CREDAI Nashik welcomes RERA but suggests certain changes

We welcome the effective implementation of RERA and stand in favour with the government’s decision. At the same time we expect certain changes in the provisions of the bill.  

The passing of Real Estate regulatory Bill in both the houses of the parliament has motivated us. We, the Confederation of Real Estate Developers' Association of India (CREDAI) Nashik are of the opinion that the real estate sector will now get the status of a booming industry in the market.

The terms and conditions of this bill would be applicable for the residential projects coming up on the area of 500 sq m onwards or at least 8 flats. As per the bill it is mandatory for the builders to register the projects by providing their details online including the name of the project, name of the builder, types of flats offered at the projects, specifications and names of the project engineers. This registration needs to be done with the regulatory authorities and state level appellate tribunals. 

The main motto of timely execution of residential projects by the builders can be achieved due to RERA. There are many builders in Nashik that are registered with us such as Parksyde, Karmaa Galaxy, Krishna Darshan, Suyojit, NIrman Group, Karda Builders and Developers and Empire Realty. They can reap the benefits of the provisions of RERA on a long term basis. While we enable the builders to feature their properties online, RERA also supports online registration of projects.

While the real estate sector in Nashik will become organized in a true sense due to the implementation of RERA, we feel that changes should be made in some of the provisions of the bill. The condition of depositing 70% of the collections from the buyers in a separate account called as escrow account seems to be rigid. The costs of lands in Nashik are higher and thus, builders will face problems if they are allowed to withdraw 30% of the total collection from the buyers. Instead, it would be better if the deposit limit is reduced to 50%. The real estate sector should also get benefits in the form of reduction in the number of permissions and NOCs.

Moreover, RERA will benefit Nashik’s realty market, but it is essential to draw the central government’s attention to some of the changes as mentioned above.