Someone had said it right- “Your own house is after all your OWN HOUSE.” Almost every person has a dream to possess a home. But unfortunately not everyone is blessed with the opportunity to buy a home. Financial constraints are one of the biggest limiting factors in buying a home. Property prices still are much higher in comparison to the annual income of a typical middle-class family.
Apart from that, to make things even worse, earlier every builder had some specific norms of his own. Every builder exercised different practices, structuring the agreement in a way that always went in his favor. The home buyers who invested their hard earned savings in purchasing a property had the minimum rights. In order to change this and protect the rights of the real estate buyers, the government launched the RERA Act.
What is the RERA Act?
RERA stands for Real Estate Regulations Act, which was introduced back in the year 2016 for protecting the rights of the property buyers so that they do not get exploited by the builders. This Act specifies some basic norms for the real estate builders in order to increase the transparency in real estate transactions.
RERA provides many rights to property buyers and specifies a set of fundamental rules and regulations that the builders need to abide by. In case of any discrepancies, the real estate buyers can file complaints against the builders to the concerned authority.
The Primary Benefits of the RERA Act
Lack of transparency was one of the biggest problems in real estate transaction. However, with the RERA Act, now the buyers have the rights to question the builder wherever and whenever they have doubts. The Builders are now bound to provide the buyers with detailed data regarding the project status at each and every step. The property buyers can even lodge an FIR if they fail to do so.
Enhanced Adherence to Legal Norms
The regulatory authorities possessed negligible power until the RERA Act was introduced. The builders used this opportunity to extract extra money from the buyers. But now the RERA Act has given power to the regulatory authority in every state and union territory. Hence, it has become mandatory for the builders to adhere to the fundamental property transaction norms.
Reduced Real Estate Cost
RERA has also influenced the cost of real estates. With enhanced transparency and trust, more buyers are now investing in real estates. As a result, the demand has increased more than ever before. This has in turn brought down the property prices.
The introduction of the RERA Act has indeed proved to be a great step that has provided relief to the property buyers. The level of credibility and accountability within the real estate industry has increased considerably. The common man of today is more empowered with his interests safeguarded by legal norms. The real estate transactions are much more secured and protected. This has given the modern property buyers both confidence and satisfaction.