Navigating the Real Estate Market: 5 Pitfalls Homebuyers Should Avoid

What is RERA and how does it protect homebuyers? A: RERA, or the Real Estate (Regulation and Development) Act, is a regulatory body that provides significant protection for property purchasers' rights. It addresses grievances in the real estate sector and often directs developers to compensate for delays or mismanagement. Q: What are some common developer malpractices that homebuyers should watch out for? A: Common developer malpractices include one-sided clauses in buyer agreements, cash transactions to sidestep stamp duty, payment default issues, modifying project timelines without legal advice, and delays in filing complaints. Q: How do cash transactions affect a homebuyer's legal position? A: Cash transactions can compromise a homebuyer's legal position if refunds become necessary. They undermine the buyer's standing under RERA, making it difficult to claim compensation or penalties. Q: What should homebuyers do to protect themselves from payment default issues? A: Homebuyers should carefully examine payment schedules to ensure financial obligations are met. This can help prevent builders from being exempt from liability for delays, which could result in penalties or forfeiting compensation rights. Q: Why is timely action important when filing a complaint with RERA? A: Timely action is crucial because delays in filing complaints could lead to case dismissal due to a lack of statutory limitation periods. Homebuyers should act promptly to ensure their grievances are addressed.

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