A trust deficit had been building between developers and their customers, with massive incidence of project delays and deviations. Compliance with Rera is an opportunity to revive buyers’ confidence.
A year before, driving through National Highway-24, one would see billboards of real estate companies in the National Capital Region (NCR) offering Italian marble, free club membership and car parking, modular kitchen, LCD television, air conditioners and even a new car to woo apartment buyers.
None brought back enough consumer confidence. Now, companies are banking on the four-digit Rera registration number.
Once sceptical of and concerned about the Real Estate (Regulation and Development) Act, developers are now flaunting compliance with Rera as a unique selling point, claiming to be 'Rera-certified' in their advertisements, and hoping of winning back the confidence of buyers.
Supertech, a real estate company based out of the NCR, recently announced all its projects had been so registered.
And, that it was committed to timely delivery of 15,000 units in the current financial year across 50 locations, mostly in the NCR.
“We have become fully compliant with all the new Rera rules and regulations. Compliance with Rera is an opportunity to revive buyers’ confidence and we want to capitalise on the opportunity,” said R K Arora, chairman.
A trust deficit had been building between developers and their customers, with massive incidence of project delays and deviations.
A little over 50,000 buyers still await keys to their apartments in the region.
Other developers have issued similar claims, on billboards, radio and TV.
“Mentioning the Rera number gives consumers some confidence. They can do a background check on the developer. This is making things more transparent.
Any developer who claims to be Rera-certified has got it, as he has fulfilled the prescribed requirements,” says Parveen Jain, vice-chairman of the National Real Estate Development Council.
“As of today, only 18 states and seven Union Territories (UTs) have notified Rera; 10 states are yet to.
Though Haryana and UP have notified Rera, they are yet to set up the portal via which developers can upload their applications for registration of their projects.
Also, these two states have come under heavy criticism for diluting the Centre’s Rera norms,” said Anuj Puri, chairman, Anarock Property Consultants.
Experts also warn that having a Rera number is not enough.
“Loopholes do exist in Rera and are being exploited; the laws themselves are being diluted in several states.
Registration is not enough - there needs to be a Rera website in place for each state and UT. Also, project completion timelines given there by developers need to be realistic and attractive to buyers,” said Ramesh Nair, head of realty consultant JLL India.