Buying a home is the quintessential dream for many, yet navigating the complexities of the real estate market often proves daunting.
Historically, buyers faced a myriad of challenges, from ambiguous pricing structures to unreliable completion timelines. However, with the introduction of the Real Estate Regulations Act (RERA) in 2016, the landscape of property buying in India has undergone a transformative shift. Let’s delve into the significant advantages that the RERA Act brings to property buyers:
Standardized Carpet Area:
RERA has brought uniformity to the calculation of carpet area, eliminating discrepancies between developers. With a clear definition in place, buyers can now make informed decisions based on accurate measurements, ensuring transparency in transactions.
Rate of Interest on Default:
In cases of default, whether by the buyer or the builder, RERA mandates equal interest rates for both parties. This provision fosters fairness and accountability, balancing the dynamics between buyers and developers.
Reduces the Risk of Builder Insolvency/Bankruptcy:
By requiring developers to deposit 70% of project funds into a separate account, RERA mitigates the risk of fund diversion and project abandonment. This safeguard ensures that buyer investments are channeled into the intended project, promoting timely completion and delivery.