The real estate scene in India has grown exponentially over the years. However, it has remained largely unregulated until the advent of Real Estate Regulation and Development Act 2016. The Act, popularly known as RERA, was introduced with the objects of promoting professionalism, ensuring accountability, transparency fair play and to reduce fraud delays. The Act established good governance in the real estate sector RERA makes it mandatory for all commercial and residential real estate projects, as well as real estate agents to be registered with RERA
From 1 May 2017, the entire Act has been brought into force by the Central Government and the states were tasked with drawing up the rules for their respective states for carrying out the purpose of the Act and establishing the regulatory authority. K-RERA the RERA authority of Kerala was established on 05.10.2019
Stakeholders
Registrations Under RERA
A. Project Registration
The promoters of every commercial and residential real estate projects where the land is over 500 square meters or number of units are less than eight, has to make an application with the authority before launching the project. A project that are ongoing on the date of commencement of this act and for which completion certificate have not been issued also comes under ambit of registration. The Authority shall, within 30 days of application either grant or reject the application.
Under following cases registration with the Authority is not required.
Land to be developed not exceeding 500sq.m where the no. of apartments not exceed 8
For the purpose of renovation /repair/redevelopment which does not involve re-allotment, marketing, advertisement, selling,
Functions And Duties Of Promoter
- Responsible for all the obligations, responsibilities and functions to the allottees as per the agreement for sale or the association of allottees till the conveyance of all the apartments/plots, or till 5 years after the conveyance deed is executed for structural defect/any other defect
- Responsible to obtain completion certificate/occupancy certificate from the authorities concerned
- responsible to obtain the lease certificate where the land is leasehold
- For executing registered conveyance deed in favor of the allottee
- To enable formation of an association under the law applicable, provided that Association Shall be formed within 3 months of the majority of allottees having booked their apartments
- To pay all outgoings until transfers physical possession to allottees /association, which he has collected from the allottees such as land cost, ground rent, municipal & other taxes, water & electricity charges, maintenance charges, mortgage loan etc. payable to authorities concerned
- After execution of agreement , not to mortgage or create any charge on the property and if any such mortgage/charge is created , it shall not affect the right and interest of the allottee who has taken or agreed to take the apartment/property.
- For providing and maintaining essential services on reasonable charges till it is taken over by the association
B. Registration Of Real Estate Agents
All brokers will have to be mandatorily registered with the concerned state-level regulatory authorities. Real estate agents will be given a registration number by the authority which will be valid for 5 years and will be quoted in every transaction facilitated by them.
Documents Required
- Pan Card of real estate agent /partners/Directors
- Address proof of real estate agent /partners/Directors
- Photograph of real estate agent /partners/Directors (2 Nos)
- Proof of registration (Partnership Deed or Certificate of Incorporation, Moa AoA in case of Company)
- Address proof of Partnership firm or Company
- Income Tax Returns Filed for the last 3 years
- Business Pan card (in case of partnership & company)
Functions Of Real Estate Agents
- They shall not facilitate sale/purchase any plot/apt: in any area/project which is not registered with the authority.
- Maintain books of account, records & documents
- Not involve in any unfair trade practices (false representation as to standard/affiliation/services/false advertisement or prospectus)
- Facilitate possession of all the information and documents to the allottee
- Provide assistance to enable the promoter and allottees to exercise their rights and fulfill their obligations at the time of booking