Duties and functions of Agents and Promoter under RERA Act 2016


Enacting of the RERA Act, 2016 made registration and duties of promoters and real-estate agents compulsory. The reason why the process of registration and duties of the mediator are specified is accountability and regulating promoters and real estate agents through a supervisory body.

The need for registering these mediators came from the non-transparent and vicious mechanism of real-estate projects and their scheme before enacting of RERA Act, of 2016. Apart from all the fraud practices of builders and agents, the redressal mechanism was crippled. Ultimately it was a hectic as well as fraudulent process for homebuyers before RERA was enacted.

Registration of Real-Estate agents and Promoter-

  • Registration- Real Estate Agents (section 9)
  • No agents shall facilitate the selling or purchasing of plots, apartments or buildings unless they didn’t obtain registration under this act
  • Application for registration of agent shall be in a manner which is prescribed. The application must accompany suitable fees and documents prescribed by the authority (RERA).
  • Authority either grants the application of the agent or rejects it while recording the reason in writing.
  • If no communication related to deficiencies of the application is done, then agents will be deemed registered.
  • Registered real-estate agent will have a registration number, which he/she shall quote to every facility he/she supervises.
  • Registration shall be renewable, after the expiry of previous registration.
  • In case where agents secured registration through misrepresentation or fraud or were found to be indulging in any breach of any condition specified by this Act. Then, the agent’s registration will be revoked or suspended for the period the Authority may think fit.
  • Functions- Real-Estate Agents (section 10)
  • Not selling, purchasing, or facilitating these trading in plots, apartments & buildings which are not registered with RERA.
  • Maintain Records, Books, & preserve books of accounts.
  • Not involved in any type of Unfair Trade Practices.
  • Making false representations. Despite not having an actual registration as Real-Estate Agent still representing oneself as a lawful agent.
  • Representing promoters or builders having projects not registered under RERA.
  • Permitting falsified advertisement that depicts services that are not meant to be offered.
  • Facilitating the possession of all information, and documents to which the allottee, is entitled, at the time of booking of any plot, apartment, or building.
  • Function and Duties of Promoters (Section 11)
  • Promoters have to register their project u/s 5 after successful registration of the project. The promoter gets a login and password, after which the promoter has to make a website and publish all relevant information for public viewing. Information related to:
  • Details of registration granted by authority.
  • Quarterly up-to-date list of units booked in a project;
  • Quarterly up-to-date list of nos. of garages booked;
  • Quarterly up-to-date list of approval taken and approval pending; and
  • Quarterly up-to-date status of the project.
  • The prospectus or advertisement issued by the promoter shall prominently contain the website address and detailed address of the registered project. Apart from that registration number obtained from the authority also needs to be present.
  • Promoter at the time of booking & issuance of allotment letter shall be responsible for making info available to allottee:
  • Sanctioned plans, layout plans along with specification, approved by the competent authority.
  • Stage-wise competition of Project.
  • Promoter shall-
  • Hold responsibility for all obligations towards allottees or association of allottees, till the conveyance of all apartments, plots & buildings;

(*Promoter will be responsible for all structural defects after complete conveyance also*)

  • Obtaining completion certificate/occupancy certificate from competent authority & providing it to the Allottees;
  • If the project is on a lease, then the promoter’s duties are to pay the lease or all dues and obtain the lease certificate.
  • Maintaining & providing essential services, at reasonable prices till the formation of an Association and association take over all the maintenance functions.
  • Enable the formation of an Association or co-operative society of allottees.

(* in the absence of any local law Association needs to be formed within 3 months when the majority of allottees have booked their units)

  • Execute a registered conveyance deed of the unit in favor of Allotees.
  • Pay all outgoings until the unit is transferred to the allottee.
  • Promoter can cancel the allotment only on terms mentioned in the agreement for sale.

(* allottee may approach the authority for relief. If cancellation is not in accordance with the agreement of sale, or without sufficient cause*)

  • The promoter shall prepare and maintain all such records, details, and books of account for periodic investigations.


As we saw the duties and functions of agents and promoters it is necessary to define them for the purpose of creating accountability and setting boundaries on how far an agent or promoter can act.

RERA enable allottees to have access to all kind of relevant information regarding the project in which they are interested in buying flats, plots, or apartments. To enable this transparency RERA acts as a mediator by setting functions and duties of promoters and agents.

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