RERA: The New Name of Transparency and Trust in the Indian Real Estate Sector The Real Estate (Regulation and Development) Act, i.e. RERA (Real Estate Regulation and Development Act), which came into force in India in 2016, stands out as a reform that has radically changed the real estate sector in the country. This law aims to protect buyers, increase transparency in the sector and ensure accountability of developers. What is RERA and Why is It Important? RERA aims to reduce irregularities and buyer grievances in the sector by making it mandatory for real estate projects and real estate agencies to register in India. Thanks to this law, the details of projects, progress status and developer information are shared with the public so that buyers can make informed decisions. The Basic Provisions of the RERA 1. Mandatory Project Registration All new and ongoing projects must be registered with the RERA authority of the relevant state. This record contains the plans, approvals and timeline of the project. 2. Securing Funds Developers must keep at least 70% of the money they collect from buyers in a separate account to be used only for construction and land costs related to that project. Dec. 3. On-time Delivery and Compensation It is mandatory that the projects are completed within the specified time. In case of delay, the developer is obliged to pay interest to the buyers. 4. Structure Quality and Warranty Structural defects that occur within five years of delivery must be fixed by the developer free of charge. 5. Information Transparency Developers are obliged to share all information about the project on the official website of RERA. This allows buyers to study the project in detail. 6. Registration of Real Estate Agencies All real estate agencies are obliged to register with RERA and comply with the established rules. The Effects of RERA in Practice With the implementation of RERA, significant changes have been observed in the real estate sector in India: Increased Transparency: Sharing the details of the projects with the public has increased the confidence of the buyers. Less Victimization: Since buyers can track the progress of projects, the likelihood of encountering surprises has decreased. Regular Sector: Registration of developers and agents has reduced irregularities in the sector. Maharashtra: The Pioneer State in the Implementation of RERA Maharashtra is one of the most successful states in the implementation of RERA. As of 2025, 50,162 projects in the state are registered with RERA, which accounts for about 35% of projects across India.