Implication of the Real Estate (Regulation and Development) Act 2016” on Real Estate Industry

Abstract

The real-estate industry is directly link to socio-economic growth and development. Increasing the
availability and affordability of housing can improve the quality of life for citizens, and the overall development of
facilities improves productivity of the economy. Property prices also indirectly impact macroeconomic health through
the wealth effect: as house prices rise, homeowners feel wealthier and are likely to increase consumption and boost
aggregate demand.
In the current period, the real estate and construction divisions play a vital role in the process of development especially
infrastructure. In Our nation, after horticulture it is the second biggest employment segment. The Real Estate
(Regulation and Development) Act, 2016 is an Act of the Parliament of India which looks to secure home-purchasers just
as help to support interests in the real estate industry. Rajya Sabha and the Lok Sabha passed the bill in March 2016.
The RERA Act came into force from 1 May 2016. The destinations of this demonstration are to Ensure Transparency and
Efficiency in Real Estate area with respect to sale of plot, apartment, building or real estate projects; to protect
consumers in real estate sector; to start judge the methods for snappy contention redressal and to set up Appellate
Tribunal to focus fir claims through a legitimate instrument by means of RERA.
Before implementation of RERA, the division was deficient in clearness on carpet area, with practice of monopoly power
of the part of builders concerning to loading, rates, sort of payments. With number of frauds, muddled image of project,
ownership, approval and so on. An endeavour has been made through this paper to contemplate RERA as a change in
Real Estate industry and to know its advantages, disadvantages with offering recommendations. The current issues from
the metro urban areas like Mumbai are likewise depicted in this paper.