Buying apartments in Bangalore from real estate developers has been made easy, all thanks to RERA.
Wondering what RERA is?
RERA stands for Real Estate Regulation Authority was established in the year 2016 by the Indian Government to bring a level of stability and regulation to the entire real estate industry, shifting the focus from the developer to the buyer, so as to promote transparency, citizen centricity and financial discipline.
Each state must define a regulatory body that centralizes and channelizes all the real estate transactions that happen in the state. This was done to regulate and standardize practices across the nation and also in each of the states.
This comes a great news to all those buyers who are planning to buy flats in any part of India
Registration of the Promoter and the Agents:
Every Entity that functions as a real estate promoter has to be register itself at the RERA of that particular state, the Real estate developer shall have to provide all the details of the projects to the Authority, with detailed plans regarding the construction, land papers and the date of completion.
They also need to provide details on the previous five years of their work and allow for annual audits for the same.
This opens the stage for the experienced developers who have all the paper work in place to get through, while the on the fly developer gets to bear the brunt without haphazard plans.
Real Estate agents too need to be registered as agents under RERA, they too shall have to maintain records of the sales done and cannot make undue promises that cannot be delivered by the promoter, failing which they are eligible to be fined.
Transparency to all stages and all players:
The RERA mandates that all details of the project shall need to be updated on the website, with details such as pending approvals, the date of completion, the approvals obtained so far and so on…
The buyer can track all of these changes that are happening and are up-to date on the workings in the projects. This is a unique feature that keeps the buyers informed of it all the changes that are happening in the process of their dream home.
No fears of bankruptcy or financial destability:
It is mandated that the promoter/developer needs to put a minimum of 70% of the proceeds from the sales into a separate account and this account shall be used only for the building costs of this project and this cannot be funneled to make other projects thus taking bankruptcy out of the window.
If in case the certificate of occupancy is not given on the previously agreed date of completion, the buyer can back out of the project and is eligible to be refunded the entire money that he has paid or in compensation for the delay in case they decide to stay with the project.
Warranty and Grievance redressal system:
The developer has to provide a warranty period of five years after completion of the project, there also exists a grievance redressal system that allows the buyer to lodge a formal complaint on the promoter or developer and the system is designed in such a way that the grievance must be addressed within 6 months of the filing.
All in all; RERA may have an effect on the time for the launch of a project but is makes things a lot more streamlined, giving the buyer a transparency never seen before and the power to the customer or the buyer when there was none before.
RERA has definitely made the buying of flats in Bangalore and the rest of India hassle free. RERA has brought smiles on the faces of buyers all around India and brought about changes in the real estate sector for good !!
Bengaluru, Silicon Capital of India, the Green City of India, The pensioner’s paradise.
We have all heard this from time immemorial. It is every middle-class man’s dream to have a house that they can call their own. A lot of them are poring away on advertisements on paper that read, “Flats for sale in Bangalore”, “ Property Developers in Bangalore”, after hours of research and finding the right balance in the per square foot rates and the location, they hit the next button of having the right property lawyers to have a property verification done. There are various checks on the property, its lineage, its proximity to the Raja Kaluve, sale deeds, A -kathas or B-kathas.
After all this there are property visits and long hours of debate on what to buy and what not to. Everyone wants to cash in on the trend in Bangalore, there is a hush hush news flowing around that the right time to buy a house in Bangalore is now, with record sales in real-estates being made in southern India, especially in Bangalore.
Affordable housing to Bangalore’s middle class
With a lot of property developers having a change in their strategies by completing their present projects, rather than investing on the newer ones, there has been a surge in the housing market with affordable housing being a reality. According to a report on the cost on the housing, the properties currently on the market are available at around the price range of 50 lakhs.
With support from bank loans, stable jobs in the IT sector, a lot of them are coming out of the shadows and investing on their dream home. The real estate trend has been on the upswing owing to this and a few more factors.
Bengaluru, IT corridor and the startup hub:
The need to reach office within forty to fifty minutes is the paramount need for every family that caters to people who work in the Industry. In houses that have most of them working the IT sectors, the long hours of commute leave little time for following one’s passion and quality family time. A lot of the real estate developers and the array of apartments that have sprung up on either side of the IT corridor make for an excellent investment of resources.
Bengaluru being the start-up hub that rakes in so many young dreamers of the world is surely changing their world, also changing the landscape are places of habitat that cater to these workspaces and offices. With a open studio like requirements for most startups, including the IT and the non IT space, the real estate options in Bengaluru is evolving with the dynamics and offering developers with unique opportunities that they can cash in on.
Increase in transparency and New Regulations:
With the onset of Demonetization, the real estate industry took a huge hit, property sales that relied on a upfront cash sale had the wind blown out of them. Newer regulations form the BDA stating that a developer can sell plots in his plot could be done only after every development was made complete contrary to the previous stop and check methods. These regulations and norms have brought in the a level of transparency in the way things operate and has made way for reliable developers to shine through against rookie developers.
With Bangalore real estate trends clearly on the rise, it is time for you to do your research and find the right home to nest your dreams, current trends indicate that now is the best time to invest in that hard earned money, be it the middle class family or the NRI family looking to come back to its roots following the changes in the international economy, the Bangalore real estate is in the driving seat and its time you invested in the same to reap the maximum benefits.