Home ownership in India has always been a big dream. To realize this long-cherished dream, a home buyer may either acquire the property through a home loan (or) invest huge sums of money in the property, in most of the cases this can be his/her life-long savings.
Thanks to no proper regulations in the real estate sector and no proper grievance redressal mechanism in place, the dream of the average middle class family to own a home, has of late become a nightmare. Home Buyers in India have always been at the receiving end of innumerable malpractices at the hands of many real estate builders or promoters.
The biggest investment of ones lifetime is more often than not either compromised with or ends up in the legal battle. The number of cases in the consumer courts by aggrieved home buyers has skyrocketed of late.
“A Home buyer in India is often left alone at the mercy of the builders.”
Delayed possession, default on design and construction parameters, mismatch of space in the guise of floor area & carpet area, the list of woes for home buyers seems to be endless.
With the introduction of RERA act, looks like things are slowly changing for the good.
Though it is too early to call RERA Act a success, but the recent verdicts given by the RERA authorities, may make home-buyers something to cheer about!
(Click on the above image to read the full article – Source : ET Realty)
The Maharashtra Real Estate Regulatory Authority (MahaRERA) has recently asked a builder in Mumbai to return an advance amount of Rs 26.15 lakh to a consumer, this is the first such order since the real estate law came into effect in the state (Maharashtra) on May 1.
As per the RERA authority, the complainant (Home buyer) had booked the flat in 2012-13 and was assured by the developer that the project would be completed in 2016. As the building has not yet been completed, the property buyer filed a complaint through Maharashtra RERA portal and got the verdict in his/her favor.
One more aggrieved home buyer (an elderly women) has approached the RERA authority and got the verdict in her favor.
(Click on the above image to read the full article – Source : ET Realty)
As per the complaint received by the authority, the property buyer had booked a Flat worth Rs 53 lakh in Feb 2013, and till march 2016, she had made payments to the tune of around Rs 40 lakh. For the last 10 months or so, the builder has been postponing the registration of flat in her name.
Hence, she filed her complaint with RERA and the builder has now completed the registration, following the directives of the RERA bench.
These are definitely good signs for Indian property buyers and the real-estate industry as a whole!
Although RERA is a central law, its implementation will depend on state governments, as real estate is a state subject.
Most of the states have now notified their own versions of RERA Act and have been implementing the enacted laws. Some of the states like Maharashtra and Karnataka have already launched their respective RERA portals for the benefit of all stake holders i.e., Real estate builders, Property Agents and Home buyers.
Below is the online procedure to file complaints against errant builders / promoters. I have provided the screenshots of two RERA portals – Maharashtra’s and Karnataka’s….
The authority has so far received more than 98 complaints through its online RERA portal.
Below is the online procedure to submit complaints to RERA in Karnataka ;
All this may look impressive and beneficial to real estate property buyers, but the main contentious issue for the builders has been ‘the inclusion of on-going (under-construction properties) projects under the RERA Act’.
The various associations of builders across the nation have been challenging the law, particularly sections that put old projects — started before the RERA law was passed and are yet to be completed, under the ambit of the regulator. They have approached the various state High-courts and also the Supreme court, awaiting for the judgement. (As per the builders, Section 3 of the RERA Act, which says ongoing projects must be registered, is applied retrospectively and therefore violates their constitutional safeguards.)
Let’s hope that a well balanced RERA Act is beneficial and ensures a level-playing field for all the stake holders of the real estate industry.
Continue reading : ‘Real Estate Regulations & Development Act (RERA) : Key points & Review‘
(Image courtesy of Stuart Miles at FreeDigitalPhotos.net) (Post published on : 08-September-2017)
This post was last modified on July 11, 2023 9:25 pm
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Dear sir,
My name is Pavan madheshiya I had purchased a flat in sector 8(b) plot no 126,in ulwe navi Mumbai. we have purchased of flat of 600 sq feet at the rate of 4000 rps/ sq feet.
Project started in 2016 we have paid 20% amount. After one every year 15% amount for four years. Now loan is also got sanction for remaining amount of 40%.
There is no agreement formed in 2016 at the time of booking only payment receipt, flat no , on builders letter head
Now building is also ready...he is not ready for sale agreement
Shall we complain on rera please advice
Dear Pavan,
Are you referring to Sale agreement or Sale deed registration?
Related article : Property Sale Agreement Vs Sale Deed Vs Property Mutation | Differences & Importance
Dear
Sreekanth
Payment done in cheque mode in the name of shristi raj developers.
Proof:
1.cheque
2. Builders letter head clearly mentioned chq no and against flat no
3. Builders challan of payment
Maharera no P51800002790
7 slabs has been completed in last 1 year
Builder is giving as 7% in more than 10 year i.e ( 40 lakhs of our 20 lakhs)
Which is not at one time in part and in 6 months time
So What shall we do now..
Thank you
Dear Rahul,
You may approach RERA.. suggest you to contact other Flat owners who are in the same situation like you, form as a group and submit a complaint, can consult a civil lawyer as well in this regard..
Dear Sir,
My name Rahul, from mumbai, tilak nagar
Shristi developers
We have purchased a flat of 1500sq at the rate of 4400 Rs./sq feet (built up) in sept 2009. And paid 30% at time of pre launch.
Project started in 2019 and from then builder has hiked the rate to 23000 Rs/sq ft (on carpet) stating that all price have increased from 2009.
There is no agreement formed in 2009 at the time of booking, only payment recipt and flat no, on builder letter head.
Shall we complaint online on RERA also plz tell response time of rera against complaint
Appreciate your advice
Dear Rahul,
Is the project registered under RERA now?
Did you make the payment in non-cash mode? (any proof)
Can the builder become the Secretary of the Society if he has couple of flats under his occupancy and can he run a restaurant without any permission from society.Our builder has also sold car parks to the tune of 10 lacs per person interested and no slots alloted free.Is it right? Also he has made a transition from commercial to residential building which is 15 years old and sold us flats but he's not paid property taX to the tune of 62 lakhs to the bmc also after registering the society
Dear Smita,
I believe that he/she (builder) can become the Secretary based on the majority of the members decision or based on Agreement.
Suggest you to form as a group and submit an online complaint to the RERA. You may also consult and take help of a civil lawyer..
Hi, My name is Murtuza I have invested in V Lifespaces & Infra Developers project in Bhayander West Uttan, project and paid 2.50 lakh as initial booking amount, project got delayed and i ask builder for cancellation, it tooks 5 month for cancellation and after that he gave me 4 cheques of 50000 each after deduction 50000 as earnest amount, his first cheque got bounced and every day he is giving new excuses. please advice what step i can take against such builder where he can not cheat other investor. or can i complain against him in RERA.
Dear Murtuza .. Suggest you to kindly go ahead and submit your complaint through RERA portal immediately.
WILL I GET ANY REPLY FROM RERA.
builder opened a pre launch project where it was told project will be completed by 2019 but that project it yet started yet, will this can be filled case against rera
Dear Subash ..I believe, you can file your compliant ..
I have brought a plot in Nov 2014 and have built a house in a layout VSG Nature Valley. Till date I do not have electricity or water connection. Had been on temp electricity which cannot be renewed now as 2 years elapsed. The builder is not at all responding to calls. This isnsuppisesly a BMRDA approved layout. He closed his office. BESCOM is not ready to give permanent power to this "abandoned layout". Is there hope?
Dear Prejish,
It is very tough to advise on this matter without looking into the documents.
May I know what is the reason for not getting electricity supply for this layout though it is an approved layout?
Has residents society been formed?
Dear Sreekanth,
Our developer seems to have not paid some deposits etc. (I don't know if it is bribe) to Bescom, maybe the reason why power connection is not activated for the layout. The builder says power cannot be provided it there are less than 10 houses in the layout. Mine is the only house in this layout.
Dear Prejish,
It can be 'caution deposit' for permanent connection.
If it is possible, kindly contact other flat owners and pool the required monies..
I believe that this issue can be solved with collective effort. You may also try visiting Bescom office and inquire about the charges and other formalities.
I filed a complaint against builder for delay and applied for refund in Dec 2017, under UP RERA. The first hearing happened on 08/Feb/2018. The builder didn't arrive or sent his representative. The next date has been fixed as mid march. Now, I've received a letter today from builder, forcing me to pay the outstanding demand or else the unit shall be cancelled. neither he has bothered to respond to UP RERA notices, nor he seems to be moved by the RERA court, considering the project is registered with UP RERA.
I don't know what to do now. Should I believe, that UPRERA would help me with this mess or not. So far, I don't see that UPRERA has been able to get the builder to come for talks, so is it not a white wash for the builders to use RERA only to declare that they are RERA complaint, but hardly give a damn if there is a complaint/grievance?
Yet to see some good decisions and justice served for real estate in UP.
Dear Sharad,
Sad to know that some builders are not even bothered to respect the law of land.
Suggest you to escalate this matter with RERA, kindly do not lose the hope.
NO CONSTRUCTION 3 YEARS GONE, I BOOKED 2 SHOPS WITH A BUILDER (HE PROMISED POSSESSION IN MARCH 2018, AND asked the PRICE OF 6 LAKH WHICH IS 50% BY EMAIL ) THE BALANCE 50% TO BE PAID IN MARCH 2018 ON POSSESSION, CONTRACT IS NOT SIGNED BY BUILDER, HE IS NOT REGISTERED IN RERA, Agreement has arbitration clause, NOW WHAT IS REMEDY AND WHAT ARE THE DAMAGES I CAN GET
Dear sonjoy,
It is very tough to advise on this matter without actually going through the Agreement docs, suggest you to kindly consult a Civil Lawyer.
Hi, Sreenath
Hope you you will suggest me on below.
On march 23rd 2017 I made a down payment of Rs.2Lac. On that day we decided to pay partially (Without Registration). But after realize that this project is not approved from MAHARERA I had stoped another payment. And from last 3 months i am asking builder to refund the total amount and hence last week he gave me Rs. 2lac cheque along with 12k interest on another cheque. from that day he pushing me to do not deposite cheques as MAHARERA Registration comes to end.
Please tell me should i deposites cheques or wait for more time. And if cheques gois dishounered then what stepd i can take against builder.
Thanks \
Akhtar
Dear Akhtar,
How trustworthy is the builder?
If they have other on-going projects, you may just check if they are registered under RERA or not?
Also, yo may try identifying any other property based on your requirements in some other project/venture.
As cheque validity is 3 months, you may wait for one more month and then decide to encash the cheques, if RERA approval does not come.