An Overview of RERA Registration in Delhi
As the nation's capital and because of its expanding population, Delhi is one of India's most desirable real estate markets. In Delhi, there has been a surge in demand for both residential and commercial buildings, which has resulted in rising property values. The COVID-19 pandemic, altered government regulations, and shifting economic conditions are just a few of the reasons that have had an impact on Delhi's real estate market.In order to promote openness in land transactions (buying and selling), the Indian government published the RERA Act in 2016. In order to serve the needs of buyers, sellers, brokers, and other interested parties in the real estate market, this legislation was introduced. Since the act's introduction, various changes have been made. Therefore, it is important for all parties involved to comprehend how RERA affects the real estate industry. There was no accountability or transparency in the real estate industry prior to the RERA's adoption. Additionally, interactions with agencies like the TRAI, IRDAI, and SEBI were not taken into account.
Eligibility criteria for RERA Registration in Delhi
- Applicable parties to transaction:Promoters and real estate agents, such as builders, developers, contractors, development bodies, and other public bodies that develop property, erect buildings, or rent out apartments, are subject to the RERA Act.
- Unique Identification Number or UIN:Only with a Unique Identification Number may a candidate submit an application. Only after the applicant registers with Delhi's Real Estate Regulatory Authority does this special identifying number become available.
- Type of estate:This type of registration would be necessary for all residential projects, business projects, and community initiatives. Therefore, if the aforementioned projects are conducted, the builder would need to take into account this registration.
- Area of estate:Previously, only projects and buildings larger than 500 square metres and with more than eight flats were required to register with RERA. However, buildings with less than or equal to eight units and less than 500 square metres are also subject to this requirement in Delhi.
Benefits of RERA Registration in Delhi
Registration with RERA Act can provide with many benefits such as:
- Timely possession of property:The largest weakness in the real estate market has been false promises made by project promoters regarding their completion and delivery. As a result, buyers have experienced severe financial stress and mistrust. The expected date of the project's completion must be provided by promoters when they register under the RERA, otherwise, they risk severe penalties.
- Accurate information about the project:The project's promoter is required to present accurate and complete information on the project's status, amenities, and other important details that cannot be changed later.
- Assurances of licence clearances to avoid frauds:Before RERA, project promoters would consistently fail to obtain the necessary government licences and approvals, causing delays in the developments. The licences must be in place before even selling one unit, though, for promoters who are RERA-registered. The buyers can therefore no longer be duped into falling for scams.
- Promoting ease in transactions: Due to the responsibilities imposed on the promoter and the buyer promotes ease in transactions.
- Dispute resolution mechanism: RERA Act provides dispute resolution mechanism in the real estate which helps in resolving grievances arising out of disputes.
- Revised complaint system:Under the RERA 2016 framework, anyone can become compliant. This would apply to those who might want to purchase the property. Additionally, under this system, complaints may also be made by contractors and real estate agents.
Documents required for RERA Registration in Delhi
The following documents are necessary for a Promoter or Company:
- Certificate of Incorporation (CoI)
- Company’s registered business address
- Copy of MoU and AoA (i.e., Memorandum of Understanding and Articles of Association)
- Permanent Account Number (PAN)
- Certificate of commencement of the project
- Company Identification Number (CIN)
- Registered email id
The following documents and information are necessary for Real Estate agent:
- DSC or Digital Signature Certificate
- State/ District and Tehsil details
- Permanent Account Number (PAN)
- Residential proof like electricity bill
- Income tax information
- Individual and father’s name
- Relevant bank details
Process of RERA Registration in Delhi
The process of registration under RERA Act is quite straightforward. To register you must follow the steps as mentioned below:
- Go to the online portal of Real Estate Regulatory Authority for NCT of Delhi
- Go to the online registration tab and select either of the options like Promoter, Buyer, or Real Estate agent registration.
- Fill in the relevant details like email and contact information and verify the captcha generated.
- The applicant must supply information for filling out the form after creating an account. Here, details about the projects or construction agreements need to be given.
- The applicant must pay fees for the land registration once the necessary documents have been attached. Residential and commercial properties may be subject to separate levies under this scheme.
- The applicant would need to certify that all the information they have provided is truthful and accurate in their application. The building's specifics must be accurately described in all respects. After this has been verified, the applicant must submit the RERA registration form.
Validity of RERA Registration in Delhi
The authority will issue real estate agents with a registration number that is valid for 5 years and must be quoted in every transaction aided by him.Real estate agents will also face penalties if they misrepresent project facts to buyers. The fine will be Rs 10,000 each day, up to 5% of the project's total cost. Real estate agents are also expected to keep books of accounting for the projects in which they are involved and are held accountable for them.
Swarit Advisors support
RERA registration is required in Delhi for all real estate projects with more than eight units. The registration process entails providing project data, financial information, and appropriate authority permissions. Once registered, the developer is expected to provide all project details, including construction status, timeframes, and any changes made to the original plan.The Delhi RERA authority is in charge of overseeing and regulating the city's real estate market. It has the authority to look into buyer complaints, penalise developers for noncompliance, and, if necessary, even revoke a project's registration.For real estate developers to prevent any legal issues and give buyers transparency, it is essential that their projects are registered under RERA given the stringent rules and oversight in Delhi. Due to Swarit Advisors' experience with Delhi RERA registration, they can assist developers in navigating the procedure and adhering to the rules. Our team of experts is knowledgeable about the RERA Registration process and offers tailored solutions to satisfy each and every client’s particular requirement.