RERA, as it is commonly known as, is the Real Estate Act 2016 and one of the prime reasons which are leading Navi Mumbai to be the next Real Estate hub. This enactment by the Indian Parliament is mainly aimed at protecting the interests of the home buyers by bringing in the crucial element of transparency in the Real Estate transactions.In turn, this is further expected to boost the investments made in the Real Estate Sector. Under this Act, all the developers have to register all their Real Estate Projects ( More than 500 Sq. Meters or More than eight apartments) with their respective state’s RERA.With this Act, a regulatory authority has been established in India for the Real Estate Sector which is a move long awaited.
Given the nature of Mumbai and the ever-increasing population of Mumbai, a flats in Navi Mumbai is the most desirable one for all MumbaiKars. Navi Mumbai, with its clean and green environment, has always attracted more dwellers than Mumbai. The area has better connectivity, infrastructure and thus calls for a second home for many. Navi Mumbai is a well-planned rapidly developing modern metropolis. Ulwe property rates are affordable to everyone and looking at the development it will be the preferred residential Property in Navi Mumbai are sought after, given the above-mentioned reasons and more. The real estate sector in India was infamous for its notorious non-transparent nature. This made people, and home-buyers think million times before leaping into the deal. It is observed that a few years ago, the builders and developers followed a trend! Home-buyers had to pay the 30-40% of the total property price in the form of cash. A tradition of seeking cash component would turn the heads off of the regular middle class and upper middle-class buyer.RERA is indeed a pro-consumer Act. With this Act, the informed home-buyer insists on cheque payment and also demands to record all the transactions thus made.All this and more has given an impetus to the already developing city of Navi Mumbai. Then let it be Vashi or Ulwe; RERA has given those wings to the aspirations of a common man.
The main highlights of the Act include
- The compulsory registration of the project with the Maharashtra State RERA.
- The provision of Reserve Accounts so that the funds collected for a new project can’t be re-routed to the other one. Thus, 70% of all the receivables of a project need to be parked under a specially meant Reserve Account.
- The promoters need to disclose the progress of the project to RERA continuously. This will enable the home-buyers to monitor the project at a click of a button.
- Title representation and standardization of sales agreement.
- Penalty: – The violators of the Act will be penalized strictly up to 10% of the project cost and have to undergo imprisonment.
Why wait? With RERA, there are a million reasons to be a proud Navi Mumbaikar!