“Investing in a property is not easy; you need to do so much due diligence,” grumbled Rajat.
But his father was adamant. He opposed him with gusto, “It was so once upon a time. Not any longer. Nowadays, RERA eliminates the need for most of the due diligence.”
“Yes, I have also heard there are rights of homebuyers under RERA.”
“And duties too,” said his father.
If you are considering buying a property now, you should be aware of your rights and duties under RERA.
In this article, we will discuss them.
Keep reading.
Applicability of RERA
The RERA was established to regulate the real estate market. It was designed to address project completion, construction quality, and several other factors.
The regulating authority grants buyers several rights to safeguard their interests. RERA was created to increase accountability on the part of developers and realtors.
RERA applies to both residential and commercial projects that exceed 500 square meters or eight apartments. They include both new and continuing initiatives that did not receive completion certificates.
Homebuyers’ Rights
Right to information
West Bengal has its official RERA website, enabling buyers to access real-time information regarding projects, including:
- RERA registration number
- Project completion timeline
- Necessary permissions and approvals from relevant authorities
- Project’s legal status
- Sanctioned plans and layout plans
- Developer’s profile
Developers must provide these facts, allowing buyers to make an informed decision about their property purchase.
Project completion timeline
Homebuyers have the right to know when the project will be completed.
The project details also include the availability of services like water supply, sanitation, and electricity.
Timely possession
The RERA also allows a homebuyer to acquire possession of the property, including common facilities, from the association of allottees once all procedures and payments have been completed.
Developers must follow the rules outlined in the RERA regarding project completion and timeframes.
Documentation
After taking possession, a homebuyer must get several important documents, such as the sale deed, possession letter, and a copy of the completion certificate. After the developer has granted physical ownership of the property, the buyer has the right to see any essential documents and designs, including those for shared spaces.
Refund claim under RERA
RERA safeguards the interests of buyers who want to withdraw from a project because the developer fails to keep its promises.
Homebuyers have the right to claim a refund of the money paid, along with interest and compensation, from the developer if he is unable to deliver possession of the property according to the terms of the sale agreement.
To seek a refund, the buyer can file a complaint with RERA.
However, RERA allows developers to specify a fair delivery timeframe, and if they fail to meet this deadline, they must pay the appropriate fines.
If buyers are dissatisfied with RERA’s ruling, they may file a complaint with the Appellate Tribunal.
Compensation in the case of defects
If the buyer detects a structural problem or other defect in craftsmanship of the property, quality, provision, or service associated with the property within five years of taking ownership, they are entitled to compensation.
The developer must fix the fault within 30 days, at no additional cost. If the builder fails to do so, the buyer has the right to seek compensation.
Filing complaints
To allow buyers to file complaints against developers, a grievance redressal procedure is established. Buyers can resolve problems with the Real Estate Regulatory Authority or the Appellate Tribunal.
Homebuyers’ Duties
Taking possession of property
RERA outlines the buyer’s obligation to take possession of the property within a set time.
Homebuyers must take physical possession of the property within two months of the occupancy certificate being issued.
Making payment
Every homebuyer who has entered into an agreement of sale to purchase a property is expected to make the necessary payments within the given time. The terms and conditions are specified in the sale agreement.
These payments include registration charges, municipal taxes, water and electricity charges, maintenance charges, etc.
Interest payment
Homebuyers must pay interest if they fail to pay any amount owed on time.
Duty to participate in the registration
The RERA mandates homebuyers to actively participate in the registration of the conveyance deed of the property.
Duty to form a buyers’ association
Every homebuyer should contribute to the development of a homebuyers’ association to safeguard the interests and well-being of the residents.
The Final Word
Implementing RERA has significantly increased trust among homebuyers, with different regulations in place to protect property buyers’ rights.
The authority also establishes standards that developers and promoters must follow to maintain operational efficiency and promote fair practices. However, homebuyers are also required to adhere to certain guidelines laid down by RERA.
