According to a source from RERA Karnataka, a total of 990 projects and 354 real estate brokers registered on the last day of registration.
“The state government should have extended the deadline for registration. Ultimately, the builder suffered as they got only a week to register post the RERA portal formation,“ said a senior official from a top builder in Bengaluru.
Acording to Redwoods, a property consultancy firm, Bengaluru alone has over 86,000 ongoing projects (primary supply) which were launched before 2015 and not delivered till date. According to industry estimates, Bengaluru also has over 10,000 brokers who deal in real estate.
The state government launched its much-awaited portal for property registration only on July 24. The delay has rendered builders helpless. “We are yet to register our projects as the time given for registration was very less. Many states have already given additional time for property builders and brokers to register,“ said a senior official of another top builder from Bengaluru.
The state government notified the Real Estate Regulatory (Regulation and Development) Act on July 10, making it mandatory for all builders to register with the regulator.
Rules state that builders should disclose the size of the apartment based on carpet area. For ongoing projects that are yet to receive a completion certificate, the promoter shall, within three months of the application for registration of the project with the authority, deposit in a separate bank account, 70% of the amount already realised from home buyers. According to a report by property consultancy firm Knight Frank, RERA, adverse impact of demonetisation and unsold stock have crippled the real estate sector in the city. Recognised as one of the most resilient residential markets, Bengaluru too is feeling the heat now.
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