A "Real estate agent" is a person who acts on behalf of another person in a real-estate transaction, and is benefited with fees for the service extended. Real estate agents include the likes of property dealers, brokers, middlemen etc. Top services rendered by real estate agents includes introducing and deal making on leasing or sale of plot, land, building and apartments. Under the RERA Act applicable in India, all real estate agents must obtain a RERA registration for Agents.
The RERA Act has provided State Governments with the powers to issue rules and regulations pertaining to RERA registration for real estate agent registration. Any project where the area of development exceeds 500 square meters or if the number of apartments developed is more than eight, RERA registration would be required for the project and the project can be sold only by an Agent having RERA registration. Hence, only an Agent having RERA Registration is eligible for dealing in properties having RERA registration.
Benefits of RERA Registration for Agents
Under the RERA Act, a real estate project that must be registered under the RERA Act can be dealt only by a real estate agent having RERA registration. RERA registration is required to advertise, market, book, sell or offer for sale, or invite persons to purchase in any plot, apartment or building. Only the following types of plots and apartments are exempted from RERA registration requirements:
Hence, RERA registration is a must for all real estate agents. Further, having RERA registration would help establish credibility amongst prospective buyers and sellers and show professionalism.
RERA Real Estate Agent Registration
Validity of RERA Registration
Normally, RERA Registration for Real Estate agents are valid for a period of 1 year or more based on the amount of fee paid. The registration would be renewable at the end of its period. Also, the Authority can revoke the agent’s registration at anytime if he/she finds that the registration has been obtained through misrepresentation or fraud, or on any breach of the stipulated conditions.
RERA registration for agents and projects is governed by the concerned State Governments. Hence, any application for RERA registration must be made to the RERA regulator in the respective State.
RERA Registration Certificate
On making a RERA registration application, the concerned Authority would grant a RERA registration to the real-estate agent for the entire State or Union Territory. Normally, RERA registration for Agents is provided within 15 days in most States.
A real-estate agent will be penalized with an amount of Rs 10,000 for each day of default, be it for non-registration or any other breach of conduct. The fee can cumulatively extend up to 5% of the cost of plot, apartment or building. A real estate agent having RERA registration must abstain from making a statement that gives a false representation of the service. Also, the agent must not make a statement depicting an approval or affiliation which the promoter doesn't have.
Individual Real Estate Agent
Corporate Real Estate Agent
RERA Real Estate Agent Registration
Promoters are the manufacturers or the developers who fabricates high rise buildings and sell those to home searchers. With expanding grumblings against the promoters, the Real Estate Regulatory notice by the government of India has driven numerous rules which the promoters need to meet in order to legitimately construct a building or sell it. The grievances of the purchasers that have expanded in the most recent decade or so have been because the late belonging they get of their flat purchase, any kind of fault or change in the project plan once the agreement has been made and numerous issues has been encountered. The promoters often play with the money of the perspective buyers. RERA is government authority which has been endorsed under Real Estate Regulatory 2016. It intends to make a system without any escape clauses which can keep up a healthy passage of purchasing and selling of estate projects. It was high time that the government needed to bring such a strict policy because people have lost their faith and respect in the real estate makers. This has made the individuals to quit connecting with into the purchasing and putting resources into land which hampers the inflow of money which further affects the growth of economy. Hence, to keep an eye on the work of promoters’ government has made several measures.
After the authorization of RERA in 2016, the real sector has become more transparent and trust worthy.
RERA defines a promoter as a person who is responsible to construct or causes to construct a maverick building or a building comprises of apartments or changes over a current building or a section thereof into condos, to offer all or a portion of the condos to different people and incorporates his trustees.
RERA define promoters in a very complex way, a promoter cover almost all the aspect of construction, ie, responsibility of a promoter includes new construction, conversion of existing buildings, commercial construction, plotting of land, contractor and estate development by any person working as the holder of the attorney from the owner of the land.
Benefits of RERA
Accurate Project Details
In the development phase, builders promote their activities, characterizing the different conveniences and highlights identified with ventures. According to this bill, there can't be any progressions to an arrangement. What's more, if a developer is seen as liable, at that point, he/she will be punished 10% of the task's expenses or face prison time of as long as three years.
On Time Delivery
It has been seen that developers frequently make bogus guarantees about the finish date of the project, however they barely deliver it on time. According to the bill, exacting guidelines will be authorized on developers to guarantee that development runs on schedule and flats are conveyed on chosen time.
Builders often offer lucrative discount to their buyers to attract more customers. Furthermore, the purchaser, tempted by the offers, doesn't worry about the leeway. However, because of delay in getting leeway, the purchaser doesn't get the flat on schedule. This bill guarantees that designers get all the clearances before selling flats.
The sum to be paid by the purchaser has been decreased from 20% to 10%, which ought to be paid simply in the wake of registering the agreement for sale with the manufacturer. End of the agreement is allowed just if the purchaser defaults on installment thrice. The Buyer is qualified for a 15-day notice.
No Promotion Without RERA
Promoters are not allowed to advertise any undertaking without RERA enlistment with the Real Estate Regulatory Authority establishment under this Act. Furthermore, every notice needs to convey the RERA enlistment number.
Promoters in the Real Estate Sector
Our team of experts acts as a bridge between a buyer and a promoter
New rules under RERA promoters should be aware of
Rigidity In Change Of A Plan
Promoter enjoys the authority to change a project’s plan that has been registered with a two-third majority part of the purchasers of that project.
A promoter currently needs to keep in any event half of the funds created through the selling of house of a project in the project’s record. This will additionally make a purchaser trust a manufacturer as now, the administration itself will expel the reason for postponed ventures or the promoter announcing lack of assets.
Functions Of A Promoter
The jobs and responsibility of a promoter have been expanded as they presently need to give the purchaser every document that a purchaser ought to have while signing an agreement. Until a local body is created it becomes his responsibility to deliver the services he is provided.