RERA (Real Estate Regulatory Authority) registration is a mandatory process for real estate developers and agents in India, designed to promote transparency, accountability, and efficiency in the real estate sector. The Real Estate (Regulation and Development) Act, 2016 (RERA) was enacted to protect the interests of homebuyers and ensure fair practices in the industry. Below is a detailed guide on how to complete RERA registration, covering all essential aspects:
Who Needs to Register Under RERA?
- Real Estate Developers: Any developer or builder involved in the construction and sale of residential or commercial properties, including plotted developments, must register their project with RERA before advertising, selling, or booking any units.
- Real Estate Agents: Individuals or companies acting as intermediaries in the sale or purchase of properties must also register with RERA.
Steps for RERA Registration
1. Visit the Official RERA Website
- Each state in India has its own RERA authority, and the registration process is state-specific. Begin by visiting the official RERA website of the respective state where the project is located.
2. Create an Account
- For first-time users, you need to create an account by providing your email ID, mobile number, and other basic details. An OTP (One Time Password) will be sent to your registered mobile number for verification.
3. Select the Type of Registration
- Choose whether you are registering as a Promoter (Developer) or a Real Estate Agent. The registration forms differ based on the type of applicant.
4. Fill in the Application Form
- For Promoters:
- Project Details: Provide details such as the project name, location, type (residential or commercial), and area covered.
- Ownership Details: Submit details about the ownership of the land on which the project is being developed.
- Legal Title: Upload the legal title deed, along with details of land ownership rights and any encumbrances on the land.
- Past Experience: Include information about previous projects completed by the developer, if any.
- Project Sanctions: Upload all necessary approvals from local authorities, including the layout plan, building plan, environmental clearances, etc.
- Financial Details: Provide the estimated cost of the project, including land cost, development cost, and other expenses. A declaration about the amount deposited in a separate RERA account must also be submitted.
- For Real Estate Agents:
- Personal/Company Details: Provide personal details such as name, address, and contact information, or company details if registering as a company.
- Business Details: Include details about the business, such as the number of years in operation, areas of operation, and services provided.
- PAN and GST: Upload a copy of the PAN card and GST registration certificate.
5. Upload Supporting Documents
- Depending on the type of registration, you will need to upload various supporting documents. These might include:
- For Developers:
- PAN card of the promoter
- Income tax returns (last 3 years)
- Project layout plans and sanctioned plans
- Commencement certificate
- Building plan approval
- Encumbrance certificate (if applicable)
- Legal title deed
- For Real Estate Agents:
- PAN card of the individual or company
- Proof of address
- Photograph of the applicant
- Details of any pending litigation (if applicable)
- Copy of the registration certificate of the firm/company
6. Pay the Registration Fee
- The registration fee varies by state and the type of applicant. Payment can typically be made online through the RERA portal via net banking, credit/debit card, or other payment methods.
- For Developers: The fee is usually calculated based on the area of the project.
- For Agents: The fee may vary based on whether the applicant is an individual or a company.
7. Submit the Application
- After filling in all details and uploading the necessary documents, review the application to ensure accuracy. Submit the application online.
8. Verification and Approval
- Once submitted, the application will be reviewed by the RERA authority. They may seek additional information or clarification if required.
- If the application is found to be in order, the RERA authority will grant the registration, typically within 30 days.
- A unique RERA registration number will be issued to the project or agent, which must be quoted in all promotional materials and transactions.
Post-Registration Compliance
1. Update Project Details Regularly
- Developers must regularly update the status of the project on the RERA portal, including information about construction progress, sales, and financial disclosures.
2. Adhere to RERA Rules and Regulations
- Ensure that all dealings, advertisements, and transactions comply with RERA provisions. Any deviation can lead to penalties or even cancellation of registration.
FAQs on RERA Registration
1. What happens if a developer does not register under RERA?
Failure to register a project under RERA can result in severe penalties, including imprisonment for up to three years or a fine of up to 10% of the project cost.
2. Can a buyer verify if a project is RERA registered?
Yes, buyers can check the registration status of a project on the respective state’s RERA website by entering the registration number or project name.
3. How long is the RERA registration valid?
RERA registration is typically valid until the project’s completion date as declared at the time of registration. However, extensions can be sought under certain circumstances.
4. Can the RERA registration be transferred?
Yes, in case of a change in ownership or developer, the RERA registration can be transferred to the new entity with prior approval from the RERA authority.
Conclusion
RERA registration is an essential process for ensuring that real estate activities are conducted transparently and in compliance with the law. Developers and agents must follow the registration process meticulously to avoid penalties and to build trust with their clients. Buyers are encouraged to verify the RERA registration of any project before making a purchase to safeguard their investments.
Disclaimer: This information is intended for general guidance only and does not constitute legal advice. Please consult with a qualified lawyer for personalized advice specific to your situation.
Adcocate J.S. Rohilla (Civil & Criminal Lawyer in Indore)
Contact: 88271 22304