Hry Rera cautions homebuyers against investing in unregistered projects

HRERA cautions homebuyers in Gurugram against investing in unregistered real estate projects, emphasizing legal protection under the Real Estate Act, 2016.

Gurugram: The Haryana Real Estate Regulatory Authority (HRERA), Gurugram on Friday, issued a public advisory cautioning homebuyers against purchasing or booking plots, flats, villas, apartments under an unregistered real estate project.

Hry Rera cautions homebuyers against investing in unregistered projects

Arun Kumar, chairman HRERA Gurugram, said that they have urged prospective homebuyers to exercise caution before making any investments and to verify the essential project details, such as RERA registration certificate, registration number, project’s website, approved site address and other relevant credentials available on the authority’s portal.

Kumar said that according to the advisory, the sale, marketing, booking or purchase of units in an unregistered real estate project is a direct violation of the provisions of the Real Estate (Regulation and Development) Act, 2016, hence the homebuyers are advised to invest only in projects duly registered with the authority to safeguard their interests and ensure legal protection under the Act.

The advisory stated that the authority has taken note of misleading advertisements of projects that have not yet received approval and has directed promoters to refrain from pre-launch advertisements.

The advisory further highlights that under Section 9 of the Real Estate (Regulation and Development) Act, 2016, every real estate agent facilitating the sale or purchase of units in a registered project must obtain registration with the authority, hence any facilitation of transactions without such registration attracts legal consequences under the Act.

Under Section 59(2) of the Act, 2016, advertising, marketing, booking, selling or offering for sale any unregistered real estate project constitutes a punishable offence.