RERA Registration and Compliance Support for Builders and Agents

What Is RERA and Why Does It Matter to Your Business?

The Real Estate (Regulation and Development) Act, 2016, commonly called RERA, regulates the real estate sector in India. It requires promoters to register their projects, brokers to register as real estate agents, and both to follow disclosure, timeline and financial discipline rules, with the aim of protecting homebuyers and bringing transparency. The Act is administered by a Real Estate Regulatory Authority in each state or union territory, and each state has its own rules, forms, fees and portal under the Act. For a builder, developer, agent or landowner, RERA compliance is a continuing business obligation, not a one-time registration.

RERA-related business support means helping real estate businesses to meet these obligations: registering projects and agents, making the required filings through the life of a project and keeping the project accounts and disclosures in order.

Who Is Covered by RERA?

• Promoters and developers: a promoter who develops land into a project, or constructs buildings for sale, must register the project with the state authority before advertising, marketing, booking or selling it, if it falls above the thresholds in the Act. As the Act provides, these are projects where the land exceeds a prescribed area or the number of apartments exceeds a prescribed number, with some exemptions, such as projects that have received a completion certificate before the Act came into force.
• Real estate agents: a person who acts as a broker or agent in the sale of plots, apartments or buildings in a registered project must register with the authority and quote the registration number in their dealings.
• Allottees and landowners: homebuyers and landowners, who may need support with agreements, joint development arrangements or complaints, are protected by the Act.

The rules differ from state to state and have been amended over time, so we check the position in the state where your project is located.

Key RERA Obligations for Promoters

• Registration of the project: an application to the state authority with details of the promoter, the project, land title, approvals, sanctioned plans, timelines and the proposed agreement for sale, along with the fee.
• Separate project bank account: a portion of the amounts collected from buyers, as the Act provides, must be deposited in a separate bank account and used only for the construction of that project, with withdrawals certified by a chartered accountant, engineer and architect.
• Quarterly updates: periodic updates on the progress of the project, bookings and finances on the authority's portal.
• Annual audit: audit of the project accounts by a chartered accountant, with the report placed on the portal.
• Disclosure in advertisements: the RERA registration number must be quoted in advertisements and marketing material.
• Timelines and extension: the project must be completed by the declared date, and an extension of registration is available only in the cases the Act provides.
• Agreement for sale: in the format prescribed by the state, with the contents the Act requires.
• Handling of complaints: responding to complaints filed by buyers before the authority or the adjudicating officer.

Registration of Real Estate Agents

A real estate agent must register with the authority, pay the fee, and renew the registration as the state rules require. The agent must maintain records, not facilitate the sale of unregistered projects, and quote the registration number in transactions. A business that deals in property on behalf of others, such as a brokerage firm, a channel partner or a property consultant, often needs this registration.

What Our RERA-related Business Support Includes

• An applicability check: whether your project or business needs registration under the Act in your state.
• A checklist of documents, approvals and certificates that the state portal requires, such as title documents, sanctioned plans and professional certificates.
• Preparation and filing of the project registration application on the state RERA portal.
• Preparation and filing of the real estate agent registration or renewal.
• Coordination with chartered accountants, engineers and architects for the certificates the filings require.
• Preparation of quarterly progress updates and of the annual accounts and audit documents for the portal.
• Guidance on the format of agreements, advertisements and website disclosures under the state rules.
• Support on extension of registration and changes in project details, where the Act and rules allow it.
• A compliance calendar for each project.

How the Process Works

We start with a discussion of your project or business: the location, size, approvals obtained, the stage of construction and the professionals involved. We then give you a checklist of what is required under your state's rules. After you share the documents, we prepare the application, review it with you and file it on the state portal. The authority may ask for clarifications or additional documents, and we help you respond. After registration, we support the periodic filings, such as quarterly updates, with a calendar of due dates. The time depends on the state authority, the completeness of the approvals and the speed at which professional certificates are available.

Important Considerations

• Registration is granted by the state authority. We cannot guarantee registration or a timeline.
• A project cannot be advertised, marketed or sold before it is registered, if the Act applies to it. Please speak to us before launching.
• Many RERA documents depend on third parties: land documents, sanctioned plans, and certificates from a CA, engineer and architect. Delays in these affect the filing.
• Rules, forms and fees differ by state and change from time to time. We confirm them for your project.
• Legal representation before the authority, the adjudicating officer or the Appellate Tribunal, and drafting of court pleadings, are separate services and are best handled by an advocate.