State amends RERA to address buyers' concerns
As per the amendments, builders will not be allowed to charge more than ten per cent of booking amount from the buyers.
Mumbai: To clamp down on builders exploiting homebuyers, the Maharashtra government has made amendments to the Real Estate (Regulation and Development) Act 2016 ‘RERA’.
As per the amendments, builders will not be allowed to charge more than ten per cent of booking amount from the buyers. Occupational certificate (OC) and completion certificate (CC) have also been made a must for ongoing construction projects.
“A builder can charge more than the allowed booking amount only after the builder and the buyer have an agreement on the same, which must be submitted to the RERA authority in the state. Without a registration with RERA, the developer cannot charge more than ten per cent from the buyers,” an official from the housing department said. This has been done after a consumer forum insisted on a mechanism regulating the charges which developers levy on homebuyers, the official added. He further added that, in another amendment, the OC and CC are a must for the ongoing construction projects along with the registration.
The amendments, which come in the backdrop of the flak the state government received from activists and homebuyers, will be send to chief minister Devendra Fadnavis for final approval before implementation. However, the state has no strong rule to prevent discrimination on the lines of religion, caste, and sex while selling a flat. “We have mentioned that there cannot be discrimination on any grounds. This clearly shows that the state is not in favour of any discrimination,” the official said.
The state government has finalised space at SRA building in Bandra for the RERA authority, which will act as a quasi-judicial body that can impose fines on those found guilty.