HomeFirst's video: Under-Construction Property v s Ready-Possession HomeFirst Gyan Series E10

Under-Construction Property or Ready-Possession? Confused about what to choose? See what Gyani Baba has to say! Catch us here on Facebook: https://www.facebook.com/homefirstindia/ Instagram: https://www.instagram.com/homefirstin... Linkedin: https://www.linkedin.com/company/home... To share this video: https://youtu.be/5f0x2lqPhC8 For more details visit our website: https://homefirstindia.com/ If you’re tired of bickering along with your landlord over inflated electricity bills and his refusal to share his PAN Card number that you simply can show on your rent receipts, buying a house could also be the sole way you'll show him the door (pun intended). But this solution is dear and is probably going to tug at your purse strings for an honest 20 years. Of course, removing a home loan can relieve you from the burden of paying such an enormous amount upfront, but even then you ought to make certain of the foremost crucial detail: is your house a ready-to-move-in or under-construction property? But First, Know The RERA Act: Launched on the first of May, 2017, the real estate regulatory authority (RERA) Act creates a regulatory body that addresses issues concerning project delivery delays, property pricing, quality construction, title, etc. in a transparent manner. it had been created with the aim of safeguarding the interests of homebuyers and establish an arbitrating mechanism for the speedy redressal of disputes. Here are a number of the provisions of the RERA Act: 1. All residential and commercial land projects (new or ongoing) with a land coverage of over 500 sq. m. or eight apartments will be got to register with the RERA authority 2. Ongoing projects that are yet to receive a completion certificate from the local municipal body on the date of commencement of the Act will need to apply for RERA registration within 3 months. These applications must be either approved or rejected by the RERA authority within 30 days from the date of registration 3. land agents who mediate land deals also will need to register themselves with RERA. they're going to be issued one license number for every State or Union Territory and can need to produce this number during every sale 4. After the registration of a property is successful, the promoter of the project are going to be given a license number, login ID, and password. Applicants will need to log in and fill in the requested details on the web site How Will RERA Protect Homebuyers? The RERA Act may be a law brought in place by the central government. But since land may be a state subject, the implementation of the Act is going to be administered by the state and union territory governments through their own Regulatory Authorities (RA). These local bodies will frame regulations in accordance with the RERA Act and can oversee its day-to-day implementation. Following are a number of the provisions of the RERA Act that are intended to safeguard the interests of homebuyers: 1. Affidavit: additionally to the specified documents as per the Act, the promoter of the property also will get to produce a written declaration supported by a legal affidavit which will state all the knowledge including the timeline of the completion of the project or the precise phase 2. the ultimate date of possession: The committed date of delivery of the project is that the choice of the developer, and has got to be adhered to by both parties. Since the period of time for the delivery are often different amongst builders, the sale agreement will specifically carry the date of possession and therefore the rate of interest which will be charged just in case of any default. 3. Maintaining a separate escrow account: The Act mandates that builders will now be required to make a separate escrow account during which 70% of the quantity received from buyers will need to be deposited maintained by a scheduled bank. The withdrawals from the account will depend upon the extent of completion of the project, and can only be allowed to hide the value of construction and therefore the cost of land. Also, the project will be got to be certified by an engineer, an architect, an accountant, and can undergo a six-monthly audit. this is often to see the diversion of funds received from the buyers to other projects. What’s The Way Out? Besides your affordability and the way long you’re willing to attend to maneuver into your dream house, your decision should be supported by one simple rule of thumb: choose properties registered under RERA. That way you'll have legal recourse if something goes awry. to see if the property in question is duly registered under RERA, just visit the official portal of the state RERA directly.