In this article, we will learn about the RERA authority and what are the functions and duties performed by the RERA authority.
The Real Estate (Regulation & Development) Act, 2016 includes a provision for the establishment of a state-level Real Estate Regulatory Authority (RERA). This body was formed to monitor the real-estate sector and adjudicate disputes related to it. RERA’s main functions and duties are discussed in this article.
The Real Estate Regulation and Development Act of 2016 stands for RERA Act. It aims to protect home buyers from the illegal activities of builders. This blog will go over the RERA Authority’s influences and roles. Before implementing RERA, the country’s consumer courts handled the complaints made by homebuyers against the builders. These grievances were made in accordance with the Act of the Consumer Protection.
Nevertheless, following the application of the Act of RERA, various forums such as the RERA Authority, Appellate Tribunal, and Adjudicating Officers have emerged. These forums handle complaints about reimbursements from property builders, delayed possession of houses, etc.
This blog will learn more about the RERA Act and its functions and duties toward home buyers in India. And if you have plans to invest in a property or register a property anytime soon, this blog will come in handy for you to understand the works of RERA better.
What is RERA Authority?
RERA Authority is an abbreviation for Real Estate Regulatory Authority. The government established it to oversee the operation of the real estate industry. The government introduced this Act to make property buying and selling more accessible and transparent for both the parties involved.
This authority requires builders and property promoters to unveil all relevant project information. Furthermore, every agent of the real estate industry must register themselves and their projects with the appropriate authorities. The RERA Authority’s primary function is to offer buyers relief by quickly resolving disputes. The Authority is also in charge of enforcing industry accountability and transparency.
The government of every state were required to create a RERA Authority within one year of the RERA Act’s implementation in 2016. Furthermore, the RERA Act specifies all RERA Authority’s duties and functions. The government of India has the authority to establish one or more RERA Authorities in each state or territory.
Also, the authority of RERA is a Body Corporate. That is, it possesses the common closure and uninterrupted succession of properties. This Body can also own, acquire, and sell the fixed and portable property and enter into contracts.
How Does the RERA Authority Function?
The functions performed by RERA Authority are as follows
- Regulate & Register: This authority has the authority to list and control real estate agents and the various projects in the real estate industry
- Maintaining and publishing records: It must issue and sustain project records for community viewing
- Preserve Promoters’ Database: It must keep a database of all projects on its website. The database includes evidence and photographs of the promoters or projects whose licences have been revoked
- Maintain Record of All Real Estate Agents: The RERA authority must keep a record of the real estate agents. It also lists and photographs agents whose authorisations have been cancelled or banned
- Rebuild Regulations: A RERA Authority must repair the rules and regulations that govern each area under its jurisdiction. It may also specify the fees to allottees, promoters, and real estate agents
- Ensures Obligation Compliance: This authority ensures that all obligations imposed on builders, property allottees, and estate agents are met
- Ensures Order Compliance: It must ensure that all its guidelines and orders are followed
RERA Authority’s Functions in Promoting the Real Estate Sector
The Authority of RERA can suggest the Central Government help the estate sector grow and be promoted. It can make recommendations in the following areas:
- Fortification of the promoter’s, builders’, allottees’, and estate agents’ interests;
- Establishment of a single-window instrument for confirming timely sanctions for project completion;
- Establishment of a Robust Grievance Redressal System in contradiction of the competent authority’s act, instruction, and omission;
- Methods for Promoting Real Estate Investments;
- Measures to increase financial support for the reasonable housing sector;
- Methods to encourage the building of affordable and ecologically supportable housing
- Efforts to promote the usage of suitable building fixtures, fittings, techniques and materials;
- Ways to encourage development grading on several development factors, including promoter grading;
- Procedures for resolving disagreements between house allottees and developers amicably;
- Methods for facilitating land record digitisation;
- To advise the government on RERA complaint status matters regarding the progress of the real estate sector. Such guidance must be offered within two months of receiving the referral from the government;
- Any other case that the RERA authority deems essential for the up-gradation and growth of the real estate sector.
Duties and Powers of RERA Authority
The RERA Authority in India has the following powers and duties:
- To request data from any allottee, promoter or estate agent;
- To examine the promoter’s or agent’s books of documents, records and accounts.
- To have all the establishments and powers of a Civil Court as per the Code of Civil Procedure, 1908;
- To issue Temporary Orders to detain Promoters, Allottees, and Agents from engaging in any activity that is contrary to the requirements;
- To enforce a price on any Builder or Agent who violates the Act’s provisions;
- To denote a matter/situation to the Competition Commission of India. The tenure matter refers to a certain monopoly condition that has harmed allottees’ interests.
- To amend or rectify any order within two years if there is a mistake on the promoting record;
- To recoup interest, penalties and compensation from agents, allottees and promoters.
Conclusion
This article explains the Real Estate Regulation and Development Act (RERA) authority in detail and the essential functions performed by the Real Estate Regulation and Development Act (RERA) authority. With that, we have also shed light on the functions of the RERA authority in promoting the real estate sector. The duties and powers of the RERA Authority in India have also been discussed in this article.
The government of India implemented RERA to address issues that buyers of property have to face. The Act was also launched to upsurge responsibility and transparency in the real estate sector. The Authority oversees the real estate sector. However, the real estate project and the agent must be registered.
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