- UP's draft RERA rules approved by state cabinet
- State's RERA to be setup in November
- Act provides for imprisonment and penalties for violators
LUCKNOW: In a major development, the Uttar Pradesh (UP) Cabinet has approved the state's Real Estate Regulator (RERA) draft rules on Monday. Speaking exclusively to NDTV, the Secretary of the UP Housing & Urban Development Department, Pandhari Yadav, said that the Cabinet has approved the draft rules and that it would be notified in a week’s time.
The state RERA will likely be in place by November. Lakhs of home buyers in Noida, Greater Noida, and the Ghaziabad region stand to benefit from the move, as they can now seek to resolve disputes about project delays, payments issues and other related matters before the RERA.
The Real Estate (Regulation and Development) Act of 2016 came into force on May 1st. The act is aimed at regulating India’s massive real estate sector, while giving homebuyers a potent weapon to address the problems they are facing in dealing with builders.
As per the notification, rules under the Act have to be formulated by the Central and state governments within a maximum of six months from the date of enactment. In addition, states are bound to form real estate regulatory authorities within a year from May 1, 2016.
The act provides for imprisonment and penalties for real-estate developers who violate the rules laid down by RERA. It also contains systems in place to provide full disclosure from developers about their projects, the materials used in construction, the timeline for delivery, their sources of finance and their method of deciding prices.
Edited by – Nikhil Narayan Sivadas