The Real Estate Regulation Authority (RERA) Act, has now become a ground reality in real estate sectors. It is emerging as a Landmark realty law to protect the interest of home buyers from unscrupulous developers. The RERA Act was cleared by the Parliament in March 2016, without notifying the rules, the law will not become operational for any of the States.
To make RERA an operational system, Bangalore being Capital of Karnataka characteristically knows as “The Silicon Valley of India”, a hub for IT and a part of Karnataka which is gradually becoming a metropolis for real estate sector is worthy of separate analysis for its RERA Registration which is as under:
Who is required to get RERA Registration?
1. Every Promoter:
- The contractor for construction or demolition of building, plot etc.
- Developers of land
- Any development authority or public body who construct or sold building, plot
- State-level or primary co-operative housing societies
- Holder of power of attorney for sale from the land owner
2. On-going project as on 01/07/2017 where completion certificate has not been received.
3. Every agent who assist in sell/purchase of any RERA registered real estate project
RERA Fees and Procedures
For Real Estate Project – The RERA registration fees shall be based on the land area to be developed
- For commercial projects
- Rs. 20/- per square meter for projects where the area of land proposed to be developed does not exceed 1000 square meters; or
- Rs. 1000/- per hundred square meters or part thereof where the area of land proposed to be developed exceeds 1000 square meters.
- For residential or any other project
- Rs. 10/- per square meter for projects where the area of land proposed to be developed does not exceed 1000 square meters; or
- Rs. 500/- per hundred square meters or part thereof where the area of land proposed to be developed exceeds 1000 square meters
For Real Estate Agent – The RERA registration fees for the Real estate agent in Karnataka shall be Rs. 25,000/- for individual and Rs. 2,00,000/- for a person other than individual.
Note – Please note that the above article is part of our continuous research on the related matters. It is based on our interpretation of related regulations which may differ person to person. Readers are expected to take expert opinion before relying on above.