 2020 is projected more than USD 10 Billion. Previously in 2019 this figure was only 2 Billion. The market size of real estate industry in India is estimated at USD 1 trillion.

Through the RERA regulation, it is proved that transparency and accountability is increased due to integrity in this sector. As per the DPIIT the amount of FDI (foreign direct investment) in the construction sector is the fourth largest in India. There are different routes for obtaining foreign direct investment in the country.  Permitted activities related to real estate and constructions are allowed. This is projected to rise at a stable rate in the country 

Why RERA registration is required in India?

RERA registration is required in India

  • Transparency

Any institution which is registered under the RERA authority would be more transparent with all the dealings under RERA. As per the RERA all construction companies should inform the owners on the progress of the property. This act would not only apply to construction companies, but also apply to real estate brokers and conveyance specialists. All information related to the construction must be mentioned to the owner of the house. Hence, registering under RERA would make compliance mandatory.

  • Accountability

RERA registration automatically increases the accountability of a company. The company has to be accountable for the progress of the building. Apart from this, the company would also have to inform the progress of the construction to the owner or landlord of the premises. Construction companies and real estate brokers under this act are accountable on their promise. If their promise is broken, then the owner can file a complaint with the regulatory authority.

  • Uniformity

Another important factor for registration under RERA is uniformity. Real Estate Regulation Act would be applicable throughout India. Though under different states there are separate registrations. For example, any construction company which is present in Bangalore would have to register with Karnataka RERA. Similarly a company that is present in the jurisdiction of Delhi would require registering with RERA Delhi.

Main Purposes of RERA Registration

Main Purposes of RERA Registration

  • Increase Confidence

Through this form of registration the prospective owners of properties would be more confident when dealing with real estate companies, agents and authorities. Due to increase in governance as a result of this regulation, there is increase in confidence.

  • Increase Transparency

Once of the main objectives of bringing RERA was to promote governance and transparency when it comes to dealing with real estate transactions. This was one of the primary purposes for bringing out the RERA registration process.

  • Provide Settlement Mechanism for Disputes

All grievances related to the buyer would be dealt under the RERA. Hence through this process, all disputes related to property would be settled speedily.

  • Cut out Land Related Scams

Before the enactment of the RERA, land dealings were filled with corruption. Apart from corruption, there was immense cheating in this sector. After implementing RERA the amount of cheating and land related scams have drastically reduced.

  • Reduced Delays

Another objective is to reduce any unnecessary delays when it comes to processing of Paper works. Delays at all processes would be reduced through this regulation.

  • To Increase Professionalism in this Sector

Before the enactment of the RERA act, there was no professionalism in the real estate sector. It was filled with unnecessary delays, bribes and cheating which are not the principles of professionalism. With the enactment of the RERA the amount of professionalism has drastically increased in this sector by reducing the amount of delays and unprofessional dealings.

  • To Improve Compliance

Through RERA registration, there can be increased compliance not only through accountability and governance but also through complying with relevant laws of the land. 

Benefits of RERA Registration

Benefits of RERA Registration

  • Project Completion within Time

With the implementation of RERA all construction projects would be completed within the stipulated time given by the construction company. Usually builders and construction companies do not make a correct estimate in completing the work related to construction of particular premises. After RERA, there are stringent regulations to be followed by the developer. In case, the project is not completed as per the requirements, then the money should be refunded back along with specific amount of interest.

  • Estimated Project Details

Before implementing RERA, builders could hardly estimate the construction of the particular project. Apart from this, the amenities included in the project would not be properly advertised as per the requirement. After implementing the RERA, builders and construction companies have to provide a proper estimate related to the construction. Apart from this, builders must not falsely state the amenities present in the particular property.

  • Informed Progress of Construction

When the activities or progress of the construction starts, the builders have to continuously inform the progress of the construction to the owner. This must be carried out regularly by the construction company. When the progress of construction comes to the halt, the owner must be informed regarding the same.

  • Clearances obtained on Time

The builder and developer must obtain all clearances related to land. This main purpose of securing these clearances on time is to provide the flat or premises as soon as it is ready to the buyer.

  • Professionalism

The Government of India brought out this regulation to improve the amount of professionalism in dealing with construction and other real estate related activities. Through this, professionalism, governance and accountability can be achieved. Buildings have to be provided as per the information provided by the builder. If there are any defects in the structure of the premises, then the same must be reported to the builder. Any defects or structural inefficiencies related to building have to be remedied or mitigated by the builder. The builder has a period of 5 years to make changes.

  • Complaints Handling Procedure

Any person under the system of RERA 2016 can make compliant. This would apply to prospective buyers of the premises. Apart from this, builders and real estate brokers can also make complaints under this system.

Eligibility for RERA Registration

The below criteria have to be satisfied for registering with the RERA:

criteria have to be satisfied for registering

  • Applicability

RERA regulation would not only apply to promoters of buildings and construction companies but also would apply to all other intermediaries in the real estate sector. Building Companies, developers, real estate agents and real estate intermediaries would be required to be compliant with Real Estate Regulation Authority.

  • Type of Premises

All residential projects, commercial projects and community projects would require this form of registration. Hence the builder would have to consider this registration, if the above projects are undertaken.

  • Structure of Premises

Previously RERA registration was only required if the building and project exceeds more than 500 sq meters and there are more than eight apartments in the premises. However, this requirement has also been extended to buildings which are lesser than 500 sq meters and which have lesser or up to eight apartments.

  • UIN (Unique Identification Number)

An applicant can make an application only with a Unique Identification Number. This unique identification number is only provided when the applicant registers with the Real Estate Regulatory Authority.

How to Register with RERA (RERA Registration)

RERA Registration

  • Visit Website

The applicant for RERA registration must visit the official website to make an application for RERA registration.

  • Create an Account

After visiting the website the applicant must create an account by entering details of the email and the respective password. Apart from this, other crucial information would be asked while filing the form.

  • Fill the Form

After creating an account, the applicant must provide information for filing the form. Here information related to the projects or construction contracts must be mentioned.

  • Attach Respective Documents

The applicant for RERA registration would be required to attach the requisite Paper works with the application. Once this is completed the applicant can proceed further with the process of registration.

  • Pay Fees

Once Documents are attached, the applicant has to pay fees for the land registration. The fees charged under this system may be different for residential premises and commercial premises.

  • Make Declaration and Submit the Form

In the final step, the applicant would have to make a declaration regarding the application, that all the information provided by the applicant is true and accurate. All information related to the details of the building must be accurate. After this is checked, the applicant must submit the form for RERA registration.

Documents for RERA Registration

For a Promoter or Company the following Documents are required:

  • Copy of the Memorandum of Association and Articles of Association
  • Certificate of Incorporation of the Company
  • Registered Business Address of the Business
  • Email of the company
  • PAN Card
  • TAN Card
  • CIN  (Company Identification Number)
  • Information related to prior real estate experience
  • Information related to the directors and shareholders
  • Any present real estate project.

An individual promoter or builder would require the following Documents for RERA registration:

  • Individual Name
  • PAN Card
  • Fathers Name
  • Occupation
  • Residence Proof
  • Income Tax Details
  • Audited Balance Sheets
  • Promoters Official Website
  • Income Tax Return
  • Previous Project Experience
  • Passport Size Photographs
  • Email ID of the Builder

Information and Documents required for RERA registration of the Real Estate Agent:

  • State
  • District
  • Tehsil Details
  • PNB (Punjab National Bank) details
  • Digital Signature Certificate
  • Registration Fees Copy
  • Registration Date
  • Date of Payment
  • Individual Name
  • PAN Card
  • Fathers Name
  • Occupation
  • Residence Proof
  • Income Tax Details
  • Audited Balance Sheets

How to reach Enterslice for RERA Registration?

Fill The Form

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Frequently Asked Questions

The following commercial projects would be handled under RERA:

• Complex

• Commercial Establishments

• Shopping complexes

• Office Spaces

• Multiplexes

• Malls

This act would not be applicable to any form of projects which have already been completed. However, the provisions related to RERA would be applicable to on-going projects. Any project which has not received any certificate of completion is known as an ongoing project.

No. Prior to securing this form of registration, a builder is not allowed to advertise the premises. However, after securing the RERA the promoter or the developer is allowed to advertise the premises.

The following penalties can be levied on the promoter:

• Non Registration of Projects by a promoter- Penalty is 10% of the total project cost.

• Providing Misleading Information- Penalty is 5% of the total project cost.

• Non-compliance with Laws- Penalty is imprisonment for 3 years or paying a fine which is 10% on the total project cost.

The following penalties can be levied on the buyer:

• Non Compliance – Daily penalty of 5% on the cost of the project.

• Non-Compliance with the directions of the RERA tribunal- Imprisonment up to a period of one year or 10% of the total project cost.

Yes this is possible if there is a formal complaint against the promoter or the developer. The RERA registration authority will take these steps to remove the promoter or developer in case of non-compliance.

Yes professionals at Enterslice offer end to end services for your registration needs under RERA. This process can be completely carried out online.

The following penalties can be levied on the real estate agent:

Non Compliance – Daily penalty of 5% on the cost of the project.

Non-Compliance with the directions of the RERA tribunal - Imprisonment up to a period of one year or 10% of the total project cost.

RERA Registration is the registration for the Real Estate Regulation Act. As per this all developers have to

The status of RERA can be checked online through the RERA registration website.

Usually for the application of RERA it would take about 5 business or working days. However, if there are some inconsistencies with the registration, then the process will take longer.

RERA registration is important so that compliance can be maintained by every Construction Company, developer or broker to ensure projects are delivered on time.

The following procedure is required for RERA registration:

• Visit Website

• Create an Account

• Fill the form

• Attach Respective Documents

• Pay Fees

• Make Declaration and Submit Form

Previously RERA registration was only required if the building and project exceeds more than 500 sq meters and there are more than eight apartments in the premises. However, this requirement has also been extended to buildings which are lesser than 500 sq meters and which have lesser or up to eight apartments.

Yes RERA would be applicable to all on-going projects.

The applicant would have to go online to check the details. The applicant will have to click on registered projects and fine the details.

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