Odisha to set up Real Estate Regulatory Authority

January 16, 2017 Government

Bhubaneswar: The Odisha government is all set to form Real Estate Regulatory Authority that would help the real estate buyers to air their grievances in a hassle-free manner.

Homebuyers and customers of commercial estates can register their appeals with the authority against any form of cheating or misrepresentation by real estate firms, said an official of Housing and Urban Development department.

He said all residential and commercial real estate properties set up over a minimum area of 500sqm or apartments with more than eight flats would have to be registered under the authority.

He said the ongoing projects that have not received completion certificate on the date of commencement of the act would have to register within three months.

Application for registration has either to approved or rejected by the authority within a period of 30 days from the date of application.

On successful registration, the promoter of the project will be provided a registration number, a login id, and password to fill up essential details on the website of the authority. Failure to register can result in a penalty of up to 10 percent of the project cost or three years imprisonment.

Real estate agents, who facilitate selling or purchase of properties, will have to take prior registration from the real estate watchdog. The state government will have to frame rules under the act for setting up an appellate authority before May 1.

The Union Ministry of Housing & Urban Poverty alleviation (MoHUPA) has also asked the State Government to set up a State Appellate Tribunal for this purpose.

The MoHUPA, after notifying the Real Estate Regulation and Development Act, 2016, has already approved the Rules for implementation of the Act.

Accordingly, the State Government will frame Rules under this Act, and as per timeframe stipulated, the State Rules under the statute will come into force on May 1, 2017.

Under the prevailing Rules, the RERA can seek from a real estate developer details such as the nature of rights and interest of the promoter on the land which is to be developed, the area and location of the land as well as the layout plan of the project.