According to the Government Of West Bengal, the new rule of real estate is notified under the SECTION OF 84 Real estate Act Of 2016. It is the first-ever step for the application of the RERA ACT in West Bengal. The Government is already happy with the rules. These rules are also known as the West Bengal Real Estate Rules of 2021. Moreover, the state government has announced from 27th July; these rules will start in West Bengal.
Forum Of West Bengal Real Estate
Homebuyers have joined together and created a forum for people’s collective efforts. They have written many times to the Union Minister and Urban matters for RERA ACT implementation in West Bengal. The forum also states that the Central Government has taken two months or more to apply RERA in Bengal. On the other hand, Supreme Court has stated the West Bengal House Industry Regulation (WBHIRA) act unconstitutional.
What Is RERA Act?
Indian Government has introduced RERA Act for the betterment of homebuyers and to enhance investments in the real estate area. According to the RERA Guidelines, getting possession of the flats from builders or developers will not be an issue. Builders have to pay a rate of interest by 2% as a lending rate incorporated by the State Bank of India to the buyers in case of delay in possession.
Purpose Of RERA
The RERA guideline also aims to give relief to the person who buys homes from builders. Again, the real estate regulatory authority has certain rules and regulations to stop all kinds of malpractices by the builders and developers during apartment selling.
Impact OF RERA Act
In the starting, many works have to be done. The main aim of the real estate regulatory authority is to work faster on the existing projects and get newer ones. There is the detail-maintaining process that is also mentioned in the guidelines of RERA. The forum members will check thoroughly every detail of the promoters and builders, plan execution with details, etc. The committees do not want any kind of fraud or mishaps while a homebuyer is investing in a flat.
Indian Government has already applied the Real Estate rules and regulations with the development (RERA) Act on 1st of May 2016. Real estate has always been the second-highest employment area, but there were no regulations nationwide before this act. The main purpose of the RERA act is to secure the interest of both home buyers and sellers.
However, the act allows every state its regulatory framework as well. The common rule followed nationwide as per RERA guideline is to the registration of real estate by every promoter before starting any kind of marketing, sale, or booking process. Hence, it can maintain transparency between sellers and buyers.
RERA ACT & HIRA ACT In West Bengal
In West Bengal, before RERA was implemented, there was the HIRA act. According to the regulations of the HIRA act, the promotion of housing areas and confirming the sale of the land and properties should be done transparently. Moreover, in Bengal, the HIRA Bill has influenced the State government to have better real-time regulation in governing the real estate sector within their limits.
Differences Between The RERA & HIRA Act
Few major distinctions between the acts are discussed below;
-Forcing Events
As per the RERA Act, events or climatic effects like floods, cyclones, wars, etc., can delay the project developments. However, according to the HIRA act, the above-mentioned climatic conditions are just an extra circumstance.
-Planning Area
The RERA act specifies that the planning area of any project will fall under their jurisdiction. As per RERA ACT section 2 (z), a planning area is a specific region decided by the government or any higher authority of the project. These planning areas can extend beyond the limits of the municipality. On the other hand, the HIRA act does not specify anything clearly in the planning area.
-Garage Area
Another essential point mentioned in the RERA act is about the garage area. The garage should be a covered area with walls and a roof on the ceiling. Any area, which is uncovered and used for parking is not a garage. The HIRA act does not mention any restrictions for parking spaces.
-Offense
If anyone is found not following the RERA act or violating the rules of the said Act, they will be punished under the Criminal Procedure Code 1973. There is no provision mentioned in the HIRA act for the same.
Advantages Of RERA Act For Home Buyers
The RERA act promotes the efficiency and transparency of real estate companies. However, there are benefits that a home buyer will get because of this act. They are as follows;
Right Property Information
It is the prime benefit of the RERA act, which a homebuyer will achieve. With the implementation of this act, the developer has to share all kinds of information related to the land and flats. Therefore a home buyer will know the execution of the plan, the layout of the format, project progress, and even the completion of the plan with the different stages.
Standard Carpet Area
Previously every builder used to decide the carpet area of the specific property. However, RERA has now regularized and made a standard carpet area for everyone. To calculate the carpet area, the total functional floor of a flat excluding the region covered by walls (exterior), veranda, terrace, but the internal part is covered as carpet area as per RERA guidelines.
Therefore, the builders have to explain the total carpet area that they are offering to the customers before selling the flats all over India.
Builders Are In Charge Of Faulty Construction
According to the RERA act, if any defect is found in the construction, the builders have to repair it within 30 days. Moreover, from the date of possession till 5 years, there should not be any fault in the construction.
Complaints
If any homebuyer is not happy with the construction, then they have absolute right to talk to the Appellate Tribunal regarding the same. The tribunal will listen to you, and within 60 days, they will call for a case.
No Delay In Projects
Another benefit for homebuyers is that builders cannot take extra time to finish the project. That means you will get your flat on the said delivery date of possession. In case any builder fails to produce the flat within the given time, then they have to pay an extra fine.
Conclusion
With the arrival of the RERA Act, there are new forums that have been developed in the State for maintaining the norms and regulations of the real estate sector. According to the legal professionals, this act, along with the HIRA act, works in West Bengal to better real estate.
