{"id":1078,"date":"2019-11-13T11:09:33","date_gmt":"2019-11-13T11:09:33","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=1078"},"modified":"2021-05-31T16:55:34","modified_gmt":"2021-05-31T11:25:34","slug":"online-rera-registration-process-for-builders","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/","title":{"rendered":"All You Need To Know About RERA Registration Process"},"content":{"rendered":"\n<p class=\"has-drop-cap\">RERA Registration is necessary for promoters, builders and real estate agents to be able to sell, advertise, market, purchase or book housing properties. Furthermore, the entitled persons need to make an application in the prescribed form along with the supporting documents and fees. In this article, we are going to learn how to obtain <a href=\"https:\/\/corpbiz.io\/rera-registration\"><strong>RERA Registration<\/strong><\/a> from the builders\u2019 perspective.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Who_Need_to_Apply_for_RERA_Registration\" >Who Need to Apply for RERA Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Benefits_of_RERA_Registration\" >Benefits of RERA Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#The_Validity_of_RERA_Registration\" >The Validity of RERA Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#How_will_RERA_protect_the_buyers\" >How will RERA protect the buyers?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#RERA_Registration_Process\" >RERA Registration Process<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Registration_for_Real_Estate_Projects\" >Registration for Real Estate Projects<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Registration_of_Agents\" >Registration of Agents<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Documents_Needed_for_RERA_Registration\" >Documents Needed for RERA Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Who_Does_Not_Need_to_Register_Under_RERA\" >Who Does Not Need to Register Under RERA?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Offences_and_Penalties\" >Offences and Penalties<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/corpbiz.io\/learning\/online-rera-registration-process-for-builders\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_Need_to_Apply_for_RERA_Registration\"><\/span>Who Need to Apply for RERA Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The following\npeople or group of people is entitled to obtain RERA Registration;<\/em><\/strong><\/p>\n\n\n\n<ul><li>Any person who constructs or wants to builds an independent building or a building consisting of apartments.<\/li><li>Or an individual or entity involved in modifying existing apartments for the purpose of selling it further to somebody<\/li><li>Anyone who develops the land into a project, to sell projects to other people<\/li><li>Any development authority\/ public body in respect of allottees of Buildings or plots constructed by such authority or public body on which owns land or placed at their disposal by the government<\/li><li>Development authority owning plots or which is placed at their disposal by the government to sell the apartments<\/li><li>A state-level cooperative housing finance society or a primitive cooperative housing society which constructs the buildings for its members<\/li><li>Anyone who acts himself as a builder, contractor, developer, colonizer, estate developer or by any different name or<\/li><li>A person who claims to be the holder of a power of attorney from the owner of the land or have the legal possession of the land or property on which the building or flat is constructed or a plot is developed for the purpose of sale<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Benefits_of_RERA_Registration\"><\/span>Benefits of RERA Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>Given below\nare some of the benefits of registering under RERA or Real\nEstate&nbsp;Regulatory Act, 2016<\/em><\/strong><a href=\"https:\/\/en.wikipedia.org\/wiki\/Real_Estate_(Regulation_and_Development)_Act,_2016\"><strong><em><sup>[1]<\/sup><\/em><\/strong><\/a><strong><em>;<\/em><\/strong><\/p>\n\n\n\n<ul><li><strong>Timely delivery<\/strong><\/li><\/ul>\n\n\n\n<p>Previously it\nwas seen that the builders or developers often used to make false promises\nabout the completion date of a project, but hardly delivered on time. As per\nthe Act, strict regulations will be enforced on builders to make sure that\nconstruction runs on time and flats are delivered to the customers within the\ndecided time. Additionally, if the in case the builder is not able to provide\nthe apartments on time, he\/she becomes liable to refund the amount to the\npurchaser with interest.<\/p>\n\n\n\n<ul><li><strong>Delivery of Accurate Project Details<\/strong><\/li><\/ul>\n\n\n\n<p>Builders need\nto promote their projects, defining various amenities and features related to\nprojects in the construction stage. As per the Act, the builder cannot make any\nchanges in the projected plan. And if a builder is found at fault then, he\/ she\nwill have to pay 10% of the project\u2019s expenses or face jail time up to three\nyears.<\/p>\n\n\n\n<ul><li><strong>Ensuring all&nbsp;permissions<\/strong><\/li><\/ul>\n\n\n\n<p>Developers\noften attract buyers by providing huge discounts and pre-launch offers.\nTherefore, the buyer, enticed by the proposals, does not bother about the\nclearances and book or buy a property. But, due to delays in getting approval,\nthe buyer does not get the flat on time. This bill ensures that builders get\nall the permissions before selling the apartments.<\/p>\n\n\n\n<ul><li><strong>Ensuring Proper Structure<\/strong><\/li><\/ul>\n\n\n\n<p>It is the\nbuilder\u2019s responsibility to repair structural defects for up to five years if a\nbuyer finds any fundamental insufficiency in the development of the building<\/p>\n\n\n\n<ul><li><strong>No Advertisement is permitted without RERA Registration<\/strong><\/li><\/ul>\n\n\n\n<p>Promoters are not allowed to advertise any project without RERA registration with the Real Estate Regulatory Authority established under this Act. Additionally, each advertisement needs to carry the RERA registration number.<\/p>\n\n\n\n<ul><li><strong>Reduction of Booking Amount<\/strong><\/li><\/ul>\n\n\n\n<p>The sum to be paid by the buyer has been reduced from 20% to 10%, which needs to be remunerated only after registering the contract for sale with the builder. Termination of the contract is allowed only if the buyer defaults on payment thrice. The buyer is entitled to serve a 15-day notice.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Validity_of_RERA_Registration\"><\/span>The Validity of RERA Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The approved\nregistration will be valid for a period, specified by the promoter for\ncompletion of a real estate project. Also, it will be valid for the period\nspecified to complete a particular project, as mentioned in the affidavit\nfollowing the application form.<\/p>\n\n\n\n<p>However, the\nvalidity of such registration can be extended under the following\ncircumstances:<\/p>\n\n\n\n<ul><li>Force Majeure like drought, war, flood, fire, cyclone, earthquake or any other calamity caused due to natural factor, affecting the usual development of a real estate project<\/li><li>Other than force majeure or the \u2018Act of God\u2019, the concerning authority may  extend the registration to maximum one year in case it feels that the circumstances and reasons for the extension of the case are reasonable.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_will_RERA_protect_the_buyers\"><\/span>How will RERA protect the buyers?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>&nbsp;Although RERA is a central law but the real\nestate is a state subject so its execution will be conducted by the state\ngovernments. Every state and UT shall have their own\nRegulatory Authorities (RA).\nThe given below are the lists to protect the buyers:<\/p>\n\n\n\n<ul><li><strong>Affidavit<\/strong> &#8211; the promoters are obliged to give a written declaration which shall be supported by documents an information regarding the timeline of the project and every details on project.<\/li><li><strong>Final date on possession<\/strong>&#8211; it is mandatory for the developer to adhere with his committed date and the sale agreement shall state the date of possession and rate of interest in case of default.<\/li><li><strong>Clear title of land <\/strong>\u2013 the written affidavit shall include the confirmed name of the land which is in the agreement and the documents shall be relevant with the same so as to avoid any land dispute later.<\/li><li><strong>Maintaining a separate escrow account:&nbsp;<\/strong>it will be requisite for the builders to create a separate escrow account in which 70% of the received amount from the buyers shall be deposited maintained by a scheduled bank. &nbsp;Moreover, the project shall be certified from, an architect, a chartered accountant, an engineer and shall be subject to six-monthly audit.  <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"RERA_Registration_Process\"><\/span>RERA Registration Process<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Every\npromoter and agent need to register themselves with their respective state RERA\nAuthority. There is a separate provision for the steps involved in the\nregistration of agents and for registering for a real estate project. Let\u2019s\nlook at both the procedures in detail:<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Registration_for_Real_Estate_Projects\"><\/span>Registration for Real Estate Projects<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The promoters\nneed to convene a board meeting concerning the following to register for a\nproject;<\/em><\/strong><\/p>\n\n\n\n<ul><li>Opening a separate bank account to cover the cost of construction<\/li><li>Drafting of the RERA registration application<\/li><li>Attaining approval for the allotment letter, sale agreement, and sales deed<\/li><li>Obtain the title search report concerning proposed land<\/li><li>Acquire essential NOCs and licenses from the government authorities such as the Fire Department, National Highway Authority of India, Airport Authority of India, National Authority Disaster Management Authority etc.<\/li><li>Collecting all the necessary documents for filing application in Form A<\/li><li>Submitting the RERA registration application with the respective state authority along with the prescribed fees<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Registration_of_Agents\"><\/span>Registration of Agents<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>Real Estate\nAgents need to follow the steps given below to acquire the registration;<\/em><\/strong><\/p>\n\n\n\n<ul><li>For obtaining&nbsp;RERA Registration, you need to file a duly filled form along with the prescribed fees and documents<\/li><li>After you file the application, you will receive a registration number from the regulatory body which must be provided in documents related to the sale of the property<\/li><li>Also, you need to maintain a Books of accounts, records and other      transaction-related documents quarterly<\/li><li>You have to provide detailed information and supporting documents regarding the project you entered with the buyer.<\/li><li>While applying, you must be aware that the agent may be suspended in case of misrepresentation of facts or fraud at the time of RERA registration.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Documents_Needed_for_RERA_Registration\"><\/span>Documents Needed for RERA Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Although the\ndocuments required for registering under RERA differs from state to state here\nare some of the basic documents required for RERA Registration;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Documents Needed by Developers to apply for an ongoing project<\/h3>\n\n\n\n<ul><li>Details of an individual promoter such as name, address, photo, and contact details<\/li><li>In case of other than the individual promoter, the details of partners, chairman, directors, and another authorized person. Additionally, the details of the entity, it\u2019s type, name, address, etc. of the entity has to be provided<\/li><li>Copy of promoter\u2019s PAN and Aadhar<\/li><li>A copy of the approval attained from the concerned authority<\/li><li>Plan of development<\/li><li>Details of the project<\/li><li><a href=\"https:\/\/corpbiz.io\/income-tax-return-filing\"><strong>Income tax return<\/strong><\/a>&nbsp;(ITR) and audited financial statements of the past three years<\/li><li>Title deed with the chain of title<\/li><li>Documents of ownership like Performa of the allotment letter, sale agreement, conveyance deed, etc.<\/li><li>Information on architect, engineers, etc.<\/li><li>Any other required documents<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Documents Needed by Agent<\/h3>\n\n\n\n<ul><li>Details of real estate agent like name, photograph, partners, directors, address, contact details<\/li><li>PAN and Address of Real estate agent<\/li><li>Address proof<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_Does_Not_Need_to_Register_Under_RERA\"><\/span>Who Does Not Need to Register Under RERA?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The specified\npersons are exempted from registering under the Real Estate Regulatory Act,\n2016 (RERA);<\/em><\/strong><\/p>\n\n\n\n<ul><li>The area of land proposed for developing is less than 500 square meters or the number of apartments designed does not exceed eight apartments, including all the phases, are exempted from registration.<\/li><li>The promoter has received the completion certificate for a real estate project prior before the commencement of RERA.<\/li><li>The real estate project requested for remodelling, replacement or development of projects is those projects which do not require marketing, advertising, selling or new allotment of an apartment<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Offences_and_Penalties\"><\/span>Offences and Penalties<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If any of the\nentitled people fail to obtain a registration, they are liable for penalties\nunder Section 59 or Real Estate Regulatory Act, 2016 as follows;<\/p>\n\n\n\n<ul><li>Penalty up to 10% of the estimated project cost<\/li><li>In case of continuous default, an additional fine up to 10% of the estimated project cost<\/li><li>Imprisonment up to three years<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>RERA Registration is applicable for promoters, builders or anyone involved in the purchasing or selling of housing properties. Also, it is mandatory to hold the registration under the RERA unless exempted by law. Furthermore, the Real Estate Regulation Act, 2016 was introduced to provide the rules and by-laws for the supervision of buying, selling and construction of housing properties. &nbsp; <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/highlights-of-project-extension-in-rera\/\">Highlights of Project Extension in RERA\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>RERA Registration is necessary for promoters, builders and real estate agents to be able to sell, advertise, market, purchase or book housing properties. Furthermore, the entitled persons need to make an application in the prescribed form along with the supporting documents and fees. In this article, we are going to learn how to obtain RERA [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":1116,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[182],"tags":[183,184],"acf":{"service_id":"102"},"authorName":"Tanya Verma","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2019\/10\/IMG-20190703-WA0001__01-150x150.jpg","authorDescription":"Tanya is working as writer &amp; editor from past 2 years with experience in covering startup and technology related topics.","postViews":46452,"readingTime":6,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/1078"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=1078"}],"version-history":[{"count":20,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/1078\/revisions"}],"predecessor-version":[{"id":31325,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/1078\/revisions\/31325"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/1116"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=1078"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=1078"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=1078"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}