Economic Survey 23-2024: Nearly 1.25 lakh complaints resolved by real estate regulatory authorities of various states
As of July 1, 2024, nearly 1.25 lakh cases were resolved and 1.3 lakh real estate projects registered under RERA, according to Economic Survey 2023-24
As per the 2023-24 Economic Survey tabled by Union Finance Minister Nirmala Sitharaman in the Parliament on July 22, a total of 1,24,947 cases were settled by Real Estate Regulatory Authorities of various states as of July 1, 2024.
The Economic Survey 2022-23 had stated this figure at over 1.06 lakh, indicating under 19,000 real estate project disputes were resolved during the financial year 2023-24.
The survey further highlighted that barring Nagaland, all states and union territories in India have notified rules under the Real Estate (Regulation and Development) Act, 2016. Nagaland is currently in the process of notifying the rules, it added.
“As of July 1, 2024, 32 States and UTs have set up the Real Estate Regulatory Authority, and 1,24,947 complaints have already been disposed of,” the document said.
The Real Estate (Regulation and Development) Act, 2016 was enacted to boost transparency, citizen-centricity, accountability and financial discipline within the real estate sector in India. It mandates establishment of a real estate regulatory authority in each State/UT by the appropriate government and registration of real estate projects and real estate agents with the regulatory body thereafter.
The survey also added that following the enactment of RERA, 2016, India was ranked 36th in the Global Real Estate Transparency Index in 2022.
Also Read: PM Modi's 'Amrit Kaal' growth strategy in Economic Survey: These are 6 key focus areas
As per details in the latest survey, over 30,000 real estate projects and 16,947 property agents were registered under the real estate regulatory authorities of various states and union territories during the 2023-24 fiscal year.
“As of July 1, 2024, over 1,30,186 real estate projects and 88,461 real estate agents have been registered under RERA,” the survey document noted.
Before RERA was enacted, there were many cases of real estate developers not delivering flats or homes despite full payments from homebuyers. To address this, under RERA, it is mandated that 70% of funds collected from homebuyers for a project must be maintained in a separate bank account dedicated to project construction and land costs," the survey said.
How has RERA helped?
RERA has also made it mandatory for developers and project promoters to make all necessary disclosures about projects, including permissions secured from authorities, date of launch, promised date of delivery, project specifications, and amenities.
Homebuyers' interests are also protected as only the projects (above 500 square metres and above eight apartments) registered with RERA can be launched, thereby obviating the possibility of any misrepresentation or false promises by the developers, the survey said.
Overall, the Economic Survey 2023-24 emphasised the recovery of the Indian real estate sector following the Covid-19 pandemic, alongside projecting an encouraging outlook for the segment.
"The outlook for the real estate sector is encouraging. With increasing urbanisation, the housing industry is poised for a significant transformation," it noted.
Also Read: Economic Survey out ahead of Budget: What it says on GDP, inflation and more
