Wednesday, July 1, 2020

The Impact of RERA On Real Estate Industry and Benefits


Due to various deregulation of business establishment processes and the ease of doing business of many foreign players and multinational companies are now getting attracted towards India. The current tempo of the luxury real estate market in India is expected to continue as demand for luxury houses is increasing. In North India, the growth of real estate market dominates in Delhi NCR, Gurgaon and Noida, especially in high-growth projects. After the implementation of RERA certified properties in India, the industry has experienced improvement in project execution and delivery in the residential segment. The provisions of the Act have compelled real estate companies to focus more on project delivery, resulting in being ready to buy apartments in number of cities as well as being available to home buyers in various parts of the country. The Act is capable of generating positive feedback from both developers and consumers. Talking about the future, RERA promises an organized industry as it is progressive legislation. It has the potential to create a real estate industry that is desired by all as the properties have now become RERA certified

Industry benefits

  • Governance and transparency
  • Project efficiency and robust project delivery
  • Standardization and quality
  • Enhance confidence of investors
  • Attract higher investments and PE funding
  • Regulated Environment

Developer Benefits

  • Common and best practices
  • Increase efficiency
  • Consolidation of sector
  • Corporate branding
  • Higher investment
  • Increase in organized funding

Buyer Benefits

  • Significant buyers protection
  • Quality products and timely delivery
  • Balanced agreements and treatment
  • Transparency – sale based on carpet area
  • Safety of money and transparency on utilization.

Agent Benefits

  • Consolidation of sector
  • Increased transparency
  • Increased efficiency
  • Minimum litigation by adopting best practices
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