Home buyers should avoid investing in projects without MahaRERA registration number.
It has come to MahaRERA ‘s notice that some advertisements of projects are being published in newspapers without registration number of MahaRERA. MahaRERA has taken serious notice of these irregularities and action is being taken against them by sending notices to these projects.
MahaRERA has appealed, basically it is illegal to publish advertisements without MahaRERA registration number and since it is dangerous for home buyers to invest in projects without MahaRERA registration number, homebuyers should refrain from investing in such projects.
No developer can advertise a project, or sell houses in a project without registering and obtaining the registration number from the authority. However, some developers are flouting this rule and advertising without MahaRERA registration number or simply mention ‘Maharera Registered’.
According to the RERA Act, any project (including flats) of more than 500 square meters or 8 flats is required to be registered with MahaRERA. Home buyers should take note of this to secure their investment.
In order to ensure that the home buyers and the investment in the real estate sector as a whole are safe, the government has implemented the Real Estate Act and established the MahaRERA for proper regulation of this sector. MahaRERA takes care of many fundamentals on behalf of home buyers and other investors in the sector.
Thus it should be noted by Homebuyers that by visiting the MahaRERA website they should first check, that whether the project is registered with MahaRERA. Whether the completion date mentioned by the builder is same to the date mentioned in the MahaRERA website. Also whether the agreement being executed by the developer with the homebuyer is in accordance to the one, prescribed by the model agreement by MahaRERA. Homebuyer should also be particular about the fact that once the developer has been paid 10 per cent of the home price, the registration and execution of the agreement of sale be carried out.
Even when dealing with a real estate agent, homebuyers should check on MahaRERA website, whether the builder has mentioned the name of the agent in the list that it provides to MahaRERA.
If the project is registered with MahaRERA, developers have to fulfill several conditions under the RERA Act for the benefit of the customer.
An account should be opened in the bank according to the RERA registration number so that the amount received from the developer for house purchase and house registration is spent on the same project without being spent elsewhere. 70 percent of the money received from the investors for that project has to be kept in this account for the work of this project. The developer can never withdraw this money. Developer can withdraw the amount only after getting the percentage and quality of work certificate from the project engineer, architect and chartered accountant. Moreover, the developer is required to update the project status on MahaRERA’s website every three months. Home buyers can see what work is going on in the project, how the work is going on, how far the work has come on the website of MahaRERA.
Apart from this, the important thing is that from January 1, made it mandatory to record the DIN Number (DIN) of all directors along with the developer along with other project details while registering the new project. Home buyers can invest safely by studying all this information, testing the capabilities of the developer.
In all these processes, the home purchase agreement with the developer is a very important document. In this regard, MahaRERA has also announced an ideal buyer contract. Among them, divine calamity, carpet area defect liability period and project transfer agreement are required as per MahaRERA Act and no change can be made by the developer. Apart from this, the developer can make any changes to the model purchase agreement with the consent of the buyer. But it is mandatory to underline the change so that the buyer can understand it clearly.
Also Read: 313 major projects on MahaRERA’s radar for anomalies
