Understanding RERA: Guide for Homebuyers

Understanding RERA (Real Estate Regulation and Development Act, 2016): A Complete Guide for Homebuyers

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Introduction

The Real Estate (Regulation and Development) Act, 2016, commonly known as RERA, is a landmark legislation that aims to protect the interests of homebuyers and ensure transparency and accountability in the real estate sector. Whether you are planning to buy a property or are already a homebuyer facing challenges, understanding RERA is crucial for safeguarding your interests.

This comprehensive guide explains what RERA is, how it works, and the key protections and mechanisms it provides for homebuyers across India.

What is RERA?

RERA is a central legislation enacted to regulate and promote the real estate sector by enhancing accountability and transparency, preventing fund diversion, and ensuring timely delivery of projects with quality construction. The Act has been implemented across nearly all States and Union Territories in India, with Real Estate Regulatory Authorities established in each to oversee its implementation.

Current Status of RERA Implementation (As of September 2025)

States/UTs with RERA: All except Nagaland have notified Rules under RERA and established Real Estate Regulatory Authorities
Registered Projects: Over 1.51 Lakh (151,000) projects registered
Registered Agents: Over 1.06 Lakh (106,000) real estate agents registered
Complaints Disposed: Over 1.47 Lakh (147,000) complaints resolved by authorities across the country

Key Benefits of RERA for Homebuyers

1. Enhanced Transparency and Accountability

RERA ensures that developers maintain transparency regarding project details, financial information, and construction progress. Homebuyers have the right to access comprehensive information about any registered project before making a purchase decision.

2. Fast-Track Grievance Redressal

The Act provides a fast-track mechanism for resolving disputes between homebuyers and developers. Homebuyers can file complaints with Real Estate Regulatory Authorities without incurring the delays typically associated with litigation in civil courts.

3. Prevention of Fund Diversion

RERA mandates that funds collected from homebuyers must be deposited in designated escrow accounts. Withdrawals from these accounts require proper permissions and verification, preventing developers from misusing homebuyer money for other projects or purposes.

4. Timely Project Completion and Quality Construction

The Act requires developers to deliver projects within the time frame specified during registration. Additionally, completion certificates are issued only after stability audits are conducted on buildings, ensuring quality construction standards.

5. Project Registration and Verification

All real estate projects must be registered with the Real Estate Regulatory Authority. This registration process ensures that projects meet all regulatory requirements and that all necessary approvals and clearances are in place before the project is launched.

Important Considerations for Homebuyers

Understanding Project Timelines

When a homebuyer purchases a property, it is important to understand the project's completion timeline. According to RERA regulations:

Developers declare the project completion timeline at the time of registration
If the developer fails to deliver within this timeframe, delay possession charges become applicable
Extensions may be granted in certain circumstances, but extensions cannot be unlimited

Checking Project Registration Status

Before investing in any real estate project, homebuyers should:

Verify that the project is registered under RERA
Check the project details on the Unified RERA Portal (now launched by the Ministry of Housing and Urban Affairs)
Review the project's annual reports and quarterly progress reports
Confirm that all approvals and environmental clearances are in place

Understanding Escrow Accounts

Escrow accounts are bank accounts where homebuyer funds are deposited. Key points to understand:

Only funds necessary for that specific phase of construction can be withdrawn
Withdrawals require proper documentation and verification of construction progress
Banks cannot release funds without appropriate permissions and audit requirements
This mechanism protects your money from being misused by developers

Addressing Issues with Stalled Projects

If you have purchased a property in a stalled project, several mechanisms are available for relief:

Amitabh Kant Committee Recommendations: Framework for reviving stalled housing projects, especially pre-RERA projects
State-Level Recovery Mechanisms: Examples like Uttar Pradesh policy package for reviving stalled projects
SWAMIH Fund: Provides financial assistance to viable but stalled projects
RERA Authority Intervention: Regulatory authorities can direct developers to take corrective actions or impose penalties

Common Issues and Solutions

Issue 1: Misleading Advertisements

Builders sometimes use misleading advertisements that do not represent the project accurately. Solutions:

File complaints with the RERA Authority
Report ads to Advertising Standards Council of India (ASCI)
Contact State RERA Authority's media team
Use the CPGRAMS portal for grievance registration

Issue 2: Non-Implementation of RERA Orders

Some builders do not comply with orders issued by RERA Authorities. Solutions:

Follow up on recovery certificates with Revenue Authorities
Escalate issues to higher authorities
Participate in homebuyer awareness conferences and associations

Issue 3: Delays in Obtaining Completion Certificates

Delays in municipal approval for completion certificates can occur. Solutions:

Coordinate through State RERA Authorities
File complaints against unreasonable delays
Seek compensation for delays if applicable

Issue 4: Developers Deviating from Approved Plans

Developers may not adhere to original plans or promised amenities. Solutions:

Document deviations with evidence
File complaints within time limits
Seek compensation or redressal
Use Conciliation Forums for dispute resolution

New Initiatives to Protect Homebuyers

1. Unified RERA Portal

Website: rera.mohua.gov.in

The Ministry of Housing and Urban Affairs has launched the Unified RERA Portal to enable homebuyers to access comprehensive project information from all states and union territories in one centralized location. Key features include:

Easy project information access and transparency nationwide
Centralized database of registered projects and agents
Verified information about developer compliance history
Cross-learning platform for RERA authorities across states

2. Angikar Portal

Purpose: To streamline RERA implementation processes and improve efficiency across states

The Angikar Portal works in conjunction with the Unified RERA Portal to enhance the overall experience for homebuyers and developers by simplifying administrative processes.

3. CPGRAMS Portal (Centralized Public Grievance Redress and Monitoring System)

Website: pgportal.gov.in

CPGRAMS is a centralized portal for filing and tracking homebuyer grievances related to real estate issues. Available 24/7, this platform allows you to:

File complaints related to RERA violations and housing issues
Track the status of your complaint using a unique registration ID
Appeal if you are not satisfied with the resolution
Access through web portal, mobile app (Google Play Store), or UMANG app

Key Features: Fast-track resolution within 21 days, transparent tracking, and appeal mechanism for unsatisfactory outcomes.

Sector-Specific Highlights

States showcasing best practices:

Gujarat: Conciliation Forums and linked fund withdrawals to project data verification
Uttar Pradesh: Media team to curb misleading ads and revival of stalled projects
Maharashtra: Collaborates with ASCI to prevent unregistered project ads
Tamil Nadu: Unified guidelines for advertising by Regulatory Authorities

How to File a Complaint Under RERA

Gather all relevant documents including agreements, receipts, correspondence, and evidence
Identify your State's Real Estate Regulatory Authority
Submit a detailed written complaint with supporting documents
Track complaint status via CPGRAMS or State RERA website
Participate actively in hearings
File an appeal within the prescribed timeframe if unsatisfied

Frequently Asked Questions (FAQs)

Q: Are all projects covered under RERA?
A: Most projects are covered, except some government and individual plot sales as specified by the Act.

Q: What should I check before buying a property?
A: Verify project registration on the Unified RERA Portal, check approvals, and confirm escrow accounts are in place before investing.

Q: How long to resolve a complaint?
A: Resolution aims to be faster than traditional courts. CPGRAMS targets 21-day resolution for grievances.

Q: Can I seek compensation?
A: Yes, for non-compliance like delayed possession or other losses as determined by the RERA Authority.

Q: What if a project is stalled?
A: File complaints with RERA and seek relief through various government schemes, SWAMIH Fund, and Amitabh Kant Committee recommendations.

Q: How do I access these portals?
A: Visit the Unified RERA Portal at rera.mohua.gov.in for project information, and pgportal.gov.in for filing grievances through CPGRAMS.

Government Initiatives for Homebuyer Protection

The Government continues to strengthen RERA implementation through:

Annual Central Advisory Council meetings for comprehensive review
Large-scale awareness campaigns for homebuyers nationwide
Training and technical assistance to State Authorities
Use of data analytics and artificial intelligence for project monitoring
Coordination with local authorities for timely clearances and approvals
Launch of Unified RERA Portal for centralized information access
Integration of CPGRAMS for streamlined grievance resolution

Important Links for Homebuyers

Unified RERA Portal: https://rera.mohua.gov.in
CPGRAMS Grievance Portal: https://pgportal.gov.in
Ministry of Housing and Urban Affairs: https://mohua.gov.in

Conclusion

RERA is a powerful tool to protect homebuyers and enhance trust in the real estate sector. By understanding and utilizing its protections and complaint mechanisms, homebuyers are empowered to make informed decisions and seek timely redressal.

The launch of the Unified RERA Portal, Angikar Portal, and CPGRAMS integration marks a significant advancement in making real estate transactions more transparent, accountable, and buyer-friendly. For detailed rules, project status, and complaint filing, always refer to your State RERA Authority and these official portals.

Download Full PDF Minutes of 5th CAC Meeting

Disclaimer: This article is for informational purposes only and should not be taken as legal advice. Consult professionals for personal legal guidance.

This content is based on the Minutes of the 5th Meeting of the Central Advisory Council on RERA held on September 4, 2025.

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