MahaRERA Empowers Homebuyers: Transparency in Sale Agreements Now Mandatory

The Maharashtra Real Estate Regulatory Authority (MahaRERA) has made it compulsory for property developers to provide detailed information about the flat being sold, including amenities and facilities.

MahareraHomebuyersTransparencySale AgreementsReal Estate Regulatory AuthorityReal Estate MaharashtraAug 01, 2024

MahaRERA Empowers Homebuyers: Transparency in Sale Agreements Now Mandatory

Real Estate Maharashtra:In a significant move, the Maharashtra Real Estate Regulatory Authority (MahaRERA) has mandated that property developers must provide a transparent flow of information regarding the flat being sold. Effective from July 30, 2024, developers are now required to disclose the amenities and facilities proposed to be provided in the property, along with a proposed date of handover for such amenities and facilities, when the buyer and seller sign an Agreement for Sale.

This order comes against the backdrop of certain property developers not mentioning the facilities and amenities provided by them. According to MahaRERA, some promoters were not providing this information in the agreement for sale, leaving homebuyers with limited recourse against developers in the absence of these amenities.\n\nThe MahaRERA order requires developers to include the following details in the agreement for sale

Facilities/Amenities details and compliance with local planning rules\n Mention of Facilities/Amenities Size and Location\n Details of lift, including type, capacity, and speed This order is expected to address homebuyers' concerns regarding the timelines for completion and handover of amenities/facilities and common areas by the promoter in a real estate project. It also adds a layer of accountability and transparency, safeguarding the interests of homebuyers and ensuring they receive what was promised within the stipulated timeframe.

Developers are now required to specify the exact dates for the delivery of amenities and the expected date of obtaining the occupation certificate (OC). Any major revisions, changes, shifting or corrections in the amenities, facilities, or common areas will require the prior written consent of at least two-thirds of the homebuyers in the project.The MahaRERA order is considered beneficial for homebuyers, as it ensures that developers are clear and transparent about the amenities they promise, including when they will be completed. However, it remains to be seen whether the municipal commissioner will view this aspect strictly while granting OC or part OC to the project of the developer.

Frequently Asked Questions

What is the main purpose of the MahaRERA order?

The main purpose of the MahaRERA order is to ensure transparency in sale agreements and protect the interests of homebuyers by requiring developers to provide detailed information about the flat being sold, including amenities and facilities.

What details are required to be included in the agreement for sale?

The agreement for sale must include details of facilities/amenities, compliance with local planning rules, size and location of facilities/amenities, and details of lift, including type, capacity, and speed.

What is the significance of the MahaRERA order for homebuyers?

The MahaRERA order is significant for homebuyers as it ensures that developers are clear and transparent about the amenities they promise, including when they will be completed, and adds a layer of accountability and transparency, safeguarding the interests of homebuyers.

Can developers still apply for occupancy certificate (OC) or part occupancy certificate (part OC) with incomplete amenities?

Yes, developers can still apply for OC or part OC with incomplete amenities. However, it remains to be seen whether the municipal commissioner will view this aspect strictly while granting OC or part OC to the project of the developer.