Foreign Property News | Posted by Zarni Kyaw
The Bandra–Worli Sea Link, also known as the Rajiv Gandhi Sea Link. Sevenpixels/Shutterstock
Emboldened by new laws, around 72 percent of home buyers in India would like to file a complaint against a developer in case of a delay in possession, according to a survey by property portal Magicbricks, per PTI.
About 19 percent of respondents would like to ask for a refund, with only 10 percent willing to wait for possession if the project gets delayed.
The Real Estate Development and Regulation Act (RERA), introduced in 2017, has instilled confidence in buyers to invest in under-construction real estate projects due to protections afforded them, researchers with Magicbricks said.
Under RERA rules, builders who delay possession of a home within a specified period of time are obliged to recompense buyers for the entire sum of the property on top of interest.
Buyers who have not been given possession of their homes after five years are also entitled to yearly tax deductions.
However, there are still many gaps in the implementation of RERA as buyers still face many issues related to filing complaints, getting possession on time, and penalties for delays, Magicbricks noted. “RERA regulators need to have a mechanism for timely redressal of issues so the lost confidence of consumers is restored in the sector.”
With the exception of West Bengal, all Indian states and union territories are subject to RERA rules. Twenty-two states and six union territories have already notified RERA rules to date.
Ref: Property Report
