Are you planning to buy a home in India?
You may have heard about RERA, but you might be wondering why it is such a significant development for homebuyers like you.
The Real Estate Regulatory Authority (RERA), established under the Real Estate (Regulation and Development) Act, 2016, aims to protect the rights of homebuyers and developers, promoting transparency and accountability in real estate transactions.
RERA specifically protects homebuyers from common challenges such as fraud, project delays, and poor construction quality; issues that can turn your dream home into a stressful experience. With RERA, you can approach property purchases with confidence.
In this blog, let’s take a closer look at what RERA approval is, why it matters, the benefits it provides, and how to check RERA approval online before purchasing your next home.
Importance of RERA Approval
Before we dive into its importance, let’s first understand what RERA approval is.
The RERA Act for real estate has made it mandatory for developers to register their projects and to maintain better standards in construction and development.
A RERA-approved project complies with the Real Estate (Regulation and Development) Act, 2016, and developers must register their projects with the respective State RERA. This ensures transparency and accountability in all transactions.
Developers are required to provide detailed information about approvals, certifications, timelines, and financials, which protects homebuyers from fraud and delays.
This registration is mandatory for projects exceeding 500 square meters or those with more than eight apartments, including both residential and commercial developments.
For homebuyers, knowing a project is RERA-approved is necessary. You can verify this by learning how to check RERA approval online, which allows you to confirm the project’s legitimacy, timelines, and compliance status before making any investment.
RERA registration offers multiple benefits to both developers and homebuyers, making it a key factor to consider when purchasing a property.
Let’s understand those in detail below.
Benefits of Buying a RERA-Approved Project
Financial Support
RERA holds developers accountable for the funds they collect. It mandates that at least 70% of the funds or assets paid by buyers must be kept in an escrow account and used only for the construction of that project. This reduces the risk of diverted funds or unfinished projects, giving buyers confidence that their money is being used as intended.
Legal Protection
RERA handles disputes efficiently. If a buyer experiences any legal breach during the purchase process, they can submit a complaint. This regulation provides essential security to buyers when they spend large amounts on properties.
Moreover, in the event of any legal issue, RERA has simplified the process. Earlier, buyers often had to wait for years to settle issues in court. Following the implementation of RERA 2016, the process has become more streamlined, and buyers no longer have to endure years of case proceedings to address a compliance error.
Standardised Measurement
Before RERA, there were no standardized measurements. Builders had their own definitions of terms such as built-up area and super built-up area. Without these norms in place, the different definitions caused more confusion and unfair pricing.
With RERA guidelines, the carpet area is clearly defined, excluding internal walls but including balconies, terraces, and shared spaces. Buyers now get an accurate idea of the actual living space they are paying for, making property pricing more transparent.
Timely Possession
RERA makes the late delivery of projects costly for developers. Buyers are entitled to refunds or compensation if possession is delayed, sometimes with interest.
Earlier, delays were common; however, developers are now legally obligated to adhere to timelines. This reduces uncertainty and gives buyers more confidence in planning their move or investment. So, this provision alone makes investing in RERA-approved homes a much safer and more predictable experience.
Step-By-Step Guide on How to Check RERA Approval Online
Step 1: Look Up the State RERA Portal
Every state in India (except Jammu and Kashmir) has its own RERA portal, where information regarding registered projects, developers, and compliance is available. Start by visiting the portal of the state where the property is located and look for the project search or “RERA registration” box.
- Rajasthan RERA: https://rera.rajasthan.gov.in/
- Maharashtra RERA: https://maharera.maharashtra.gov.in/
- Madhya Pradesh: https://www.rera.mp.gov.in/
Step 2: Input Required Information
Next, fill in the required details to search for the property. Typically, this includes the project name, district, division, or RERA registration number. Using accurate information is essential, as multiple projects may have similar names.
Step 3: Check Details
Once the project appears in the search results, carefully go through all the details. Check the RERA registration number, project size, approvals, construction timeline, and status. This step will help you verify the RERA approval online and compare other projects within a standardized system.
Step 4: Verify Approval Online
Confirm the RERA approval status. Most state portals clearly show whether the project is RERA-registered. If the project is approved, it indicates the builder has submitted all necessary documents, follows safety and construction standards, and is legally compliant.
Step 5: Confirm Builder Compliance
You can also search for the builder on the portal to check their history. Look for information on past projects, timely delivery, and any legal disputes or complaints. Builders with consistent delivery and RERA compliance are generally more reliable, giving you greater confidence in your investment.
Step 6: Keep a Record for Reference
After confirming the approval, note down the RERA registration number and details. This will be useful for future communication with the builder or for legal verification. It also helps you compare multiple projects in the same city.
Red Flags to Look Out For
Before investing in a property, it’s essential to know how to check RERA approval online and identify warning signs of non-compliant projects. Be cautious of projects that are not RERA-registered, as they expose buyers to higher risks of fraud or delays. Here are some telltale signs that a builder of a certain project is not RERA registered:
- Lack of Accountability
Projects without RERA registration are not bound by regulations that govern timely delivery, construction quality, or transparency in financial dealings.
- Delayed Timelines
Non-RERA projects often face delays. This can be due to a lack of legal obligation, poor planning, or regulatory issues.
- Potential Legal Disputes
Since there are no legal obligations, the homebuyers don’t have many rights over the investment. If something goes wrong, homebuyers in non-RERA projects don’t have many legal options to help resolve issues.
- Lack of Transparency
Without RERA oversight, there’s a higher risk of fraudulent practices, such as fund diversion or false promises. Moreover, they are not held accountable for telling you information.
What To Do if a Property is Not RERA Approved?
- Verify With The Builder
There can be a multitude of reasons why to verify with the builder. Sometimes the project can be in the process of getting a RERA approval online. In addition, ask the developer for an update and request to see the application status.
Most of the time, it is an understandable reason why a project isn’t registered yet. Moreover, understanding the RERA registration process can help identify legitimate reasons.
- Avoid Immediate Investment
In the case of an unregistered project, it can become more challenging to continue the investment. If the reason why a project is not registered yet is understandable, and you can afford the wait, then you can wait to invest. On the other hand, if the project isn’t getting registered and the builder seems shady, it’s advisable to drop the deal.
- File a Complaint
As a homebuyer, you can file a complaint with RERA through the official website. On the state-specific RERA website, you can navigate to the complaint filing section. This process will involve registration, then selecting the type of complaint, and providing details about the property, developer, and the issue.
- Look for Alternatives or Seek Legal Consultation.
In the case of an unregistered property, it is the safer option to look for alternatives to the deal. However, you can proceed with caution and possibly with a legal consultation. After you have possession of unregistered property, you might get roped into any future legal repercussions.
So, just be aware of the issues that can arise without RERA as a support system to protect your rights.
Challenges You Might Face When Confirming a RERA Approval Online
Navigating state-specific RERA portals
Each state’s RERA portal may have a different layout and information structure, making it challenging to find the necessary details.
Limited Data
Sometimes, there can be a lack of information on the RERA portal, usually in case of new projects and latest information still not updated.
Website Malfunction
Oftentimes, the RERA official portals are facing technical difficulties, and you might not be able to access any information. Unfortunately, there is no real solution to this issue. You should wait for a while to explore & search on the portal again.
Unregistered Projects
In an unregistered project, it might be even more difficult to deal with. You will have to be a lot more cautious, and it would be best to drop the deal or consult a legal professional, which might cost more money.
Conclusion
Buying property is one of the most significant financial decisions an individual makes. You can follow the steps mentioned in this blog to make sure you understand RERA portal better & get the most information about your next big investment.
And here is a brief overview defining steps on how to check RERA approval online before buying a property –
- Find The State-RERA Portal
- Input Required Information
- Check Details
- Verify RERA Approval Online
- Confirm Builder Compliance
Take the time to explore the RERA compliance of builders and their projects. Rely on verified information on the state RERA portals to ensure a seamless experience for you and your family when buying property.
Moreover, explore projects by Trimurty Builders and Developers to ensure that any project you choose to invest in is RERA-compliant and eco-conscious.
FAQs
Is it safe to buy RERA-approved projects?
Yes, RERA-approved projects are the only ones safe for investment. The added legal protection, transparency, and accountability are the reasons the Indian real estate market is becoming a good bet.
What is the 70% rule of RERA?
RERA mandates that at least 70% of the funds or assets collected be placed in an escrow account to prevent unauthorized use of money intended to finance a real estate project. This prevents diversion of funds and protects buyers’ investments.
What if RERA is rejected?
If not done correctly, officers may ask some of the questions. Suppose the developer or promoter has not addressed the queries. In that case, the application for the registration of the project can be canceled. The Rejection by the RERA authority can also trouble the allottee in the project.
What are the rules for RERA refund?
Under the RERA Act, homebuyers are generally entitled to a full refund of their booking amount, including any additional payments, if the builder fails to fulfill their obligations, such as delays in possession or failure to deliver the project as promised.
How to check RERA status?
How To Check Registration Status? You can visit the RERA website of your respective state. Under the search field, you can put the RERA number provided by your builder. For a project registered with RERA, you will be able to view all the information that your builder has submitted to the respective authority.