New Delhi: With a promise to protect buyers and maintain transparency, 13 states will implement Real Estate Act 2017. Although, some states and union territory yet to frame the rules.
The government has described the implementation of the consumer-centric Act as the beginning of an era where the consumer is king. This act will change the whole scenario and will have a fresh new start in B2C sector.
The government has brought in the legislation to protect home buyers and encourage genuine private players. This Bill was passed by Parliament in March last year and all the 92 sections of the Act comes into effect on May 1.
“The Real Estate Act coming into force after a nine-year wait and marks the beginning of a new era,” Housing and Urban Poverty Alleviation Minister M Venkaiah Naidu said.
“The Act ushers in the much-desired accountability, transparency, and efficiency in the sector, defining the rights and obligations of both the buyers and developers,” Naidu added further.
The developers will now need to get the continuous projects that have not gotten finish certificate and the new projects registered with regulatory authorities inside 3 months from 1 May.
Land industry bodies CREDAI and NAREDCO said the usage of this law will acquire worldview change the way Indian land capacities are utilized. They anticipate that property request will rise yet supply may get influenced in the close term.
“It will bring a paradigm change in the real estate sector. It will protect buyers who have purchased flats in the past. The regulator under the RERA should find ways to help complete ongoing projects and provide relief to home buyers,” NAREDCO Chairman Rajeev Talwar said.
CREDAI President Jaxay Shah said RERA will increase transparency in the sector and boost the confidence of both domestic and foreign investors. “Supply will dip during this year but demand will improve as buyers will have increased confidence about investing in the property market,” he added.
The real estate prices will remain stable now but rates could rise by 10 percent in the next six months, he added.