There is good news for home buyers. Seven years after being in the works, the Parliament on Tuesday cleared the Real Estate (Regulation and Development) bill to regulate the sector and protect home buyers from land sharks.
The bill will go to the President and become a law after getting his assent.
Like in Rajya Sabha which passed the bill last Thursday, in the Lok Sabha too all parties except AIADMK supported the law on Tuesday.
Once the law comes into force, it will become mandatory for developers and agents to register all commercial and residential real estate projects where the land is over 500 sq. mt. or eight apartments with the real estate regulator before launching or selling a project/apartment.
While the law will cover all future projects along with those are stuck, promoters of ongoing projects would need to register, provide and upload all project details on the website of the regulatory authority.
A window of three months from the date of the commencement of the said clauses have been given to the promoters of ongoing projects for registration.
M Venkaiah Naidu, housing and urban poverty alleviation minister, tried to assuage concerns that ongoing projects would come to a standstill after the law comes into force.
“The Bill does not provide that the existing projects should stop all operations until complied with the provisions of the Bill... All that developers need to do is to specify project details of such apartments so that prospective buyers will make an informed choice, project status is known to all and ensure that the projects are completed on time. That is the need of the hour,” he said.