After 4 months of implementation of RERA, Builders and Developers are in dilemma of legal compliances relating to RERA. THE REAL ESTATE (REGULATION AND DEVELOPMENT) ACT, 2016 has altered the Real Estate Business altogether and it is a big challenge for professional to help their client with the same. In this Article we are going to deal with the basic question of how the working style and business practices going to get affected under RERA regime.
Gujarat Real Estate Regulatory Authority (Gujarat RERA) has extended the deadline for promoters to file quarterly return as mandated by the RERA norms. As per RERA rules, all promoters are mandated to update the details of their registered projects with the Authority within seven days from the expiry of each quarter.
Builders and promoters are tasked with various responsibilities under the RERA Act. All builders and promoters who undertake a real estate project with over 8 units or 500 square meters of development are required to obtain RERA registration and fall under the ambit of RERA regulations. Under RERA, a promoter is defined as a person who is entrusted with the task of promoting the project, which was developed or constructed by the developer. In this article, we examine the responsibilities of real estate builders and promoters–.
The RERA Act aims to Regulate and Promote the Real
Estate Sector. The main aim of the Act is to protect the interest or buyers and promote timely delivery of properties or projects.
RERA requires every promoter of registered Real Estate Project to carry out quarterly updates of the project on the MAHARERA website. The promoter should ensure that project details are updated on regular basis. The upper limit of filing
RERA Returns is upto a maximum 90 days. The builders public facing website should also contain a field on “Project Last Updated on” for public view. Rera filing is a time-bound activity, that attracts fine if not filed within the statutory time frame.
Without a digital document, consultants are forced to rely on manual document management and tracking methods, which is prone to errors, delay in filing, back and forth of data, duplication of efforts and several follow up actions to chase the consultants. There is interdependency of information which results in the delay in gathering required information for RERA filing.
Platform for quarterly RERA filing (Form 1, Form 2, Form 3, Form 4)
Architects, RCC Engineers and CA submit & validate their data on the same platform
All previous RERA returns saved till project completion
Building wise & project wise distinct breakup of information
Filing process simplified and prone to fewer errors
All stakeholders can see latest Project developments online
See multiple projects on single login
All Rera registered projects have to quarterly update their progress on Rera website. This is to benefit all the flat or property purchaser of transparent dealings.
As builders have many projects running simultaneously, they face difficulty in coordinating between their internal team and the external signatory professionals, like the architect for form1 and form 4, engineer for form 2 and a CA for form 3 and 5.
A lot of time and effort is spent to streamline this new task. Several of mistakes happen due to lack of clarity or misinterpretation of the procedures. Coordination with all the people is a difficult deal. Rera site does not save old records therefore filing and managing files becomes important. For every decision, one has to see the file.
Umber-Ghar software has brought a solution to these challenges. On the platform, the developer team has to upload a photo, video and CCTV feeds. There are accessed by the developer /contractor team and the certifying members like the Architect and engineers (form 1 and form 2). Daily progress updates are recommended to bring a detailed timeline story to the project. Every building and their respective stages are tracked.
Seeing is believes. Accounting Books have a definite interpretation but if you see it with your eyes, you are left with no doubts. The responsibility of any external professionals like the CA’s is reduced while seeking bank sanctions for money withdrawals. CA can verify the percentage of work data, entered by the Architect. Details of Cost of work done can be seen on the application and CA can take this for reference to compute incurred expenses.
Umber Ghar platform brings all these people together and saves time, brings more truth and transparency to the table. Flat purchasers are assured of appropriate use of their funds. And this will develop faith in the builder. The efficiency of staff will improve by the use of this application. And error will drastically be reduced.