The Real Estate (Regulation and Development) Act, 2016 (RERA) is a legislation aimed at protecting the rights of property buyers in India and ensuring transparency and accountability in the real estate sector. This act applies to both new and resale properties and provides several rights and protections to buyers of resale flats.
To answer the question, is RERA applicable for a resale flat? The answer is yes!
The Real Estate (Regulation and Development) Act, 2016 (RERA) applies to resale flats in India. RERA is a national law that regulates the real estate sector and provides a framework for protecting the rights of buyers and other stakeholders in real estate projects.
The law applies to both new and resale properties, so if you are buying a resale flat, you are entitled to the same protections and benefits under RERA as you would be if you were buying a new property.
For example, under RERA, all resale flats must be registered with the relevant regulatory authority, and the developer must provide certain disclosures and information to buyers, such as details about the construction status of the project, the location, and the specifications of the flat. In addition, if you have any complaints or grievances related to the resale flat, you can file a complaint with the RERA regulatory authority.
Therefore, if you are considering buying a resale flat, it’s important to be aware of your rights and protections under RERA and to take steps to ensure that you are fully informed and protected when making your purchase.
Rights and Protections Under RERA in India
The Real Estate (Regulation and Development) Act, 2016 (RERA) is legislation passed by the Government of India to protect the rights of property buyers in India and ensure transparency and accountability in the real estate sector. Some of the key rights and protections offered under RERA are:
Transparency in dealings: RERA mandates that developers must disclose all relevant information regarding the project, including the layout plan, carpet area, the status of approvals, etc.
Timely delivery of projects: Developers must deliver the project within the promised timeline, and in case of any delay, they are liable to pay compensation to the buyers.
Protection of buyer’s money: RERA requires that developers deposit 70% of the funds collected from buyers in a separate bank account, to be used only for the construction of the project.
Right to information: Buyers have the right to obtain information about the status of the project, including the timeline for completion, from the developer or the RERA authority.
Grievance redressal mechanism: RERA provides for an efficient and effective grievance redressal mechanism, through the establishment of Real Estate Regulatory Authorities (RERAs) at the state level. Buyers can file complaints with the RERA if they have any grievances regarding the project.
Right to claim compensation: In case of any delay or defects in the construction, buyers have the right to claim compensation from the developer.
Right to rectification: In case of any defects or deviations in the construction, buyers have the right to demand rectification within a specified timeline.
These are some of the key rights and protections offered to buyers under RERA, which aim to promote transparency and accountability in the real estate sector and ensure the protection of the rights of property buyers in India.
What are Resale Flats?
Resale flats are apartments or properties that have been previously owned and occupied by someone and are now being sold again. In other words, these are second-hand properties that have been transferred from one owner to another through a sale transaction.
Resale flats can be a good option for those who are looking for a more established property in a mature location, as opposed to buying a new property that is under construction. Resale properties often come with a certain level of infrastructure and amenities and may be available at a more affordable price compared to new properties.
However, it’s important to note that resale properties may also come with some disadvantages, such as potential legal issues with the previous owner, maintenance problems, or a lack of transparency in terms of the property’s history. It’s recommended to do proper research and due diligence before purchasing a resale flat.
Points to Note Down Under RERA Act For Resale Flats
Compliance with RERA: Resale flats must comply with RERA regulations, including the requirement for all projects to be registered with the relevant RERA authority.
Disclosure of information: The seller of the resale flat must provide the buyer with all relevant information about the property, including the layout plan, carpet area, status of approvals, etc.
Protection of buyer’s money: In case of resale, the seller must provide the buyer with the original title deeds and necessary documents related to the property, to ensure the protection of the buyer’s money.
Due diligence: It’s important for buyers of resale flats to conduct due diligence on the property, including a title search, to ensure that there are no legal issues or encumbrances attached to the property.
Grievance redressal mechanism: In case of any issues with the resale flat, buyers have the right to file a complaint with the relevant RERA authority for resolution.
Right to compensation: If there are any defects or deviations in the construction of the resale flat, buyers have the right to claim compensation from the seller.
Right to rectification: In case of any defects or deviations in the construction of the resale flat, buyers have the right to demand rectification within a specified timeline.
To conclude, It’s important to note that these rights and protections offered under RERA apply equally to buyers of resale flats, and are designed to ensure transparency and accountability in the real estate sector and the protection of the rights of property buyers in India. To know more and understand RERA complaints, feel free to contact our experts at Vakilsearch.
Read more,
- RERA Registration and Approvals Process
- Know About the RERA Registration Fees in India
- Duties & Functions of RERA Authority
