All advertising for projects still under construction with cease until registrations with RERA have been completed. Centre pushed the urgent requirement for state governments to arrange the necessary authority
Since its implementation on May 1, 2017, there has been more and more urgency from the central government to implement the Real Estate Regulatory Act (RERA) on state governments. This move was brought on, to bring about order and transparency in the real estate sector.
All advertising for projects still under construction with cease until registrations with RERA have been completed. Centre pushed the urgent requirement for state governments to arrange the necessary authority.
As a direct result of this, projects from developers have ceased to do business until they receive the proper registrations. Simultaneously, due to the lack of facilitation and authority by the state government, businesses are unable to apply for registration.
In response to the confusion caused, a housing ministry official in one of the senior positions said that on March 26, 2016, notifications were sent out for the act to be implemented on May 1, 2017. However, the state governments showed no signs of urgency in its implementation.
A total of 16 states and Union Territories, which includes Haryana, Kerala, Karnataka, Goa, and Himachal Pradesh, have not made the rules known according to sources and data available. No states have made online registrations available, with the exception of Madhya Pradesh, Maharashtra, and Rajasthan.
Only one exception has been given an extended registration period and that is in the case of ongoing projects, which as per section 3(1) were allowed time till July 31, 2017, to complete all necessary registrations, claims the state governments.
This has since been clarified in June by the housing ministry who states that this exception has not been made and that all projects, including ongoing, cannot be advertised without proper registration with the RERA. The 3 month registration allowance time was given to ongoing projects which will cease to be legal from May 1 if they have not been registered.
RERA in Haryana has already implemented registrations before the rules have been notified.