RERA Rules- Real Insights by RealDocs : Part 4
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Under the RERA Rules Series Part 1, 2 and 3, we have done the comparative study of RERA rules set by seven different states including Karnataka, Maharashtra, Haryana, Telangana, Madhya Pradesh, Punjab, and Rajasthan. To conclude, in this last part, we are covering the rules set by other states like Andhra Pradesh, Gujarat, Uttar Pradesh, Orrisa, Bihar, Uttarakhand, Keralaand the seven Union Territories, broadly under the following categories:

1.Definitions: 

As detailed in other RERA Series, definitions like Act, Annexure, Applicant, Authenticated Copy, Authorised Representative, Association of Allottees, Ongoing Project, Layout Plan, Legal Practitioner, Common Areas and Facilities of a building, are also covered in these States.

 

2. Additional Document Requirement:

Apart from the requirements mentioned in RERA Act, each of these States have asked for the additional set of documents which are:

  1. Authenticated copy of PAN
  2. Open car parking area details
  3. Legal deeds
  4. Information relating to FSI/TDR
  5. Proposed floor space index etc.

In addition, Andhra Pradesh in particular, asked for the Details of Amenities and Common Areas of the apartment, Structural Stability Certificate and Insurance of Title of the Land.

 

3. Ongoing Projects:

The criteria for Ongoing Projects as mentioned in the RERA Act remains the same for all states except Andhra Pradesh and Uttar Pradesh, where some Projects are exempted from the definition of Ongoing Projects wherein:

  • The services of the Project are handed over to the local authority;
  • The common areas and facilities are already handed over to the Apartment Association;
  • Development is completed and 60% of the units are sold;
  • Development is completed and application for occupancy certificate is filed before the concerned authority.

 

4. Rate of Interest:

Under the RERA Rules, the rate of interest payable by the promoter and allottees is the same and fixed as the highest lending rate of the State Bank of India plus two percent like other states.

 

5. Timeline for Refund:

Cases where allottees cancel the agreement and do not wish to buy the unit, the Promoter has the obligation to refund the sale amount deposited by the allottee within a specific time frame. Across all the States the time for refund varies from 45 days to 60 days from the date of refund.

 

6. Discriminatory Rules:

Similar to Rajasthan and Haryana, Andhra Pradesh has also specified in its rules that there should not be any discrimination on allotment based on sex, caste, creed, color, religion, etc.

 

7. Performa of Agreement:

Performa of Agreement is notified across all the states and is in line with aims and the objectives of RERA Act. The standard clauses mentioned in the Proforma will protect the buyers from unfair and arbitrary terms laid down by Promoters. It has also been specified that in the event of any deviation with regard to the terms and conditions of the Agreement entered between the Promoter and the buyer, the terms listed in the Performa will supersede.

 

8. Penalties:

In all States, the penalty for non-registration of the Project or violation of laws or false representations by the Promoter is same as ten percent as stated under the RERA Act. However, Gujarat RERA Rules has reduced this to five percent of the estimated cost of the Project.

 

This is the concluding article on RealDocs’ Insights on RERA Rules 2017. We hope our analysis of RERA Rules for different States helped you understand the RERA Act and it’s implications and variations within different states.

 

We will shortly be coming up with ‘RERA Developments across India’. Stay tuned!

If you are planning to buy a property sometime soon, RealDocs has created a mobile app that aims to help you determine what documents are required for a particular property based on the type of property, and most importantly, the applicable laws of your state.  Feel free to download the RealDocs app from the Google Play Store, by clicking here.

 

RealDocs Team