How RERA has Simplified the Procedure of Buying a New House in Pune?
Real estate dynamics had long been held hostage by a handful of unscrupulous builders who didn’t mind playing with buyers’ sentiments and money.
In stark contrast, reputed developers like Sancheti Builders have always tried to reinstate faith in consumers by delivering projects on time and surpassing customer expectations on the quality front.
However, the steeplechase inherent in buying a new house has been done away with to a large extent by the advent of RERA (Real Estate Regulatory Authority).
Buying a new construction house in Pune is now a simple process accompanied by complete peace of mind.
Presence of a Regulator
RERA is in the regulator’s seat and demands strict adherence to fair play rules. As a buyer, you are no longer gullible and cannot be fleeced by builders.
You stand to enjoy complete freedom from untenable demands of builders coupled with immunity from reeling under deliberate project delays. You approach a builder, choose an apartment that suits you, make a down-payment as dictated by RERA norms, and then wait for delivery.
Any delay would fetch your penalty in the form of interest and any quality compromise has to be compensated for by builder even after delivery. A buyer no longer is a pawn in the hands of the builder.
No Prospects of Abrupt Price Escalation
The price at which the builder has committed to offering you the apartment cannot be changed at a later date by citing cryptic reasons.
Provision for levying undeclared extra costs when buying a new house on customers has been eliminated. The onus to bear costs related to delays, change in ownership title, quality and project specification variations would be on the builder.
A builder cannot charge more than 10% of the project cost initially.
No Potential of Delayed Delivery
In Pune, often customers have complained about projects being inordinately delayed as respective builders have diverted allocated funds to other projects to raise more money from new prospects.
Such defaults would be a thing of the past as builders have to necessarily open an escrow account in a bank where the project capital charged from customers would be deposited.
Withdrawal of the money is contingent on clearance of a construction phase of the project successfully. Interest in customer’s money would be paid by builder every month during the protracted delivery period.
Fast-pacing of Ongoing Projects
The benefits of buying a new build house would be passed on to existing customers waiting for delivery. If you have not received the completion certificate within a promised deadline, you can lodge your complaint with RERA.
Defaulting builder would then have to furnish actual sanctioned plan, the amount sought from buyers, changes in specifications, and the time within which the builder renews his commitment to deliver the project.
Specification changes and ensuing cost escalations have to be certified by an engineer and chartered accountant.
Simplification of home buying process has been achieved through another provision which mandates that every builder has to register with RERA and has to necessarily maintain a website where complete information regarding the project would be made public.
While registering a project, the builder has to supply comprehensive information compromising of legal title deed, cost projection, land cost etc. for each tower.
No advertisement can be floated without quoting the RERA registration number and booking cannot be started unless the project is registered.
RERA would also provide the builder login id and password for logging into its site for updating project information and completion status, to be updated quarterly.
Top Notch Construction Quality
Earlier, checking quality of construction ranked higher on the prioritized list of things to remember when buying a new house for a customer.
Now, you can rest assured as any defect surfacing within five years of project delivery has to be amended by the builder at his own cost.
Repair work has to be commenced within 30 days of lodging complaint with the builder.
RERA definitely has simplified the procedure of buying a new house in Pune by offering a host of leverages in the hands of buyers.