Government of India has enacted the Real Estate (Regulation and Development) Act 2016 and all the sections of the Act shall come into force with effect from May 1, 2017.
The key objectives of the Act are:
Under this Act, Government of Maharashtra established Maharashtra Real Estate Regulatory Authority (MahaRERA), vide Notification No. 23 dated 8 March 2017,
for regulation and promotion of real estate sector in the State of Maharashtra, with its headquarters at Mumbai.
Mumbai is a major centre for real estate investments and Maharashtra has been on a forefront to implement and adapt RERA.
Thus, in order to ensure the smooth functioning of real estate operations in the state, the Maharashtra Real Estate Regulatory Authority (MahaRERA) came into force.
As per RERA Act 2016, only RERA registered agent can work in the real estate market i.e. only registered agents can facilitate sale and purchase of real estate properties registered under section 3 of the act.
Consumers who have been complaining about delayed possessions in the past need not worry as RERA makes it mandatory for each project to have sufficient funding.
Home buyers can check project layouts and approvals on the Maha RERA website, and update themselves with the latest developments.
This not only ensures transparency between companies and prospective buyers but also encourages a trustworthy relationship between them.
The promoter shall not issue any advertisement in any manner including by the way of issuance of brochures, pamphlets, words of mouth, or in any other manner, for booking of the apartment or plots or building in real estate project without getting their particular project registered under RERA.
In case, the promoter is found advertising any false claims that he/she fails to deliver, he/she shall be exclusively liable for further penalties.
It is compulsory for the promoter to mention the registration number of the project provided by the authority on the website as well as on any advertisement.
Through an initiative of the Mumbai Grahak Panchayat (MGP), a leading consumer body, along with the Confederation of Real Estate Developers’ Associations of India (CREDAI),
the Maharashtra Chamber of Housing Industry (MCHI) and the National Real Estate Development Council (NAREDCO), Maharashtra has become the first state in India to set up an Alternate Dispute Resolution (ADR) mechanism under the RERA,
to provide speedy resolution of disputes, with the formation of a Conciliation Scheme, coming into effect from February 1, 2018.
As on January 2019 more than 19,000 Projects and more than 18,000 Real Estate Agents are registered under MahaRERA.