ANALYSIS OF THE RERA’S IMPACT ON RESIDENTIAL AND COMMERICAL REAL ESTATE SECTORS
AUTHOR – CHAUDHARI SOHAM HARESHBHAI, FINAL YEAR STUDENT AT UNITEDWORLD SCHOOL OF LAW, KARNAVATI UNIVERSITY
BEST CITATION – CHAUDHARI SOHAM HARESHBHAI, ANALYSIS OF THE RERA’S IMPACT ON RESIDENTIAL AND COMMERICAL REAL ESTATE SECTORS, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (5) OF 2025, PG. 47-52, APIS – 3920 – 0001 & ISSN – 2583-2344.
ABSTRACT
The Real Estate (Regulation and Development) Act (RERA), enacted in 2016, was a transformative step in India’s real estate sector, introducing transparency, accountability, and efficiency. Prior to its implementation, homebuyers often faced issues such as project delays, undisclosed alterations, and financial mismanagement by developers. RERA has established stringent regulations mandating the disclosure of essential project details, including layout plans, financial approvals, and completion timelines. The Act ensures that developers adhere to project schedules and imposes penalties for non-compliance, thereby mitigating delays and enhancing buyer confidence.
Additionally, amendments to the Benami Transactions Act have further strengthened the fight against fraudulent property transactions by imposing stricter enforcement measures. Key updates in 2024 have reinforced the requirement for obtaining buyer consent for major project modifications, clarifying shared amenities, and ensuring transparency in financial dealings. The implementation of RERA has led to structured grievance redressal mechanisms, providing homebuyers with an efficient dispute resolution system.
The impact of RERA on the Indian real estate sector has been profound. It has bolstered consumer protection, attracted both domestic and foreign investors, and fostered a regulatory framework that promotes sustainable real estate growth. The categorization of sales according to Jantri rates has further standardized pricing structures. While RERA has significantly improved real estate governance, challenges such as inconsistent implementation and lack of awareness persist. Addressing these concerns through improved enforcement, consumer education, and streamlined grievance procedures will further solidify RERA’s effectiveness in ensuring a fair and robust real estate sector.