Verification of Commencement Certificates Mandatory for Registration of Projects: MahaRERA

The Maharashtra Real Estate Regulatory Authority (MahaRERA) will not register any new real estate project unless the commencement certificate is verified by local planning authorities.

Local authorities such as Corporations, Councils, Nagar Panchayats and Metropolitan Planning authorities were given time till 19 June, 2023, with the option of either integrating their website with MahaRERA or sending independent mails regarding project registrations.

The commencement certificates now received from local authorities will be compared with those provided by the respective developers and only after the completion of this procedure, registration will be granted.

The initiative has been taken in the light of the growing number of fraud cases in which several developers submitted fake documents to obtain MahaRERA registration certificates.

A construction permit in the form of a commencement certificate issued by a competent authority allows the promoter to begin the development works on an immovable property as per the project plan.

Source: https://www.projectstoday.com/News/Verification-of-commencement-certificates-mandatory-for-registration-of-projects-MahaRERA

RERA Warns Builders To Display Registration Details On Project Advertisements

In a strict warning to the builders in Guwahati, the Real Estate Regulatory Authority Assam (RERA) has directed the builders to display RERA registration numbers, project names and website addresses on the hoardings, banners and advertisements of the projects.

“It has come to the notice of the authority that many builders have been putting up hoardings, banners, advertisement of the real estate projects without displaying the RERA registration number, project name and website address,” the RERA order stated.

The order further mentioned that this is in violation of section 11 (2) of the Real Estate (Regulation and Development) Act 2016 and the Rules and regulations framed there under.

“All builders are therefore directed to display their RERA registration number, project name, website address in their advertisements, banner, and hoardings in their project site immediately,” the order further stated. The order said that non-compliance with these instructions will attract the provisions of Section 61 of the Real Estate (Regulation and Development) Act 2016.

It needs to be mentioned that there are many real estate projects across Guwahati where the RERA registration details of the projects are not mentioned in the hoardings or any other advertisements.

A manager of the under-construction apartment site at Jyotikuchi where the RERA registration details were not displayed talking to G Plus on condition of anonymity said, “Our project is registered with RERA but we did not know that it is mandatory to display the registration details,” adding that they will soon display all the details.

Assam Real Estate and Infrastructure Developers’ Association (AREIDA) president PK Sharma talking to G Plus said, “It may have been omitted due to oversight since all projects displayed are already registered.”
The Real Estate Regulation & Development Act was brought to India in May 2016 after a decade of real estate being tormented at the hands of powerful builders.

Now, the RERA Act mandates all ongoing and new RERA projects to register with respective RERA Authorities under the ambit of the Act.

In the case of the non-registration, they will attract penalties under the Act. It is mandatory to have RERA registration for builders of real estate projects with RERA Authorities. In case they fail to comply with the quarterly compliance as mandated under the Act and Rules, they may have to face a complaint filing against them.

Source: https://www.guwahatiplus.com/guwahati/rera-warns-builders-to-display-registration-details-on-project-advertisements

Six things you need to know about proposed deregistration of 88 real estate projects in Maharashtra

Eighty-eight real estate developers have applied to the Maharashtra Real Estate Regulatory Authority (MahaRERA) for deregistration of their real estate projects, following which the regulator has sought objections, if any, from stakeholders.

MahaRERA had in February 2023 allowed deregistration of projects that were unviable or are were in trouble. Only projects in which claims of the homebuyers or other concerned stakeholders have been settled can be deregistered.

1) What does MahaRERA say?

In an order dated June 2, 2023, MahaRERA said promoters of 88 projects had applied for their deregistration. “Any person/legal entity having any objections to the deregistration of the real estate projects as mentioned in the displayed list are hereby called upon to submit their objections within 15 days from the date hereof. The objections be submitted to the following email secy@maharera.mahaonline.gov.in,” it said.

2) What are the prominent projects proposed for deregistration and developers who want to deregister them?

According to a list issued by MahaRERA, Kalpataru Group wants to deregister Kalpataru Centrino in Yerwada, Pune. Arihant Superstructures Limited wants to deregister Arihant Aakarshan Phase-2 in Navi Mumbai followed and Hubtown Group the Solaris project in Mumbai and Siddhi in Thane.

Hubtown could not be reached for a comment. Queries sent to Arihant did not elicit a response. The 88 projects are located in the Mumbai Metropolitan Region, Pune and Nagpur.

“We would like to clarify that the said entire land parcel (admeasuring approx. 5855.80 sq. mtrs. plus open space area adjacent thereto) was sold during Q2 of last financial FY 22-23. Further, we have not sold any units nor received any advance in relation to any unit(s) in our erstwhile project, Kalpataru Centrino. Therefore, the project is required to be de-registered, suspended or cancelled in accordance with the applicable regulations,” Kalpataru said in a statement.

Post the aforesaid sale of land, registration of the said project has become infructuous. Accordingly, we have duly applied for the de-registration of the project with MahaRERA as same is no more required in accordance to the order, regulations and process set by MahaRERA, it said.

3) What is the provision for deregistration?

MahaRERA said that under Section 34 of the Real Estate (Regulation and Development) Act, one of its functions is to register and regulate real estate projects and real estate agents. There are instances of developers registering projects on which they are unable to commence and complete construction, requiring the regulator to deregister them, it said.

4) Under what circumstances is deregistration allowed?

Lack of funds, projects not being economically viable, litigation, disputes including family disputes, and changes in government/planning authority notifications are some of the reasons cited for deregistration of real estate projects. In such cases, keeping these projects registered with MahaRERA will serve no useful purpose, nor would they be beneficial to any stakeholders, MahaRERA said in its February 2023 order.

5) What are the conditions for deregistration?

MahaRERA has listed four conditions under which real estate projects can be taken up for deregistration. The first is a real estate project that has zero buyers and the second is one in which the part that is sought to be deregistered has no allottees.

The third condition is that projects which have bookings shall be considered for deregistration if the rights of such allottees are settled by the promoter and documents to that effect are submitted for verification.

The fourth condition is that when de-registration of part of a real estate project affects the rights of the rest of the allottees in the balance part of the project, two-thirds of the allottees provide their consent for deregistration.

6) Is it an easy way out for developers?

According to legal experts, the deregistration applications should be considered only if the conditions laid down by MahaRERA are being followed by the developers to ensure they do not misuse the provision.

“As per the spirit of the MahaRERA circular issued regarding deregistration, these applications should be considered as per the conditions laid down in the Circular. Interest of homebuyers, financial institutions etc will remain protected provided conditions of the circular issued by MahaRERA are followed,” said Trupti Daphtary, a lawyer based in Mumbai.

She added: “This is a good move by MahaRERA and a wider publicity of this information will help the applications to be decided after consideration of the objections received. Further, other states must also borrow from these practices to allow applications only after following a prescribed procedure keeping in mind the rights of all stakeholders.”

Source: https://www.moneycontrol.com/news/business/real-estate/mc-explains-six-things-you-need-to-know-about-proposed-deregistration-of-88-real-estate-projects-in-maharashtra-10744691.html

405 Real Estate Agents Clear MahaRERA Test

Of the 423 real estate agents who appeared in the first-of-its-kind certification examination organized by the Maharashtra Real Estate Regulatory Authority (MahaRERA), 405 have cleared the test.

As per a recent order issued by the regulatory agency, it is mandatory for all 39,000 agents registered with MahaRERA and unregistered agents to obtain the MahaRERA certification by September 1 to practice as property agents.

A MahaRERA official said that the objective to have certified real estate agents is that they play an important role as mediators between the seller and the buyer and,they should be well informed about the decisions and new rules introduced by MahaRERA.

Source: https://indianexpress.com/article/cities/mumbai/405-real-estate-agents-clear-maharera-test-8637662/

K-RERA wants government to block sale of plots not registered with it

The sale of development plots not registered with the Kerala Real Estate Regulatory Authority (K-RERA) may face hurdles if the government approves a recommendation by the K-RERA. The authority has written to the chief secretary seeking a directive to the registration department not to allow sales deed registration of such plots not registered with the RERA.

As per law, development projects that exceed 500 sq m of land or those with more than eight apartments, villas or plots require mandatory registration. But many realtors skip the rule contending that registration was not required for projects that did not meet both criteria. Now, the RERA has issued a clarification that each of the criteria is standalone and has warned of penal action against offenders.

Tamil Nadu issued such a directive to sub-registrars and the level of compliance with the law in that state has increased significantly, the letter said. The government is yet to take a decision on the matter. If approved, the rule will pave the way for near-total compliance in the realty sector.

It will also increase the government’s revenue from stamp duty and registration because, usually, actual sales will be recorded in the agreement. Details in the sales deed, like the extent of the property and accessibility details, will help sub-registrars ascertain whether it is a real estate project requiring RERA registration.

“The issue was flagged by some customers who booked units in unregistered projects. Also, we identified many violations by browsing social media advertisements. Suo motu action was taken against them. We hope that the clarification will result in more compliance. More buyers will get protection under the provisions of the Kerala Real Estate (Regulation and Development) Rules, 2018,” K-RERA chairman P H Kurian said. Delhi and Rajasthan had issued this clarification earlier.

Offenders will face a penalty of up to 10% of the project cost. The RERA is now working in tandem with the local self-governments to book violations. LSG secretaries have been asked to pass on information about projects which do not have K-RERA registration and the mandatory permit from LSGs. All real estate projects, irrespective of their threshold, require a permit from the local self-government.

Source: https://www.newindianexpress.com/states/kerala/2023/may/26/k-rera-wants-government-to-block-saleof-plots-not-registered-with-it-2578652.html

Deregistration okayed for two projects in state by MahaRERA

According to officials, the Maharashtra Real Estate Regulatory Authority (MahaRERA) has approved the deregistration of two projects in the state out of a total of 60 applications received for the same.

The authority issued an order in February allowing developers to deregister their projects under specific conditions. The procedure has been permitted because many developers are unable to begin and complete building construction.

Deregistration of real estate projects with no allottees (homebuyers) is now permitted under MahaRERA. If there are homebuyers, deregistration will be considered only if the developer resolves the homeowners’ rights and claims, according to the ruling issued on February 10 of this year.

According to the authorities, while two developers have been allowed to deregister under the conditions outlined above, the remaining 58 petitions are being reviewed. “We are carefully reviewing all applications.” “We have only allowed the deregistration of two projects so far,” stated a MahaRERA official.

Homebuyers added that if projects are deregistered, it should be noted on the MahaRERA website, and a notice should be posted at the building site. “The authority should ensure that the developers explain the reasons for not proceeding with the project on their website and they should also indicate the same at the construction sites,” said advocate Godfrey Pimenta, trustee of the Watchdog Foundation.

Source: https://www.constructionworld.in/latest-construction-news/real-estate-news/deregistration-okayed-for-two-projects-in-state-by-maharera/40969

CREDAI NCR wants state development authorities to be brought under RERA as ‘promoters’

The Confederation of Real Estate Developers’ Association of India (CREDAI), NCR, has demanded that various state development authorities be brought under the ambit of the Real Estate Regulatory Authority (RERA) and be treated as “promoters” for their land allotment schemes, so that their accountability can be fixed.

On May 5, CREDAI, NCR, appealed to the Uttar Pradesh Real Estate Regulatory Authority (UPRERA) to register and regulate the various state development authorities, such as the Noida Authority, the Greater Noida Authority, etc, under the Real Estate (Regulation and Development) Act, 2016.

The developers’ body said that once the registration of allotment schemes of state development authorities is made mandatory they will have to adhere to the RERA’s timelines, which will result in buyers getting their homes on time.

Gaurav Gupta, Secretary, CREDAI-NCR, said the move was prompted by several instances where land was allotted to the developer but possession could not be given because of encroachment or other issues, causing a delay in the completion of the project.

He said that whenever a project gets delayed either due to faulty land acquisition by the Authority or encroachment of land, the developer is held responsible and homebuyers suffer, while no accountability is fixed on the state development authorities.

Source: https://www.moneycontrol.com/news/business/real-estate/credai-ncr-wants-state-development-authorities-to-be-brought-under-rera-as-promoters-10536551.html

A Damp House is a Significant Human Health Hazard

Ever wondered how damp in your house is playing with your health? Yes, the dampness on the wall here and there not only spoil the look of your home but impact the health of your family too. India being a tropical country, the building structures here are exposed to a high amount of moisture and humidity. Thus, they become more susceptible to damp development. When you are living in such a home, one thing leads to another and before you even know, your health is at risk too. Research suggests that on an average, we spend around 16 hours in our home. So, it is easy to apprehend how much at risk we are of developing health disorders due to damp.

Common human health hazards associated with a damp, moisture-laden house include:

  • Allergic Rhinitis: Characterized by frequent sneezing, stuffy nose, runny nose, itchy eyes, and post-nasal drip, allergic rhinitis is an inflammatory condition of the mucus membrane inside the nose. It is caused by viruses, bacteria, and allergens. Some of the external triggers of allergic rhinitis include humidity 3 chemicals, and air pollution (indoor or outdoor) etc.
  • Skin diseases: Most of the skin infections are caused by fungus. Fungal spores are the causal agent of these diseases. To understand more, click here 4 .
  • Migraine:One of the most common triggers of migraine is the weather. Whenever there is high (or low) humidity, there is a change in the oxygen levels in the air. The air becomes saturated with moisture in high humidity conditions reducing oxygen levels significantly. As a result, it
    becomes difficult for the brain of the people with migraine to receive the right amount of oxygen to function properly. Result? – Unusual expansion or contraction of the blood vessels to compensate for the lack of oxygen, exerting tremendous pressure on the nerve fibres. Therefore, indoor humidity too may trigger a migraine 5 headache.
  • Depression:Dampness and growth of fungus in poorly ventilated homes have been long associated with depression 6. One should be careful about it before it takes the turn of clinical depression.
  • Upper respiratory (nasal and throat) symptoms
  • Asthma symptoms in sensitized persons with asthma

What are the reasons and how does damp wreaks havoc on our health?

1. Flourishing Pathogens

When you have damp in your home, it means excess moisture has been accumulated. Guess what, it is best for enabling pathogens and all kinds of germs to flourish and reproduce in higher numbers. Besides viruses and bacteria, other microorganisms like fungi and algae also proliferate in a moist environment. These microorganisms, being pathogenic, bring forth health disorders of various types. They release harmful chemicals in the air that pollute the indoor atmosphere or act as allergens causing mild to severe irritations in different parts of the body. If dampness persists these irritations tend to become chronic in nature.

2.Humid conditions make transmission faster

If multiplying by leaps and bounds was not enough, the transmission of viruses and bacteria and other microbes is facilitated in humid conditions. When you present them a humid indoor environment, they tend to spread exponentially.

Look at what’s happening in the current pandemic situation! Earlier it was said that COVID-19 can flourish only in cold climates. But more recent evidence shows that it can be transmitted in all areas including hot and humid places 1. Actually, virus thrives inside the human body the normal temperature of which is 36.5-degree to 37-degree Celsius. This is regardless of the external temperature and weather conditions. So, apart from maintaining basic hygiene, it is advisable to keep your house as damp-free as possible to restrict the transmission of viruses.

3. Flourishing dust mites

Dust mites are popular in households where the temperature is considerably high and the moisture level is also in excess. They are the catalyst to give rise to allergy, stuffy nose, respiratory problems and asthma. So, if you have experienced stuffy nose, itchy eyes, and breathing problem then you might want to look into the condition of your house. These symptoms can further give birth to health problems that
will cost you in the long run. It is better to invest some money in your house now or at least take suitable care.

4. Welcoming pests

Well, mosquitoes and flies infested every part of the house, spiders spinning cobwebs in every corner, the occasional screeching of mice or musk-rats- is this how you picture your home? Damp build-up welcomes all these pests and other unwanted ones too. They have a directly proportionate relationship with damp which means the greater the damp in the house, the more is the number of pests. Now
would you want to live in a house with humans or disgusting pets? If the former option is your choice then get rid of this unhealthy living condition immediately. It affects your immune system, breathing pattern and slowly destroys your health.

5. Cold climate

Several types of research have shown that a cold indoor climate is the result of dampness in those regions where it is not naturally cold outside. Unmaintained house, damaged roofs and walls are the common causes but it could also be because of the lack of proper ventilation. Humans can stay overall healthy if the environment in which he or she is living is dry with optimum moisture content in the air. If
the house becomes a place where it is difficult to breathe then it is obvious that the environment isn’t right.

Cold indoor atmosphere adversely affects respiratory health. A significant number of people in the world suffer from asthma 2 which is often linked with damp indoors. Chronic coughing, wheezing, breathing difficulty are the health problems which lead a person towards asthma. And asthma could be life-threatening. It just gets worse if not treated in the right way with the right amount of attention.

To make your life a little easy, here are some common signs of damp to watch out:

Damp patches : A patch is a sign of damp commonly seen on the ceiling, walls, behind the WC in the bathroom etc. Damp patches on walls are generally the result of penetration 7, where water from outside gets into the brickwork through gaps and cracks

Musty damp smell : The first and the foremost thing about damps are they are musty and smell bad. The freshness of a room gets evaporated with damp walls. So, always keep an eye on this.

Peeling and flaky paint : The most common thing in a house that has been ignored. Once you start noticing this, get a professional inspection done and get it fixed.

Cold in-house atmosphere : Do you wonder why your house feels cold be it summer or winter? Well, it’s the damp dude!

Discoloured walls : Discoloration is characterized by localized darkening of the original color of walls

You can read this article for a better understanding of the same.

You should take proactive steps to reduce indoor air pollution because if you want to live a healthy life, your home is where you should start. Our environment plays a major role in our mental and physical well-being. So when it’s damp and dirty, it is not only creating a negative space you are living in but also and most importantly it is affecting your health in a way you might not anticipate. In such cases, it is sooner the better. Go for a professional damp inspection which will help in detecting the source of dampness with help of thermal imaging technology and take decisive action to eliminate damp from your house at the earliest.

You should take proactive steps to reduce indoor air pollution because if you want to live a healthy life, your home is where you should start. Our environment plays a major role in our mental and physical well-being. So when it’s damp and dirty, it is not only creating a negative space you are living in but also and most importantly it is affecting your health in a way you might not anticipate. In such cases, it is sooner the better. Go for a professional damp inspection which will help in detecting the source of dampness with help of thermal imaging technology and take decisive action to eliminate damp from your house at the earliest.

Rajasthan Realtors not Filing Quarterly Progress Reports

Many realtors in the state are not adhering to the Rajasthan Real Estate Regulatory Authority (RERA) mandatory norm of filing online quarterly progress report (QRPS) of their registered projects.

According to mandatory provisions, a promoter must upload updates on the RERA website for the project at the end of each quarter on apartments/flats, status update of each building, floor, internal infrastructure, and common areas construction. Other details including information on approvals, bank account details, revision in plans, licence issues, permits or approvals for the projects also must be displayed in public forum. The body (RERA- Raj) had launched online facility for submission of QPR of registered projects. However, the rule is violated by the developers. A source in RERA said cases came to fore where developers had not submitted QRP for two years. After the non-submission of QPRs since June 2020 to March 2022, a notice under Section 11 (1) (e) of Real Estate (Regulation and Development) Act, 2016 was issued against the one promoter on July 11, 2022, but neither required QPRs was uploaded on web portal of the authority nor any response in this regard was made available to the Authority.

“QRP is a transparent procedure, which also keeps investors of the project informed and tells the financial health of the developers. However, if it is not uploaded on time, it certainly makes buyers anxious,” said a source. The Maharashtra Real Estate Regulatory Authority (MahaRera) recently made it mandatory for developers to upload a self-declaration form containing details of their projects across the country along with information that includes if any project has been shelved and if any warrant has been issued by Rera that buyers can access. Source said, “Same directions should be issued here in Rajasthan. But instead, of taking progressing steps, RERA – Raj has failed to take stringent action against developers to safeguard the buyers’ rights. Builders in the state are fearless,” a source added.

Source: https://timesofindia.indiatimes.com/city/jaipur/rajasthan-realtors-not-filing-quarterly-progress-reports/articleshow/99897549.cms

Govt Wants Real Estate To Be Fair & Transparent With A Buyer-Builder Agreement Model Across India

Secretary of Consumer Affairs Ministry, Rohit Kumar Singh said that the government has decided to form a committee to work on a model builder-buyer agreement to simplify the home-buying process and protect homebuyers from potential abuses.

Model Builder-Buyer Agreement To Simply the Home-Buying Process

He said this after the first Round Table Conference on How to Effectively Redress the Grievances Pertaining to Real Estate Sector, in Mumbai on Tuesday.

He said that this builder-buyer agreement could help reduce disputes between home-buyers and builders, and ensure that consumers have access to an effective, speedy, hassle-free, and inexpensive grievance redressal mechanism.

He added that by putting these measures like model buyer-builder agreements and effective grievance redressal mechanisms in place, the backlog of cases can be redressed and ensure that home-buyers are treated fairly and protected from potential abuses in future.

With members drawn from the National Consumer Commission, state consumer commissions, Real Estate (Regulation and Development) Act, 2016 (RERA), Department of Consumer Affairs (DCA), Insolvency and Bankruptcy Board of India (IBBI) and builders as members to address the grievances of home-buyers and enhance consumer protection.

Speaking about the timeline of the formation of the committee, he said that they would “try and do it in the next three months. Stakeholders have to be collected from different sectors. It will be a landmark thing if it is done as it will at least give uniformity in handling of this sector across the country. It will be a template,” he said.

The disputes that exists between the home buyers as well as the developers could be resolved to some degree if the contract between the builders and buyers is standardised and uniformity is brought about. Singh said that the document should be unique as well as applicable across the country.

If this is done, the problem can be solved to some extent.

It was in association with the Government of Maharashtra that the roundtable was hosted by the DCA. He said that it was also the Supreme Court (SC) which had directed the need of having a model agreement across the country, and added that some states already have such a document in place.

There is an alarming need to put a system in place for the speedy justice and streamlining the process for homebuyers as it was seen that out of over 5.5 lakh cases currently awaiting resolution, over 54,000 cases relate to the housing sector.

These cases are due to various issues, 45% due to delay in possession; 12% to execution of sale deed, refund and withdrawal from project 12%; amenities 12%; and poor construction quality 12%, among others issues.

The Maharashtra Consumer Commission is faced with the maximum number of cases at 15,154 cases filed. Of this, about 8,718 have been disposed of, while 6,436 are still pending. In Delhi, 8,178 cases have been filed, of which 5,266 have been disposed of, and 2,912 are still pending. In Uttar Pradesh, 8,133 cases have been filed, of which 7,024 have been disposed of, and 1,109 cases are pending, show statistics from the ministry.

He also said that the agreement should be in simple language. “It is the common man who is buying. Therefore, the engagement between the buyer and the seller should be as simple as possible.”

Key Issues & Key Suggestions

The key issues identified by the home-buyers are:

• Delay in delivery of possession of property to home-buyers

• No compensation for delay in possession to home-buyers

• Biased, one-sided, and unfair builder-buyer agreements

• Amenities not provided to home-buyers as per the agreement

• Misleading advertisements by developers and influencers for luring home-buyers

• Non-adherence to the model builder-buyer agreement proposed by RERA.

The key suggestions to fix these were

• Sending draft agreement to buyers before execution

• Clearly mentioning permissions and sanctions obtained from competent authorities on the first page of the agreement

• Prohibiting builders from launching projects before obtaining all necessary permissions and sanctions

• Including an exit clause for home-buyers in all agreements that would be valid until the Occupancy Certificate (OC) or Completion Certificate (CC) is obtained and possession is offered by the builder

• Including a schedule of additional charges beyond the cost of the unit/apartment in all agreements.

• Include mandatory declarations regarding no dues from any authority/banks

• Necessary legal sanctions and approvals from competent authorities

• Strong action should be against unfair and misleading advertisements by developers

Source: https://trak.in/stories/govt-wants-real-estate-to-be-fair-transparent-with-a-buyer-builder-agreement-model-across-india/