Posh city Provision: RERA can take action against builders, in view of delaying in delivery of buyer’s home

The Parliament of India passed a bill to protect home-buyers as well as help boost investments in the real estate industry was The Real Estate Regulation and Development Act, 2016. It has been implemented in May 1, 2017 with the remaining provisions and The Central and state governments responsibility to make the rules under the Act within a statutory period of six months. Most states have duly established the ray in their state. Most states have duly established RERA(Real Estate Regulatory Authority) in their state till now.

Now, all over India it is important to register the property in RERA with property name and possession date of property to ensure the homebuyers. For an ongoing project the registration and completion certificate is must to take from RERA for rear estates. In There are six provisions in RERA that may prevent the builders from delaying the projects and stick to deadlines

1. Affidavit: Nowadays, promises have no any role. Promoter has to submit a declaration form along with all the required documents which is attached to a written affidavit that describe the statement to the completion time of the project including all phases.

2. Sanctified Possession Date: Promoter will have to submit the “Sale agreement” paper and in that they have to specify the Possession date and Interest rate in the case of any default. Suppose for any new projects, delivery date is the choice of developer but same time buyers have option to not purchase the apartment due to delay in delivery which is too far from committed date.

3. Unique title of the Property: Without having property name registration with proper document, that land is supposed to a disputed and there will be delay in construction and delivery. The affidavit has to be provided by the promoter including legal name of the 'property to be built'.

4. Free from Onus: The land should be free from any onus or loan, it restrict the promoter's ability to transfer title to the property. In the affidavit, it has to mentioned clearly that the land is free from all encumbrances or any charge.

5. Separate A/c to Maintain the construction: Often, we hear that some construction is stopped due to heavy budget or improper management of money. RERA have a provision of maintaining the account which is only use for whole construction project and A/c should be maintain by 70% of the amount released by the real estate project from the buyers. Only, this A/c could used for construction and the land cost. It means, they can withdraw money from account with compare to work completion. This provision is made to complete the whole construction work.

6. Punishment provision: If Builder is not following the rules then he/she is punishable and the imprisonment may extend up to three years or fine of 10% of the estimated cost of the real estate project, or both.

Conclusion
It’s very important that the provisions must be implemented effectively according to the Act and same time state government have responsibility to not get dilute it. For every buyer if he/she is looking to buy any Property for sale in Mohali or across India, it is necessary to check these document before final agreement with the seller. Among many real estate projects, Poshcity is the best that fulfill all provision in Mohali.

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