Real Estate Bill provides a uniform regulatory environment

Bengaluru, December 13, 2015: According to mr. Manoj gaur, president, credai ncr: “Real estate bill is expected to protect the interest of both buyers as well as developers. However, the bill has not covered few major issues such as sanctioning authority has not been made part of this bill, which leads to delays in many projects. We are disappointed with the clause which mentions the inclusion of old & ongoing commercial & residential projects. This is the time when the sector needs a push from the government with friendly policies but unfortunately the particular clause dampens the spirit of the developers. We have always been saying that balanced Real estate regulatory bill once implemented would improve the scope of realty operations and will give the much needed boost to the sector. Apart from that there are many positives in the bill that will help in setting up a better environment for real estate sector. At the same time, the bill has made it amply clear that regulatory authorities have to promote Single Window Clearances for Real estate projects and thus it can be said that it is now up to the States to set up single window clearance mechanism”.

Some of the salient features of the bill are: Insurance of land title to avoid risk of losing investment; Grading of Projects and Promoters to help buyers take right decision; States to comply with norms and have to make rules within 6 months of notification of Act; States to establish Real estate Regulator and appellate Tribunal; Consumer has option to approach consumer forums at district levels; Regulatory authorities to dispose off complaints within 60 days. Similarly appellate Tribunals need to adjudicate cases within 60 days; penalty or Imprisonment up to 3 years or both in case of Builders, one year for both real estate agents and Buyers for violating orders of appellate Tribunal; commercial projects brought under ambit of Bill.

According to mr. Deepak kapoor, president, credai western up: “The Real Estate Bill provides a uniform regulatory environment to ensure speedy settlement of disputes and orderly growth of the real estate sector. The bill also proposes obligatory disclosure of all the registered projects, including details of the project, land status, layout plan, etc. along with details of real estate agents, architects, contractors etc. The bill is aimed at protecting the interest of home buyers and encouraging investments in the sector while ensuring accountability and transparency. However CREDAI Western U.P. is also incorporating some more mendments for better applicability of the Bill”

According to mr. Sanjay rastogi, director, saviour builders pvt. Ltd.: “The bill will no doubt bring huge relief to the realty sector and all the concerned stakeholders. Developers would be required to deposit specified amount in a separate bank account or escrow account to cover the construction cost of the project. This in turn would ensure timely completion of the project. Also developers would not be allowed to make any changes in design of the units without the consent of the customers. All these measures would allow only genuine builders to operate in the market.”

According to mr. Om chaudhry, founder & ceo of fire capital and chairman & ceo of astrum value homes: “The bill will help increased domestic and foreign investment in real estate sector which will be in line with the government’s objective to provide ‘Housing to all by 2022’. All the proposals of the bill will certainly restore the confidence of investors and home buyers in the real estate sector. Registration of both the residential and commercial projects will be made mandatory and any harassment of buyers will also be checked. Overall, with the passage of bill, there will be fair play in real estate transactions in addition to ease of doing business.”
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Corporate Comm India(CCI Newswire)