Please reach us at info@jaipurrera.com +91 - 8696466424 | 9891339922 if you cannot find an answer to your question.
JAIPUR RERA .COM has been in the real estate industry for over 10 years, serving clients in the greater metropolitan area. Our team of experienced professionals has a deep understanding of the local market and is committed to providing exceptional service and support to our clients.
The fees for JAIPUR RERA .COM's services vary depending on the scope and complexity of the project. We offer competitive pricing and provide transparent communication about our fees upfront. Contact us to schedule a consultation and receive a personalized quote.
Yes, JAIPUR RERA .COM provides rental property management services for both residential and commercial properties. We handle everything from tenant screening and rent collection to maintenance and repairs, and we strive to maximize your rental income while minimizing your expenses.
1. What is the status of the Act?
The Real Estate Bill was passed by the Rajya Sabha on 10th March, 2016 and the Lok Sabha on 15th March, 2016. The Bill as passed by the Parliament was assented to by the Hon'ble President on 25th March, 2016. The Act as assented to by the Hon'ble President was published in the Official Gazette on 26th March, 2016 for public information.
2. When did the Act come into force?
Provisions of section 2, sections 20 to 39, section 41 to 58, sections 71 to 78 and sections 81 to 92 (relating to definitions, establishment/appointment of Regulatory Authority/Appellate Tribunal, Adjudicating Officer, framing of Rules/Regulations, constituting regulatory Fund, making website etc. came into force with effect from 1st May, 2016 vide Notfn. dt. 24.04.2016 of the Central Govt. (Ministry of HUPA). Remaining provisions of sections 3 to 19, 40, 59 to 70, 79 and 80 regarding registration of real estate projects, real estate agents, responsibilities of promoters/ allottees/agents, about penalties and offences etc. came into force w.e.f. 01.05.2017 vide Notfn. dt. 19.04.2017 of the Central Govt. (Ministry of HUPA).
3. Why have some sections of the Act have been notified later?
Some sections of the Act have been notified after one year, as the institutional structures, namely the establishment of the Regulatory Authority and the Appellate Tribunal are necessary prior to their enforcement.
4. What was the need for a regulatory law for the real estate sector?
The real estate has grown in the recent years but has largely been unregulated from the perspective of consumer protection. Though, consumer protection laws are available, the recourse available therein is only curative, but not preventive. This has affected the overall potential growth of the sector due to absence of professionalism and standardization.
5. What are the objectives of the Act ?
The Real Estate is intended to achieve the following objectives:
6. Who is the 'appropriate Government' as per the Act?
Section 2(g) of the Act defines 'appropriate Government accordingly in the State of Rajasthan, the State Govt. is the appropriate Govt..
7. What are the important responsibilities of the State Government?
The State Government is required to-
8. Does the definition of 'promoter' includes public bodies such as Development; Authorities and Housing Boards?
The Act covers all bodies (private and public) which develop real estate projects for sale to the general public. Section 2(zk) defines the term 'promoter' which includes both private and public real estate promoters. Thus all Development Authorities, UITs, Municipal bodies, Housing Board, when involved in sale, are covered as Promoter under the Act.
9. Does the definition of 'promoter includes all promoters in case of joint development?
As per the Explanation to section 2(zK)"where the person who constructs or converts a building into apartments or develops a plot for sale and the persons who sells apartments or plots are different persons, both of them shall be deemed to be the promoters and shall be jointly liable as such for the functions and responsibilities specified, under this Act or the rules and regulations made there under".
10. What is the rate of interest payable in case of default by the 'promoter' or the 'allottee'? Is the rate of interest payable by either party (promoter or allottee) the same?
As per the Explanation to section 2(za) the rate of interest payable by either the promoter or the allottee shall be the same. The rate of interest has been specified in Rule 17 of the Rajasthan Real Estate (Regulation and Development) Rules, 2017. Accordingly the rate of interest is State Bank of India highest marginal cost of lending rate plus two percent. Provided that in case the State Bank of India marginal cost of funds based lending rates is not in use it would be replaced by such benchmark lending rates which the State Bank of India may fix, from time to time, for lending to the general public.
11. Does advertisement includes solicitation by emails and sms? Is issuance of prospectus considered to be a case of 'advertisement'?
As per section 2(b), which defines ' advertisement' any medium adopted in solicitation for sale would be covered under the said definition, including SMS and e-mails.
12. Does the term ' allottee' include secondary sales?
As per section 2(d) an allottee includes a person who acquires the said ' apartment/plot' through transfer or sale, but does not include a person to whom such plot, apartment is given on rent.
13. Is 'open parking areas' a part of common areas?
Section 2(n) defines 'common areas' to include open parking areas; thus open parking areas cannot be sold to the allotters.
14. Is 'community and commercial facilities' which are provided in a real estate project are part of 'common areas'?
Section 2(n) defines 'common areas' to include 'community and commercial facilities; thus they are an integral part of the project, to be handed over to the Association/society of Allottees.
15. Whether obtaining both the 'occupancy certificate' and the 'completion certificate are necessary for the promoter?
Section 2(zf) and section 2(q) respectively, define 'occupancy certificate' and 'completion certificate'. The two definitions are very broad and uses the term by whatever name called. Thus, if only one certificate is issued which provides for both the aspects covered under the two definitions, it would suffice the requirements under the Act.
16. What is the difference between the term 'completion certificate' and 'occupancy certificate'?
Section2 (zf) and section 2(q) respectively, define 'occupancy certificate' and 'completion certificate'. Occupancy certificate relates to the occupation of the apartment/building, which has provision for civic infrastructure such as water, sanitation and electricity and is habitable. Completion certificate relates to the completion of the entire project certifying that the project has been developed according to the sanctioned plan, layout plan and sections, as approved by the competent authority.
17. The Act defines ' estimated cost of the real estate project', what is the significance of the definition?
section 2(v) defines 'estimated cost of the real estate project', which means "the total cost involved in developing the real estate project and includes the land cost, taxes, cess, development and other charges". The determination of the estimated cost of the real estate project is necessary due to chapter VIII of the Act, which provides that penalties would be imposed on the promoter, for violations prescribed under the Act, based on the estimated cost of the real estate project.
18. What is the definition of ' garage' and can it be sold by the promoter independent of an 'apartment'?
Section 2(y) defines the term ' garage', which can be sold to the allotted independent of the apartment;.
19. What is the definition of real estate project'? Does the term 'project' connote a 'real estate project?
The term 'real estate project has been defined under section2(zn) and the term 'project' has been defined under section 2(zj), which have been interchangeably used under the Act.
20. Are real estate agents covered under the Act? Does the term 'real estate agents' include web-projects engaged in selling of apartment or plots?
Section 2(zm) defines the term 'real estate agents', which is a very broad and inclusive definition and covers all from of agencies involved in sale and purchase of projects, registered under the Act. Consequently, web-portals etc. engaged in selling plots or apartments are also covered under the Act and are required to comply with the duties and responsibilities as provided therein including under the Rules and regulations made thereunder.
21. What happens in case a term is used under the Act but has not been defined?
Section 2(zr) is an omnibus definition which provides that terms which have not been defined under the Act or the Rules and Regulations made there under, would have the same meaning as respectively assigned to them under the relevant municipal law or under any law for the time being in force.
22. Which areas of the State are included in the Planning Area as defined in the Act?
As per definition 2(1)(f) in Rules, the planning area means a planning area or a development area as specified under the Master plan.
23. If a real estate project has land area more than 500 sq. meters but containing less than 8 apartments. Does it still need to be registered?
Yes, every real estate project which has land area more than 500 sq. meters or has more than 8 apartments needs to be registered
24. If a real estate project has land area less than 500 sq. meters but contains more than 8 apartments. Does it still need to be registered?
Yes, every real estate project which has land area more than 500 sq. meters or has more than 8 apartments needs to be registered
25. Can advertisement be issued for a new project after 1st May, 2017 without registering the said project?
No, the advertisement issued after1st May 2017 must carry the Registration Number of the project issued by the Authority.
26. Is it permissible to sell parking to allottees?
The position of parking is as follows;
27. Does Long- term leasehold is excluded from ambit of the Act?
No, the wording in Section 2(d) “has been sold (whether as free hold or lease hold) or otherwise transferred by the promoter” indicates that the long term lease falls within the ambit of the Act. However, the premises given on short term lease not exceeding five years are not covered under the Act.
28. What is the obligation of the promoter towards return of amount and compensation to the allottee?
Section 18 of the Act provides for provisions as regards various situations in which the allottee would be compensated by the promoter due to delay in completion of the project etc.
29. Is there some fee, in addition to the fees prescribed in the Rules, to be charged from promoters, real estate agents and complainants for the website of the Regulatory Authority (rera-rajasthan.in) uploading and online services?
No, there is no additional charges for online services..
30. Does the Act cover both residential and commercial real estate?
Yes. The Act covers both residential and commercial real estate. Section 2(e) defines 'apartment' and section 2(i) defines 'building' which include both residential and commercial real estate.
31. Does the Act cover ongoing/incomplete project?
Yes. As regards the ambit of the Act, there is no distinction between an ongoing project and a future project. In other words, both ongoing/incomplete projects and future projects are covered under the Act.
As per section 3(1) first proviso, the promoters of all ongoing projects will need to register their projects with the Regulatory Authority, within 3 months of its commencement, i.e. 1st May 2017.
32. Does the Act cover all projects in urban areas and in rural areas?
Section 3(1) provides that all projects within a 'Planning areas' will require to be registered with the Authority and 'planning area' has been defined under section 2(zh).
However, section 3(1) second proviso gives powers to the Authority in the interest of 'allottees' to order/direct the promoter to register projects beyond the planning area, which has the requisite permission of the local authority.
33. Which projects are exempted from the ambit of the Act?
As per section 3(2) the following projects do not require to be registered under the Act:
Where the area of land proposed to be developed does not exceed five hundred square meters or the number of apartments proposed to be development does not exceed eight, inclusive of all phases. The State Govt. may reduce the threshold below 500 sqm. or 8 apartments.
Where the promoter has received completion certificate for a real estate project prior to commencement of the Act, i.e. 1st May, 2017.
For the purpose of renovation or repair or re-development which does not involve marketing, advertising selling or new allotment of any apartment, plot or building, as the case may be, under the real estate project.
34. At what stage can a promoter start to advertise his project for sale?
The promoter can advertise his project for sale after the project has been registered with the Regulatory Authority as provided in section 3(1).
35. What are the details to be furnished at the time of application for registration of real estate project with the Regulatory Authority?
Section 4 of the Act provides for details/information/documents and undertaking to be provided by the promoter to the Authority for registration of the project. Some additional informations/documents are also to be furnished as per Rule 3 of the Rajasthan Real Estate (Regulation and Development) Rules, 2017. The application for registration shall be filled in Form- A along with Declaration in Form-B. The application fee shall be paid as per rates given in rule 3(3) of the aforesaid Rules.
36. What are the formalities for the registration of a real estate project with the Regulatory Authority?
The promoter is required to make an application in Form-A and fees prescribed under Rule 3(3) of the Rajasthan Real Estate (Regulation and Development) Rules, 2017 along with the documents/ information and undertaking in Form-B to the Authority for registration of the project. In addition, the promoter is also required to append other/additional documents/information as specified in Rule 3(1) of the Rules.
In case of ongoing projects, some additional information are also required to be submitted.
37. Which service drawings are required for registration of the project?
For registration of a project under the Plotted Development category: The following drawings need to be uploaded mandatorily, duly sealed and signed by a qualified engineer, as part of the online application:
For registration of a project other than the Plotted Development category:
However, the promoter is required to submit the following drawings in detail before obtaining the completion certificate for the project:
38.How should the RERA account be opened at the time of filing an application for registration of the project?
Three separate accounts will be opened by the promoter, as per Regulation 11 under the head "maintenance of the separate project account" with the banks in the following manner:
39. In how many days the Regulatory Authority is required to register the real estate project?
The Regulatory Authority is required to register the project, if it is in compliance with the Act and the Rules and Regulations, within 30 days of the application having been received by the Authority.
40.Is the promoter applying for registration of the project on the basis of a Partnership Deed? Are such deeds required to be registered with the Registrar of Firms?
Yes, such deeds are required to be registered under the Indian Registration Act, 1908. Additionally, whenever any partner retires or there is a change in the constituent of the Partnership Deed (e.g., change of partners, profit/loss ratio, change in list of properties owned by the firm, etc.), such modified or Supplementary Deed must also be registered under the Indian Registration Act, 1908. Without such registration, the deed/document will not be entertained by the Authority for registration or for any changes during the course of the project.
41.What in case the application for registration of the real estate project is incomplete?
If the application for the registration of the project is not complete as required under the Act or the Rules and Regulations made there under, the Authority may grant an opportunity to the promoter to complete the application in all respects. However, in case of non-compliance the Authority has the power to reject the application, only after giving an opportunity to the promoter of being heard.
42. Is there a provision for deemed registration of a real estate project in case the Regulatory Authority does not respond to the application?
Section 5 of the Act provides that the Authority has to decide on the application within 30 days of its receipt. It further provides that in case Authority fails to take a decision within the said period of 30 days the project shall be deemed to be registered.
43. What is the period of validity of registration granted to a real estate project by the regulatory Authority?
As per section 4 the validity of the registration granted to a project shall be the period declared in Form-B by the promoter, in Form-B, under section 4(2)(I)(C), at the time of making the application for registration, within which he would complete the project.
44. Whether applicant-promoter may withdraw his application for registration?
Any applicant-promoter may withdraw his application. In case the promoter applies for withdrawal of application for registration of the project before the expiry of the period of thirty days provided under sub-section (1) of section 5, registration fee to the extent of five percent paid under Rule 3(3) of the Rules, or rupees twenty five thousand whichever is more, shall be retained as processing fee by the Authority and the remaining amount shall be refunded to the promoter within thirty days from the date of such withdrawal.
45. Is the promoter required to maintain an escrow account or a separate account? Is a separate account to be maintained for every project or it can be for one or more projects? What are the purposes for which the promoter can withdraw the money from the separate account?
Section 4(2)(I)(D) provides that the promoter shall maintain a separate account for every project undertaken by him wherein seventy percent of the money received from the allottees shall be deposited for the purposes of construction and land cost. The account has to be self maintained and is not an escrow account requiring the approval of the Authority for withdrawal.
Section 4(2)(I)(D) clearly provides that the funds can only be used for construction and land cost.
46. On what basis the promoter is required withdrawing the money from the separate account?
As per section 4(2)(I)(D) first and second proviso, the promoter is required to withdraw the amounts from the separate account, to cover the cost of the project, in proportion to the percentage of completion of the project. In addition, the promoter is permitted to withdraw from the separate account after it is certified by an engineer, an architect and a chartered accountant in practice that the withdrawal is in proportion to the percentage of completion of the project;
47. Is the promoter required to get his accounts audited?
Yes. As per section 4(2)(I)(D) third proviso, the promoter is required to get his accounts audited within six months after the end of every financial year by a chartered accountant in practice, and shall produce a statement of accounts duly certified and signed by such chartered accountant and it shall be certified during the audit that the amounts collected for a particular project have utilized for the project and the withdrawal has been in compliance with the proportion to the percentage of completion of the project.
48. Is the application for registration of a real estate project, proposed under the Act is manual or it can also be done online?
Section 4 envisages that for a period of one year the application process can be both manual and online based and after one year it is mandatory to make the entire process online.
In Rajasthan the web-portal of Regulatory Authority has been established. Henceforth submission of all the applications for registration of projects/agents, complaints, appeals including payments of fees shall be online based.
49. Can the period of registration granted to a real estate project by the Regulatory Authority be extended? What is the definition of force majeure?
Section 6 envisages two situations within which the registration granted to a project can be extended. Extension of registration can be granted in case of force majeure, in addition, it can also be granted under reasonable circumstance, without the fault of the promoter, which shall not be more than a maximum period of 1 year.
Explanation to section 6 has defined force majeure to mean a case of war, flood, drought, fire, cyclone, earthquake or any other calamity caused by nature affecting the regular development of the real estate project.
50. What are the terms and conditions for extension of registration?
The registration may be extended on an application made by the promoter in Form-E prior to the expiry of the registration already granted.
The application for extension of registration shall be accompanied with a proof of payment through online mode, for an amount equivalent to half of the registration fee as specified under sub-rule (3) of rule 3 along with an explanatory note setting out the reasons for delay in the completion of the project and the need for extension of registration for the project, along with documents supporting such reasons. Provided that where extension of registration is due to force majeure the Authority may at its discretion waive the fee for extension of registration.
51. Can the registration of a project be revoked?
As per section 7 the Authority has the powers to revoke registration of a project, for violations specified under the said section. However, revocation of registration of a project is envisaged as a last resort and can only done after providing a reasonable opportunity of being heard.
52. What are next steps that can be taken for project completion in case of revocation of a project?
In case a project is revoked, section 8 provides for various mechanisms in which the project can be completed. However, in such a scenario, the association of allottees shall have the first right of refusal for carrying out the remaining development works.
53. Is it mandatory for the promoter to obtain permissions for the real estate project before applying for registration to Authority?
Yes, the layout of the real estate project has to be approved.
54. How will a flat buyer know, if the real estate project is duly registered under Regulatory Authority ?
The Rajasthan RERA website (rera-rajasthan.in) would display all the registered projects.
It is mandatory that the advertisement for marketing of apartments in the real estate project must carry the registration number issued from the Authority.
The promoter shall prominently display Quick Response (“QR”) code on each and every Project promotion/advertisement/ relevant media with legible size.
55. How does the promoter make an application for registration?
Website of Regulatory Authority has been launched. All promoters shall make their applications online through this website (rera-rajasthan.in), filling the details in the requisite forms, uploading the required documents and paying the necessary fees through online mode of payment.
56. Is it compulsory for the promoter to register the project immediately after he gets sanctioned approvals?
Promoter has to register the project before he starts any form of advertising, marketing, booking, selling, offer for selling or inviting people to purchase plots, apartment or buildings.
57. Will ongoing Project have to stop sales or construction till receiving the Registration?
At the end of ninety days from the date of commencement of Section 3 of the Act, i.e. 31st July, 2017, the promoter of an ongoing project shall not advertise, market, book, sell or offer for sale or invite persons to purchase in any manner any plot, apartment or building, unless he registers the project.
58. Can promoter change the completion date for ongoing projects while registering?
Yes, while registering project, promoter needs to give revised date of completion which should be commensurate with the amount of development completed.
59. If an ongoing project is registered under Regulatory Authority, then will the Act be applicable for the entire project or will it be applicable only to units sold after registration?
Registration is of the Project/Phase and hence the provisions of the Act are applicable to all units of the Project/Phase.
60. There is a provision for deemed registration of a real estate project in case the Regulatory Authority does not respond to the application. How will the promoter receive ID & password?
As per section 5(2) of the Act, Regulatory Authority shall within a period of seven days of the deemed registration, provide registration number and a Login Id and password to the promoter for accessing in the website of the Regulatory Authority and to create his webpage and to fill therein the details of the proposed project.
61. How will the Act, Rules and Regulations affect advertisement of projects with many phases?
A promoter would be allowed to advertise, market, book, sell or offer to sell or invite persons to purchase plot, apartment or building in a phase of a real estate project, only if the said phase is registered. A promoter cannot advertise, commit or sell amenities or facilities that are in a subsequent phase which is still not registered.
62. What if an adjoining land is purchased by the promoter? Can he continue with same registration?
No, it has to be separately registered if the said adjoining land was not a part of the project which has been registered.
63. What kind of Display boards are required on project site:
The promoter shall erect a weather proof display board of the minimum size of 5’x4’ at the project site with the information regarding the name and registration number of the project or (Exemption number or Court order, if any) including website of Authority, date of registration, phases of the project, number of towers, number of stories (tower-wise) etc. in bold letter and legible language, so that the information may be visible throughout the season/ year, till completion of the project.
In case of plotted development, promoter shall erect display board as mentioned in sub-regulation (1) above regarding the approved site plan indicating the entire area of the projects i.e., roads, water supply, external services, sewerage, electricity line, parks etc. the revenue details of the land of the project i.e., plot number, khata number, khasra number and lay-out plan superimposed on the revenue map, in bold and legible letters so that the information remains displayed till completion of the project.
Name and contact details of the authorized representative of the promoter including the website of promoter, shall also be displayed on the board as mentioned in sub regulation (1) above.
64. What should the promoter do in case the particular brand of fixtures and fittings as mentioned in the specifications are not available in the market since the production of that type is stopped by the supplier? Will the promoter still be liable in such case? And what in case fixture/fittings do not give guarantee for more than five years.
In accordance with section 14 of the Act, the promoter should take previous consent of the concerned allottees. In accordance with the provisions of this section the promoter is also liable to rectify any structural defect etc. within a period of five years from the date possession.
65. Estimated Cost should be submitted only for area for which approvals/plans cleared as on date of registration of project or it should also include costs even for the proposed future expected area to be generated? (Bearing in mind the pros and cons for the figures depending solely on estimated costs)
Estimated cost of the whole project that has been put up for registration has to be indicated while applying for registration.
66. Are various certificates from Architect, Engineer, CA etc. are required at the time of registration of project?
No. However, authenticated copies of necessary approvals from competent authority are required as per section 4 and the Rules and Regulations made there under. Please refer also to the Forms-A, Form-B and Form-C appended to the Rules and website of the Authority.
JAIPUR RERA .COM
482, OBC Colony, Jagatpura, Jaipur