How to File a Consumer Complaint against RERA?

RERA stands for Real Estate Regulatory Authority is a government body that maintains transparency and enhances accountability in the Real Estate sector. Till 2016 the real estate sector in India was not regulated by any regulatory body. That was creating complexity and negative impact on buyers. To protect the interest of buyers the government of India has introduced the RERA Act. The bill was passed on 10th March 2016 by the Rajya Sabha and 15^th march from Lok Sabha, and the act came into force on 1 May 2016.

Objectives of RERA:

The key objectives of RERA are as mentioned:

• Ensures more transparency & efficiency of plot, apartment, building or real estate project sells
• Reduces fraud by strict measurement
• Reduces delay by imposing late fees
• Protecting the consumer`s interest
• Sets up the appellate tribunal for listening to appeals
• Establishing a fast-track dispute resolution mechanism
• Promoting good governance

Key Benefits of RERA:

The guidelines mandated by RERA provide relief to the buyers and creates positive changes in the real estate sector. Here are some key benefits.

• RERA has reduced real estate project delays and fake selling of any property.
• Small regulatory bodies, working as a sub-division under RERA, look after real estate functions in all states and union territories of India.
• All residential and commercial properties are mandated to follow RERA rules.
• RERA increased accountability and transparency in the real estate sector.
• RERA is responsible for maintaining and updating ideal standardization to protect buyers and sellers’ interest.

Documents Required for Filing Complaint with RERA Online and Offline

Here is the list of required documents (Soft copy/Physical):

• Proof of address and Proof of identity
• Name of the builder
• State the complaint in brief
• Soft and physical copies of the agreement, transaction details, letters exchanged (If any), and legal notice, etc. as proof for online and offline purposes.
• Payment of rupees 1000 as fees (Except Maharashtra and Goa, here it is rupees 5,000).

How to File a Complaint in RERA

Here follows both online and offline process:

• Online

• Visit the RERA website of the state where the project is planned.
• Register with ID and password or sign in for a new account.
• Navigate to the and click on it.
• Fill out the form with the necessary information related to the project.
• Attach any relevant documents and submit the form
• Pay any applicable fees.
• The applicant will receive a registration number upon successful filing.

• Offline

• Download the complaint form from the official website or collect the form from the RERA office
• Fill up all the necessary details
• Visit the RERA office to pay the applicable fees
• After collecting the payment receipt submit the form

Conditions for Filing RERA Complaint Online

Here are some highlighting conditions on which a complaint can be filed:

• False advertising of any home or real estate project.
• Delay in transferring the ownership of the project.
• Any defects in the property’s structure.
• Improper project registration.
• More than 10% of the advance payment is being charged.
• The builder has not provided the receipt against the payment or not given a valid sale agreement of advance payment.
• The builder has not constructed or provided parking space in the premises.
• The builder has handed over the residence without layout, specifications and structure that was agreed previously.
• The builder has not constructed water tank, proper ventilation and lighting in the building

There are more conditions on which a complaint can be filed. Read them

Importance of RERA on Buyers:

Here are some importance to complain with RERA:

• Clarity in Expectations: Builders have to provide all the details related to the project to the RERA’s official website. They have to update these details from time to time to maintain transparency regarding the project’s timeline. They can only make changes to the project plan after consulting with the majority of the owners.
• Encourage Fair Practices: The RERA regulation states buyers can only charge money for the carpet area enclosed by walls. Lift, balcony, stairs, and lobbies are exempt under the criteria. Builders have to deposit 70% of the money collected from the buyers into a separate bank. That money can be used only for construction purposes and they cannot charge buyers more than 10% in advance.
• Enhancing Efficiency: Buyers can report any construction defect for up to 5 years after handover, builders are obligated to correct those wrongs. Builders have to correct and resolve any disputes with buyers within 120 days after filing the complaint.
• Boosting Time Period: RERA has improved time management in the real estate sector by emphasizing the completion of projects on time. The builders have to pay 2% interest charges to the buyers for the delayed time.

Importance of RERA on Real Estate Agents or Builders:

Here follows the importance of RERA on Real estate agents or builders.

• Documented project details: Project that exceeds an area of 500 sq.mt. , or more than 8 flats have to register under state RERA respectively.
• Mitigate complexity: Only one model sales deed will be acceptable between builders and buyers.
• Fair business practice: Builders must deposit 70% of the money received from buyers in bank accounts. This helps the authority to keep track of every transaction.

What Is a RERA Certificate?

A RERA certificate is a legal document that includes details of the project under the RERA Authority. Any real estate project have to be register with Real Estate Regulatory Authority under section 3 of the Real Estate Act, 2016. After a successful registration, they will provide a unique registration number to the builder. It has granted rights to home buyers and has also mandate certain rules and regulations to all builders and developers. Any property cannot be commercialized (advertising, booking, or selling) without the issuance of an RERA Certificate.

Validity of RERA certificate:

The RERA certificate of a real estate agent is valid for up to 5 years. Registered builders have to keep a record of accounts and follow all the regulatory guidelines. Otherwise, it can be revoked before the expiry date by the authority.

Advantages of RERA Certificate:

Whenever a real estate project has been registered under RERA and the authority is convinced that the project is following every mandate guidelines. They issue a unique registration number. The unique registration number must be displayed in all advertisements, brochures, websites, etc. Here are some advantages of the RERA certificate.

• RERA certificate enhances the credibility of the builder.
• It provides information on the real estate project.
• It ensures the builder follows the mandate rules and regulations.
• RERA Certificate safeguards the rights and interests of buyers.
• This certificate grants access to the RERA Complaint tribunal.
• It creates a sense of responsibility for the builders and investors.

What are The Penalties under RERA?

If any buyer faces any dispute with the builders they can file a complaint with RERA. On the basis mentioned offence RERA will prosecute the builder by penalizing them. Here is the list of some penalties to be charged if a builder is found guilty.

Promoter Penalties:

• Incorrect Application for RERA Registration: If builders do not register themselves under RERA they have to pay 10% of the estimated cost of the property. Also, 5% of the total cost of the property if they provide false information regarding the project.
• Non-Compliance with Orders of Authority: Violation of laws can make the buyer end up with 3 years of imprisonment and also cost them 5% of the project’s estimated price.
• Non-Compliance with Orders of Appellate Tribunal: If there is any non-compliance with the Appellate Tribunal, the penalty is 10% of the project’s price or 3-year imprisonment or both.

Real-Estate Penalties:

• Non-Registration of Project: The agents will be charged Rupees 10,000 per day (up to 5% of the total cost of the property) if they are found to be conducting construction and sales of the properties without RERA Registration.
• Non-Compliance with Orders of Authority: Agents will be charged with a daily penalty of up to 5% of the probable value of the property if they indulge in severe non-compliance with RERA.

Buyers Penalties:

• Non-Compliance with Orders of Authority: If a buyer is found guilty of any non-compliance, he will be penalized with a daily charge of up to 5% of the approximate cost of the property.
• Non-Compliance with Orders of Appellate Tribunal: Any non-compliance with the Appellate Tribunal will make the buyer land into imprisonment for a year or 10% of the project’s probable cost or even both.

How to Register Projects under RERA?

If a builder is willing to register a project under RERA, he/she has to follow the below-mentioned steps.

• Gather Necessary Documents (soft copy/physical copy):

• PAN card of the builder.
• Legal title agreement of the land.
• Encumbrance Certificate related to the land of the project.
• Project layout plan.
• Architectural and engineering certificates.
• Financial details.
• Affidavits (If any).
• Commencement Certificate of the project.
• The sanction plan, and layout plan.
• Location details of the project.

If the builder has any previous experience he/she has to provide more details:

• Details of the last 5 years of previous project experience.
• Name of those projects.
• Current status of those projects.
• Details of pending Cases (If any).

Additional documents are required if it is a company.

• Certificate of incorporation.
• CIN/TAN number.
• Memorandum of Association and Article of Association.
• Particulars of a director or other authorized person.
• Documents of real estate agent registration.
• Proof of identity and Proof of address of the applicant.
• Necessary Photograph.

• Access the Online RERA Portal: Open and visit the official website of the builder’s state's RERA authority to access the online application form.
• Fill out the Application Form: The applicant must provide accurate details about the project including land information, proposed development, amenities, timelines, and total number of units in the application.
• Upload Documents: Scan and upload all above-mentioned documents as per the RERA portal guidelines.
• Registration Fees: Pay the applicable registration fee online.
• Application Submission: Submit the completed application form and uploaded documents.
• Verification and Approval: The RERA authority will review the application, verify documents, and conduct site visits if needed. Within 30 days the authority will inform if they reject the application. If there is no response from the authority in 30 days the application will be considered accepted.
• Issuing RERA Registration Number: Upon acceptance, the RERA authority will issue a unique registration number for the project under RERA.

It is important to note that the specific process and requirements depend on state to state.

State-wise RERA Complaint Form:

Here are some examples of the State-wise RERA complaint form.

RERA Complaint Format Sample:

Follow this draft to form a RERA complaint

• Title:

Complaint under Section [Mention the relevant section of RERA Act] against [Name of builder] by [Name of the applicant]

• Complaint Details:

• Name (Full Name of the applicant).
• Address (Permanent Address).
• Email Address.
• Mobile Number.
• Address for Service of Notice.

• Respondent Details:

• Name of Respondent (Builder/Agent/developer).
• Registered Address.
• Email Address.
• Mobile Number

• Project Details:

• Project Name.
• RERA Registration Number.
• Agreement Details.

• Grounds of Complaint:

Clearly state the specific violations of the RERA Act. Provide proper dates, events, and supporting documents (if available).

Examples include:

• Delay in possession beyond the previously agreed date.
• Construction defects from approved plans.
• Non-provision of promised amenities or facilities.
• Collecting UNFAIR or illegal charges by the developer.
• Misrepresentation of facts.

• Relief Sought:

Clearly mention the specific reliefs you are seeking from the RERA authority. Here are some examples:

• Compensation for delayed possession.
• Rectification of construction defects.
• Refund of unfair charges.
• Cancellation of the allotment and refund.

• Supporting Documents:

Provide all documents related to the complaint, such as purchase agreement, possession letter, communication records with the developer, photographs of construction defects, etc.

• Declaration:

The applicant/buyers must declare that the information provided in the complaint is true and correct to the best of their knowledge and belief.

• Signature:

Sign the complaint and date it.

Filing Online Complaint against Registered Builder with RERA:

If anyone facing any problem with the builder, here are the steps to follow.

• Step 1: Visit the official web page of RERA (depending on the state of the applicant).
• Step 2: Check if the builder is registered with RERA. (If yes follow the next steps)
• Step 3: If the builder is registered with RERA the applicant can file a complaint on that webpage.
• Step 4: Provide all the required documents related to the project then submit the complaint.
• Step 5: After the complaint registration, RERA will issue a notice to the builder and start an inquiry.
• Step 6: The builder has to respond within a specific time.
• Step 7: RERA will investigate the complaint and take necessary action.

Filing RERA Complaints against Unregistered Builders:

To file a complaint against an unregistered builder, follow the below steps:

• Step 1: Gather all the necessary documents related to the project/property disputes.
• Step 2: Contact the local municipal authority or state regulatory body to inquire about the builder’s RERA registration.  
• Step 3: If the builder is not registered, the applicant can file a complaint at the consumer court, local police station, or Supreme Court.  
• Step 4: Mention the details of the property, and builders, and clearly state those issues that the applicant is facing.
• Step 5: Submit the complaint along with the necessary documents

Filing Complaints against Builders at Consumer Forum:

Filing a complaint with RERA can be a complicated process, especially if the builder/developer is not registered under RERA. This is why the consumer courts are preferred over RERA when seeking legal resolution against a builder/developer/agent. However, Court processing moves slowly and consumer forums only offer compensation or refund, which is narrower than what can be done under RERA.

Arrange All Documents:

First and foremost, gather all the necessary documents related to the project/property dispute.

Here are the documents which the applicant needs to gather (Softcopy/Physical).

• Draft of Consumer complaint as per the guidelines of the Act,
• Copies of evidence such as bills, receipts, etc.
• Written complaints and notices previously send to the service provider,
• The affidavit, states the facts presented are true.

Intimation via Notice:

The applicant/buyers must send a well-written complaint to the builder and inform him about the stipulated time frame for a response or else they will receive a legal notice from the buyer's end.

Wait for a response from the builder. If he fully compensates, the dispute ends. If not, follow the next step.

Drafting of the Consumer Complaint:

Send a legal notice, to the developer/builder and inform him about the stipulated time frame for a response. If the issue is not resolved by the builders, approach the Consumer Court and file the petition that should contain precise details of the builder, the applicant, the builder-buyer agreement, proof of payment, your particular grievance, property details, and the type of compensation you are seeking, etc.

Where to File the Complaint:

Here are the example of consumer forums operating in India.

• District Consumer Disputes Redressal Forum (DCDRF)

If the value of the property sought is less than Rupees 50 lakh, you can approach the District Consumer Disputes Redressal Forum (DCDRF). The district court fee ranges from Rupees 0 to Rupees 2,000 depending upon the value of the claim.

• State Consumer Disputes Redressal Commission (SCDRC):

 If the value/dispute amount is between Rupees 50 lakh and Rupees 2 crore, you can approach the State Consumer Disputes Redressal Commission (SCDRC). The state court fee ranges from Rupees 5,000 to Rupees 10,000 depending upon the value of the claim.

• National Consumer Disputes Redressal Commission (NCDRC):

If the dispute amount is above Rupees 2 crore, you should approach the National Consumer Disputes Redressal Commission (NCDRC). The national court fee ranges from Rupees 25,000 to Rupees 1,00,000 depending upon the value of the claim.

• National Consumer Disputes Redressal Commission (NCDRC):

If the dispute amount is above Rupees 2 crore, you should approach the National Consumer Disputes Redressal Commission (NCDRC). The national court fee ranges from Rupees 25,000 to Rupees 1,00,000 depending upon the value of the claim.

Time Taken by the Courts: