Real Estate Bill: Things to know; what is in store for sector, home buyers and developers

Cheering homebuyers, the Rajya Sabha passed the Real Estate Regulatory Bill on Thursday giving a fillip to the realty sector, which has been facing slowdown during recent years.

“It is a historic day for housing sector as PM’s guidance and support of Parliamentarians fulfilled long pending dream of home buyers,” tweeted Union Minister for Urban Development Venkaiah Naidu after the happy move.

Let us take a look at how the Bill will benefit the sector, homebuyers and developers:

Real estate sector

• Housing for all by promote timely execution of projects
• Speedy adjudication of disputes and orderly growth through efficient project execution, professionalism/standardisation
• Restoring confidence of consumer in the real estate sector by bringing in more transparency and accountability
• Provides for specialised regulations and enforcement
• The Bill will also promote private investment by boosting domestic and foreign investment in the sector
• Illegal and unplanned development will end

Home Buyers

• Transparency will help inform buyers.
• The Bill will curb unfair trade practices.
• One-sided agreements would end.
• Funds diversion will be controlled easily
• Black money will be curbed
• Indefinite delay in dispute resolutions in civil courts will end

Developers

• Will be punished if found guilty of misleading advertisements
• First-time offenders will be fined 10% of project cost and repeat offenders could face jail term.