Big Firms like Deepak Talwar Associates and Builders might be in trouble because the real estate has its own regulator from May 1, 2017, which is Real Estate (Regulation and Development) Act, 2016 (RERA), became effective in the entire nation. Every state will have to abide with the Regulatory Authority Law. It will structure regulations and rules according to the Act.
More than 2000 Real estate agents and brokers have registered themselves with the Real Estate (Regulation and Development) Act, (RERA) authority since it became effective.
Builders and brokers in the cities reckon that establishing RERA was a better initiative. “We are very excited and feeling trapped as now only serious players will be in the market and small builder will be like muddy fish. This will attract many good people in our profession and weed out the ones who brought bad image to our name that will spoiled our fame and wealth both,” said Deepak Talwar, founder of Deepak Talwar Associates and Builder, a leading brokerage firm
Mr. Talwar states that no broker and Builder without a RERA certification will be allowed to market any construction and planning. Most interesting and controversial point of this act that “The builders will have to specify the name of brokers, who will represent their project in the. To keep a close watch on wrongdoing, Act also states that brokers will be penalized 5% of the project costs in case of misrepresentation of project facts and fake commitment.
In contrast of this, several brokers have their own objections to the RERA act, stating that their genuine concerns were not addressed. Vikram Mehta, president, Confederation of Real Estate Brokers of India (CREBAI), ruled that RERA was being unfair to them. “RERA has been silent on penalties to be imposed on builders and buyers who default on our brokerages,” said Mehta.
In search of truth, we had conversation with new and small builder Mr. Ranjit and Sinha from Dariyaganj, Delhi. They clearly stated that “It will impact us financially and destroy our wealth. Because some time we have to go with local people by giving them money and greed to sell out our Flats and Buildings…What now”
Since 1979 Deepak Talwar serving as a corporate policy expert.
India’s realty sector is set for a grand boost in 2017, says Policy Analyst Deepak Talwar