Will RERA Compliance bring sales boost to stale Real Estate Economy?

Conciliation forum & Settlement of Disputes by MahaRERA

RERA is a platform where an aggrieved home buyer can file a complaint directly on MahaRERA site. Government wants to promote and popularize the amicable and effective settlement of disputes arising with reference to Real Estate. And to offer speedy settlement of commercial disputes MahaRERA has also provided another Alternate Dispute Resolution (ADR) mechanism of Conciliation forum.
The article will also touch upon most common complaints. Can builders proactively avoid complaints? Are their any measures have grievance less and foster happy home buyers? Will the spirit of RERA i.e. transparency, faith and confidence, in the governing bodies & private builders, ever be established? We shall touch upon these concerns.

Background

RERA started with complain mechanism. Solving such grievances involved trials and legal proceedings. The conclusion of several cases has ended in compensation and penalty. Home buyers have been satisfied with the verdict and justice offered. Time and effort to number of pending complaints was very high. So as a Alternate Dispute Resolution (ADR) mechanism Conciliation forum was established.

Highlights of Conciliation forum

1. Aim is to have Mutual and amicable conciliation of dispute
2. Dispute settlement forum has 15 consumer representatives (from Grahak Panchayat Mumbai & Pune)
3. 18 developer/promoter members from associations like CREDAI and NAREDCO.( Confederation of Real Estate
Developers Association of India and National Real Estate Development Council).
4. The conciliation forum is headed by the secretary of MahaRERA.
5. The purpose of conciliation forum is to solve disputes amicably. And not take up a legal battle. (Legal as we
all know will mean waste of time, money and delayed verdict)

Common Reasons and Settlement

1. Most common matters of dispute are: Matters of Quality of construction, promised amenities,
late delivery and disputes rising due to money matters etc.
2. Grievances due to OC not granted conveyance deed, Title deeds and agreements.
3. Home buyers compensation norms are prescribed in the RERA Act. (section 59- Non registration : 10% of the cost
of real estate project or 3 years imprisonment, section 64, section 66, section 68)
4. In most cases buyers seeking cancellation and ask for a refund.
5. If matters are not resolved at Conciliation forum, it can be approached to appellate body MahaRERA

https://www.moneylife.in/article/maharera-evaluates-complaints-from-home-buyers-and-rules-against-builders-in-four-cases/52421.html

Can litigation / conciliation be avoided?

Complaints & litigations mean brand devaluation, loss of business, home buyer will see your project suspiciously and the domino effect is carried further. Hence miscreant and malpractice has no room in RERA Era. Transparency, trust and good communication will not allow such grievances to furnish. How can builder /promoter earn happy customers? Some strategies that promoter/ developers can adopt are listed below.

1. Amenities that are promised should be published on the website or brochures.
2. Property tracking mechanism should be built and shared with home buyers
3. After sales relation should be established
4. Communication should be on personal basis
5. RERA compliance certificates can be shared with the home buyers
6. Quarterly updates of building and common amenities can be shared.
7. Customers and bank can be notified of completion stages.
8. Payment collection should follow the prescribed RERA standards
9. In case of delays in project allottees should be informed
10. In situation of change in development plan and layout consent of allottees can be obtained
11. Aware and informed home buyers.

Millennials are the new home buyers. They have the power of internet, social media & forums. Without going through reviews they do not buy. In a sluggish industry and thinning profit margins there is no room for conciliations. Needless to say conciliation comes with compensation & penalties.
Find out how can you avoid this? Can you have happy home buyers?
Visit our site to find awakening tips and solution…

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