The Union Cabinet has approved the Real Estate (Regulation & Development) Bill, 2015. The news has brought the real estate industry to cheer. The Bill is now to be taken up for consideration and passing by the Parliament. GK Shelters, a leading realtor of South India with presence in Bangalore, Chennai and Tirupati, expresses hope as the Bill passes and believes that it will boost investment in the sector.
The Bill is expected to provide for a uniform regulatory environment which will ensure speedy adjudication of disputes and orderly growth of the real estate sector. “It will boost domestic and foreign investment in the real estate sector and help achieve the objective of Government of India to provide ‘Housing for All’ by enhanced private participation.”
The government said that the Bill is aimed at restoring the confidence of consumers in the sector by institutionalising transparency and accountability in real estate and housing transactions which will further enable the sector to access capital and financial markets. The spokesperson of GK Shelters said, “The Bill will benefit the buyers in multiple ways, in both commercial and residential sector.”
Rohit Raj Modi, VP Credai, welcomed the passing of the Bill, but he said that it is disappointing that the Bill doesn’t cover the development authorities and municipal corporations that are primarily responsible for granting occupational certificates or completion certificate. The spokesperson of GK Shelters also said, “Though we are delighted about the passing of the Bill, we are a little disappointed at the exclusion of development authorities and municipal corporations which grant occupational as well as completion certificates.”
GK Shelters believes that the Bill will benefit the buyers in multiple ways. It will lead to the establishment of ‘Real Estate Regulatory Authority’ in States/UTs to regulate real estate transactions. It will also make mandatory the disclosure of all registered projects, including details of the promoter, project, layout plan, land status, approvals, agreements along with details of real estate agents, contractors, architect, structural engineer etc. Promoters are now barred from changing plans and design without consent of consumers. These will enhance the transparency of the system and will protect consumers against any kind of fraud.