Rule / Law: Builder must register the project with the State RERA authority before marketing or selling any unit.

Layman Meaning: If the project has no valid RERA number, do not book. It’s unsafe and illegal to sell.

Example: A new tower is launched, but sales staff say “RERA registration is in process” and still collect booking amounts.

News: Telangana builder fined ₹6 lakh for unregistered project; buyers to get refund.

Times of India

Rule / Law: Under RERA, the price of a flat must be based on carpet area only.

Layman Meaning: You pay for usable area inside the flat – not lobbies, common areas or wall thickness.

Example: A 2BHK is 650 sq ft carpet but builder charges as 900 sq ft “super built-up”.

News: RERA imposes fine on Vizag builder for offering smaller area.

Times of India

Rule / Law: Anything promised in brochures, websites, ads or model flats is legally binding under RERA.

Layman Meaning: If the brochure shows a pool or clubhouse, builder must provide it.

Example: Brochure shows large clubhouse and kids’ play area; final project has neither.

News: MahaRERA slaps penalty on 8 Mumbai builders for violation of rules.

Economic Times

Rule / Law: Section 13 of RERA – Builder cannot collect more than 10% of flat cost before executing a registered Agreement for Sale.

Layman Meaning: Do not pay big amounts (like 20–30%) before your agreement is registered.

Example: For a ₹1 crore flat, builder takes ₹25 lakh as “token” before agreement.

News: Mumbai couple wins ₹20.65 lakh against builder who forfeited booking amount.

Economic Times

Rule / Law: Terms of sale, price, area, possession date and penalties must be in a registered Agreement for Sale.

Layman Meaning: Verbal promises and simple booking forms are useless in law.

Example: Builder keeps taking instalments but delays registration of agreement.

Reference: Claiming refunds before RERA in absence of formal agreement.

SCC Online

Rule / Law: Possession must be given on or before the date mentioned in RERA and the agreement.

Layman Meaning: If promised date is December 2026, handing over in 2028 is a violation.

Example: Homebuyer keeps paying EMI + rent for 4 extra years.

News: Bengaluru homebuyer wins ₹29 lakh after nearly 4-year delay.

Economic Times

Rule / Law: For delayed possession, builder must pay interest at prescribed RERA rate.

Layman Meaning: You are compensated monthly for every delay.

Example: NCR project delayed by 5 years.

News: Delhi-NCR builder ordered to pay ₹85 lakh for delayed possession.

Economic Times

Rule / Law: Builder is liable for structural/quality defects for 5 years from handing over.

Layman Meaning: Leakages, cracks and major defects must be repaired by builder for free.

Example: Ceiling leakage appears after 2 years of possession.

Reference: Refund and rights under RERA – builder goes wrong.

SSRana

Rule / Law: 70% of amounts collected from allottees must be kept in a dedicated bank account for that project only.

Layman Meaning: Builder cannot use your project’s money for another project or land purchase.

Reference: RERA’s role in reducing fraud.

RERA Lawyers

Rule / Law: Builders must upload approvals, plans, timelines, and progress updates to RERA portal.

Layman Meaning: You can verify project details online, not just trust sales talk.

News: MahaRERA penalises builders for violating disclosure rules.

Economic Times

Rule / Law: Major changes in layout or amenities need written consent of at least two-thirds allottees.

Layman Meaning: Builder cannot suddenly remove garden, pool, or change flat layout without majority buyer approval.

Reference: Known RERA violations and their penalties.

Valecs

Rule / Law: If builder fails to complete the project or give possession on time, buyer can ask for refund with interest or stay and get interest compensation.

Layman Meaning: You are not stuck; you can legally exit and get money back with interest.

News: Homebuyers to get refund with 11% interest – Telangana RERA order.

Economic Times

Rule / Law: Builder must deliver flat as per sanctioned plan and specifications promised.

Layman Meaning: They cannot reduce room sizes, remove a bathroom or heavily downgrade flooring.

Reference: Section 18 of RERA – Buyer rights.

Bajaj Finserv

Rule / Law: Price escalations must be as per contract, not arbitrary.

Layman Meaning: Builder cannot suddenly add lakhs as “extra charges”, “view charges” etc. without legal basis in agreement.

Reference: Refund and compensation under RERA.

ShareSamadhan

Rule / Law: Open parking is part of common area; covered/stilt parking must be clearly defined and allotted.

Layman Meaning: Builder cannot sell open ground parking as if it is a separate “flat type” asset.

Reference: RERA’s role in reducing fraud.

RERA Lawyers

Rule / Law: Builder must facilitate formation of co-operative society or association of allottees within a specified time after majority possession.

Layman Meaning: Residents should get ownership and control of building maintenance and decisions.

Reference: Section 18 of RERA – rights of allottees.

Bajaj Finserv

Rule / Law: Proper possession ideally requires Completion Certificate (CC) and Occupancy Certificate (OC) from competent authority.

Layman Meaning: Taking possession without OC can cause issues with utilities, legality and resale.

Reference: Refund – an absolute right under RERA when builder goes wrong.

SSRana

Rule / Law: RERA provides for insurance of land title and building structure for added security.

Layman Meaning: Some projects may offer insurance that protects buyers if title or structure has serious issues.

Reference: Refund and Compensation under RERA.

ShareSamadhan