Status as on- 06/08/2020
The Real Estate (Regulation & Development) Act, 2016 was introduced with the objective of safeguarding the interest of the home buyers. The implementation of this landmark legislation was left to be notified by respective state or union governments. This was followed up by several states & union territories notifying the rules there under and implementing RERA.
In a much-awaited manner, the Union Territory of Jammu & Kashmir has notified the rules under Real Estate (Regulation and Development) Rules 2020. It has become the 33rd state/union territory to do so.
What Changes does it bring for Homebuyers?
Much to the relief of both consumers and real estate developers in the Union Territory of Jammu & Kashmir with the onset of a new era of transparency and accountability in the real estate sector. Furthermore, the Ministry of Housing and Urban Affairs notified the rules under Real Estate (Regulation and Development) Rules 2020.
RERA will also aid in protection of interest of home buyers and ensure proper regulations and fair promotions of real estate with the setting up of an adjudicating mechanism for the same. It will ensure fair and efficient transactions, timely delivery, quality construction and proper utilization of home buyer’s hard-earned money.
Reforms for Project Developer
The builders or project developers have been advised to file the application with the authority in writing in Form A until the procedure to file details through online mode is made available. Furthermore, it has prescribed registration fees to be payable by the builder as follows:
- In case of Group Housing Projects: Builder shall pay Rs. 5 per sq. meter for projects with proposed area of land not exceeding 1000 sq. meters and Rs. 10 per sq meter for projects exceeding 1000 sq. meters, but not more than Rs. 5 lakhs.
- In case of Plotted Development: Builder shall pay Rs. 5 per sq. meter, but not more than Rs. 2 lakhs.
- In case of Commercial Projects: Builder shall pay Rs. 20 per sq. meter for projects with area of land proposed not exceeding 1000 sq. meters and Rs. 25 per sq. meter for projects exceeding 1000 sq. meter, but not more than Rs. 10 lakhs.
Therefore, the inception and implementation of RERA in Jammu & Kashmir will secure the interest of home buyers as well as put an end to the malpractices by the agents or builders improvising the condition of the real estate sector. Though, it is a long road towards sum total execution of the same due to its political set-up. However, the implementation of RERA will assuredly initiate a pioneering practice in the real estate sector.
Disclaimer – The above articles is based on the personal interpretation of RERA and related laws. The readers are expected to take expert advice before putting reliance on it. For any clarification and issue please reach us at firstname.lastname@example.org