The Real Estate Regulatory Authority Act (2016) has completed one year on 1st May, 2018 with promoters and real estate experts pondering over its credibility and long term success. Though some feel RERA has not achieved as much as it promised, one cannot ignore clear indications of its success in easing out real estate businesses in the states that have implemented it.
According to the website Moneycontrol, as many as 27 states and union territories have notified rules under RERA. 16 states have set up active web portals for online registrations for real estate projects and agents. A total of 27000 odd real estate projects have registered with RERA and over 17000 applicants have submitted documents.
Post-RERA real estate sector is witnessing a prominent boost in housing demand and sales through lower interest rates and stable property prices. According to The Economic Times, there has been an 8% hike in housing demands between the last quarter of 2017 and the first one of 2018. Also, there has been a 33% rise in home sales registered in top nine cities.
A major hurdle for real estate developers is getting funds upfront at the start of a project. However, financial reforms like the introduction of GST and FDI liberalization have aided RERA; and increased the ease of doing business. Demonetization has increased transparency in financial transactions. Thus transparency, accountability and financial discipline is attracting and encouraging more global investors to invest in real estate projects in India.
The RERA Act has significantly helped in the execution and delivery of real estate projects across the country. RERA has strict penal provisions for builders exceeding project delivery deadlines. Thus builders are now focused on timely deliveries which have resulted in a long line of homes ready of sale.
However, (Real Estate Regulatory Authority Act) RERA has deemed all referrals for real estate properties illegal. This creates a problem since the referral is a key aspect in the growth of real estate business.
There is a solution to this. Loyalie is India’s first real estate referral platform which is RERA-compliant. In one year, Loyalie has already engaged with developers in Bangalore, Pune and Mumbai to provide them with a RERA-Compliant Referral platform. Through Loyalie, you can engage with your customers and track and run RERA-Compliant referrals for your business.
If you have any confusion or would like to know more about such processes, contact us for a free consultation by clicking here. We are here to help you reach your real estate goals.