Frequently Asked Questions
1. Is property registration a must?
Under the various provisions of the Registration Act, 1908, each time a property changes
hands, it must be registered in the name of the new owner. According to the Act,
documents that are drafted to ‘create, declare, assign, limit or extinguish’ any right, title or
interest of the value of Rs 100 or more, in an immovable property, must be registered. The
same is true of documents drafted upon a court order transferring any right, title or
interest of the value of Rs 100 or more in an immovable property. Under the law,
registration of documents is legally obligatory, when a property changes ownership,
because of a gift, or lease if the lease period is one year or more.
2. What are the charges for property registration?
At the time of registration, the buyer has to pay stamp duty and registration charges. While stamp duty varies from state to state, property registration typically costs 1% of the transaction value. In some states like Haryana and Maharashtra, there is also a flat fee for property registration.
3. Do women buyers get a discount in registration charges?
While women buyers enjoy discounts in stamp duty across states, no rebate is provided in
case of registration charges. In Maharashtra, for example, women buyers have to pay only
6% as stamp duty, as compared to the 7% that men have to pay for property registration.
However, both of them have to pay a 1% or flat fee as registration charge.
4. Should the seller/buyer be present at the time of registration?
The buyer and the seller should be present at the sub-registrar’s office at the time of registration. If the buyer or the seller is an NRI and cannot be present in person, then, their
legal representatives holding a power of attorney have to be present.
5. What if I do not register the property?
As unregistered properties hold no legal validity, the owner, in spite of having taken
possession of the property, runs the risk of losing the property. Also, an unregistered sale
deed will not be admissible as evidence in the court of law
6. Can I register my property online?
In a majority of the states, buyers have to visit the sub-registrar’s office to register the
properties. Some states have launched services, to help landlords register their properties
online. This is done to offer hassle-free and time-bound services. Flats, as well as plots,
can be registered using these online facilities.
7. Can the sub-registrar reject my registration application?
The sub-registrar can a property registration application on various grounds, including:
Error in the text.
Insufficient stamp duty.
Absence of property-related documents.
8. What if there are false statements made in the documents?
If a buyer ‘intentionally makes any false statements, presents a false copy or translation of
a document or a map or plan or attempts to falsely impersonate other people’, then, it is a
punishable offence. Such a person could face imprisonment for up to seven years or a fine
or both. This is prescribed under Section 82 of the Registration Act.
9. What are the documents of which registration is optional?
The registrations of some documents are optional. These are:
Will Lease agreements, if the period mentioned is less than a year. If the deal value is less than Rs 100 in an immovable property. Documents that are created after a court order transferring any right, title or interest of the
value of less than Rs 100 in an immovable property.
10. What property documents need not be registered?
Since there is no provision to register some documents under the Act, their registration is
not required. These include:
Land granted by the government.
Property purchased from a civil or a revenue-officer at a public auction.
Assets granted under the Charitable Endowments Act, 1890.
11. By when should I register the sale deed after it is created?
The deed must be registered within four months of getting created. The time is calculated
from the date of execution of the deed.
12. What are the objects and reasons for which the Real Estate (Regulation and
The Real Estate Act is intended to achieve the following objectives:
ensure accountability towards allottees and protect their interest;
infuse transparency, ensure fair-play and reduce frauds & delays;
introduce professionalism and pan India standardization;
establish symmetry of information between the promoter and allottee;
imposing certain responsibilities on both promoter and allottees;
establish regulatory oversight mechanism to enforce contracts;
establish fast- track dispute resolution mechanism;
promote good governance in the sector which in turn would create investor
Confidence.
13. Which areas of Maharashtra are included in the Planning Area as defined in the Act?
In accordance with notifications issued by Urban Development Department of
Government of Maharashtra, MR & TP Act is applicable to all the districts of Maharashtra.
Hence, all areas of Maharashtra are included in Planning Area as defined in Section 2(zh)
of the Act.
14. Does the definition of ‘promoter’ include public bodies such as Development Authorities and Housing Boards?
The Act covers all bodies (private and public) which develop real estate projects for
sale to the general public. Section 2(zk) defines the term ‘promoter’ which includes both
private and public real estate promoters. Thus, both Development Authorities and the
Housing Boards, when involved in sale are covered under the Act.
15. If a real estate project has land area more than 500 sqmts but containing less
Yes. Every real estate project which has land area more than 500 sqmts or has
more than 8 apartments needs to be registered
16. If a real estate project has land area less than 500 sqmts but contains more than
Yes. Every real estate project which has land area more than 500 sqmts or has
more than 8 apartments needs to be registered
17. Does advertisement include solicitation by emails and sms? Is issuance of
As per section 2(b), which defines ‘advertisement’, any medium adopted in soliciting
for sale would be covered under the said definition, including sms and emails. Prospectus,
which is intended for sale of apartment in real estate project, will also be covered.
18. Can advertisement be issued for a new project after 1st May, 2017 without
No. The advertisement issued after1st May 2017 must carry the MahaRERA
Registration Number of the project.
19. Does the term ‘allottee’ include secondary sales?
As per section 2(d) an allottee includes a person who acquires the said ‘apartment /
plot’ through transfer or sale, but does not include a person to whom such plot, apartment
is given on rent. The Act doesn’t include rental projects, lease / leave and License deals.
20. Is it permissible to sell parking to allottees?
The position of parking is as follows;
a) Open Parking Area: This has been clearly included in the definition of
“Common Areas” which need to be conveyed to the Association of Allottees
after Occupancy Certificate is received. Hence, sale or allotment of Open
Parking Areas by the Promoter is not permissible
b) Covered Parking as defined in the Maharashtra Real Estate (Regulation and
Development)(Registration of Real Estate Projects, Registration of Real Estate
Agents, Rates of Interest and Disclosures on Website) Rules, 2017 is permitted
to be sold.
c) Garage as defined in the Act is permitted to be sold.
21. What is the obligation of the promoter towards return of amount and
Section 18 of the Act provides for provisions as regards various situations in which
the allottee would be compensated by the promoter due to delay in completion of the
project etc.
22. Can a complainant approach both the Regulatory Authority / adjudicating officer and the consumer forums for the same disputes?
An aggrieved person can only approach one of the two forums for redressal of his
Grievance.
23. Is there some fee, in addition to the fees prescribed in the Rules, to be charged
Yes. It has been detailed in the MahaRERA Order available on the MahaRERA
website.
24. Is it mandatory for the promoter to obtain permissions for the real estate project
Yes, the layout of the real estate project has to be approved. However, the promoter
may include some buildings in his application of registration where apartments are
proposed and the Building approvals are pending. Building Approval for the apartment
must be obtained before the agreement for sale is signed between the promoter and
buyer, regarding the said apartment.
25. What is the penalty prescribed for non-registration of a project under the Act?
If any promoter fails to register as per Act, he shall be liable to a penalty which may
extend up to ten per cent of the estimated cost of the real estate project. On continued
violation, he shall be punishable with imprisonment for a term which may extend up to
three years or with fine which may extend up to a further ten per cent of the estimated
cost of the real estate project, or with both.
26. How will a flat buyer know, if the real estate project is duly registered under MahaRERA?
The MahaRERA website would display all the registered projects.
It is mandatory that the advertisement for marketing of apartments in the real estate
project must carry the MahaRERA registration number.
27. Whether registration of real estate agents would be project specific, location specific or individual specific?
Real estate agents have to get registered with MahaRERA either as an individual or
as “other than individual”. Promoters while applying for registration of any real estate
project will have to indicate the names of registered real estate agents who will be working
as agents in the said project. Names of such agents will be displayed along with other
project specifications on the MahaRERA website, upon registration of the project.
28. What are the penalties that a Real Estate Agent would face if he fails to adhere to the mandates prescribed by MahaRERA?
If any real estate agent fails to register and contravenes the provisions of section 9
or section 10 of the Act, he shall be liable to a penalty of ten thousand rupees for every
day during which such default continues, which may cumulatively extend up to five per
cent of the cost of plot, apartment or buildings, as the case may be, of the real estate
project, for which the sale or purchase has been facilitated as determined by MahaRERA.
29. Is the promoter required to give any undertaking to MahaRERA for completing his project within a specified period?
Yes, in accordance with the provisions of the Act, the promoter, while applying for
registration to MahaRERA, has to give a declaration, supported by an affidavit, indicating
the time period wit
30. If the registration of a real estate project is revoked for any reason, how will the interest of the buyer, in such project, be protected by MahaRERA?
MahaRERA will take action in accordance with section 8 of the Act.
31. In case of delay in getting possession from the promoter, will the buyer be entitled to get interest on the amount paid by him, for such delayed period?
Yes. In accordance with the model form of agreement, if the Promoter fails to abide
by the time schedule for completing the project and handing over the [Apartment/Plot] to
the Allottee, the Promoter agrees to pay to the Allottee, who does not intend to withdraw
from the project, interest as specified in the Rule, on all the amounts paid by the Allottee,
for every month of delay, till the handing over of the possession.
32. Will such interest payment by the promoter to the buyer be automatic or the buyer will have to approach MahaRERA?
The interest payment is in accordance with the model form of agreement and hence
should be automatically paid. The buyer may have to file a complaint to MahaRERA if
there is a grievance.
33. Is there a ceiling on the interest to be levied by the promoter in case of default in payment of any instalments by the allottee/buyer?
In accordance with the model form of agreement, the Allottee has to pay to the
Promoter, a rate of interest equal to the State Bank of India highest Marginal Cost of
Lending Rate plus two percent, on all the amounts which become due and payable by the
Allottee to the Promoter under the terms of the Agreement from the date the said amount
is payable by the allottee(s) to the Promoter.
34. What are the provisions for an aggrieved person to lodge a complaint?
Section 31 of the Act and Rule 6 of Maharashtra Real Estate (Regulation and
Development) (Recovery of Interest, Penalty, Compensation, Fine payable, Forms of
Complaints and Appeal, etc.) Rules, 2017 provide for filing of complaint with MahaRERA,
by an aggrieved person who has any interest in the registered project. The aggrieved
person can file an application online as per format provided by MahaRERA. It shall include
the following details:
– Registration number of the project to which the complaint pertains
– Particulars of the complainant and respondent
– Facts of the case
– Relief Sought
– List of Enclosures and so on
35. Can a promoter or a real estate agent also file complaint against a buyer?
Yes. An aggrieved person having any interest in the registered real estate project
can file complaint.
36. Is there any provision for interim relief to be granted, pending the final adjudication of the complaint?
The procedure to be followed by MahaRERA while adjudicating a complaint is
detailed in section 36 of the Act read with Rule 6(2) of Maharashtra Real Estate
(Regulation and Development) (Recovery of Interest, Penalty, Compensation, Fine
payable, Forms of Complaints and Appeal, etc.) Rules, 2017.
37. Where will the aggrieved home buyer be required to file his complaint?
The aggrieved person can file an application online as per format provided by
MahaRERA website.
38. On what grounds can the home buyer file a complaint?
An aggrieved person may file a complaint with MahaRERA for any violation or
contravention of the provisions of the Act or the Rules or Regulations made there under.
39. Who would decide the complaints?
As per Regulation 24 of Maharashtra Real Estate Regulatory Authority
(General) Regulations 2017, for adjudication proceedings with respect to complaints filed,
MahaRERA may, by order, direct that specific matters or issues be heard and decided by
a single bench of either the Chairperson or any Member of the Authority.
40. Is there any pecuniary jurisdiction for complaint handling Authorities?
No. However, geographical jurisdiction may be specified for Chairperson or
members of MahaRERA.
41. Is there any time limit prescribed for disposal of complaints?
Section 29 of the Act provides that complaints should be disposed off as
expeditiously as possible but not later than sixty days from the date of filing the same.
However, where it cannot be disposed of during the said period, the Real Estate
Regulatory Authority is required to record its reasons for the same.
42. If the buyer wants to file a complaint in Consumer Court, is there any bar under the Act?
No. As per section 79 of the Act, civil courts are barred from entertaining disputes
(suits or proceedings) in respect of matters which Real Estate Regulatory Authority or the
adjudicating officer or the Appellate Tribunal is empowered under the Act to determine.
However, the consumer forums (National, State or District) have not been barred from
the ambit of the Act. Section 71 proviso permits the complainant to withdraw his complaint
as regards matters under section 12, 14, 18 and section 19, from the consumer forum
and file it with the adjudicating officer appointed under the Act.
43. Is there appeal provided against the orders given by MahaRERA? Is there a time limit? What are the fees?
Any person aggrieved by any direction or decision or order made by MahaRERA or
by an adjudicating officer may file an appeal before the Appellate Tribunal within a period
of sixty days, in accordance with Rule 9 of Maharashtra Real Estate (Regulation and
Development) (Recovery of Interest, Penalty, Compensation, Fine payable, Forms of
Complaints and Appeal, etc.) Rules, 2017.
44. Is there any time limit prescribed for the promoter for formation of society or any other legal entity of home buyers?
Promoter has to enable formation of Legal Entity like Cooperative Society,
Company, Association, Federation etc. within three months from the date on which fifty
one per cent of the total number of Purchasers, in such a building or a wing, have booked
their apartment.
45. Is there a time limit prescribed for the promoter to execute conveyance in favour of the association of buyers?
Promoter shall execute a registered conveyance deed in favour of the allottee within
three months from date of issue of occupancy certificate or fifty one per cent of the total
number of Purchasers, in such a building or a wing, has paid the full consideration to the
promoter, whichever is earlier.
46. what is an acceptable evidence of sanction under RERA? (a) IOD, or (b) Commencement certificate (CC) upto plinth or, (c) CC endorsed for the floor on which buyer wants to book the apartment ?
In any MahaRERA registered Real Estate Project, for registration of
the apartment to be purchased, IOD/Building Plan Approval of the building
where the apartment is located, is necessary. This is referred to as
Annexure D in the Model Form of Agreement for Sale
47. Will sale of TDR amounts, form part of sales realization, and thus required to be deposited in the separate account for utilization towards construction cost of the project?
Separate account is meant for amounts collected from allottees only.
48. If a phase is considered up to certain floors as envisaged in the rules, then how & when will conveyance happen? Assuming the next phase approvals for upper floors are not secured in a timely manner, what will be the remedy envisaged for effecting conveyance?
Conveyance of the structure (floors) contained in the phase is
Possible.
49. What if it's SRA Project, where the allottees complain regarding the demands put forward by them, not fulfilled by promoter? Can promoter complain about customers asking for extra area?
Complaints to MahaRERA have to be against registered projects,
with respect to violations/contraventions of provisions of Act, Rules or
Regulations.
50. Can change in layout plan be made when DCR 2034 comes in effect after getting prior approval of previous plan?
Such changes would require 2/3rd consent of allottees.
51. 10% booking amount will have to be paid after registration of project with RERA?
There is no such provision.
52. Can RERA upload allottee persons' details on website like name, telephone number?
There is no such provision.
53. How to know the FSI allotted on the registered project?
It can be seen in the details of the registered project on MahaRERA
Websit
54. Our builder (1) Selected about 4 yrs. back is adopting delaying tactics by not submitting final BMC approved drawings for Managing Committee approval etc. so that they can be submitted to BMC for approval. (2) Developer is disregarding terms of D.A. and supplemental D.A. is just dragging the project period. (3) He wants possession of society building without completing contractual obligation. Will 'RERA' help us in any manner?
Complaints to MahaRERA have to be against registered projects,
with respect to violations/contraventions of provisions of Act, Rules or
Regulations.
55. How "Existing Member’s" interest is protected in re-development project?
Existing members are members of the society which is a co-promoter
in the redevelopment project. Complaints to MahaRERA can be filed
against such registered projects, with respect to violations/contraventions
of provisions of Act, Rules or Regulations.
56. Newspaper REPORTS say No Development Permission (New Construction) as BMC is not clearing garbage/debris, shortage of water supply (i.e. infrastructure & environment requirement) No FSI also will be given to redevelopment project. Will the promoters be held responsible for such delays in ongoing projects? If policy changes by govt. or by High Court verdict, the project will be delayed. Who will be responsible?
Affected promoters may bring such issues up before MahaRERA.
MahaRERA will take action in accordance with the Act and Rules, in
consultation with concerned stakeholders.
57. If project is mortgaged by developer but it is not disclosed on website what is the solution?
Complaint can be filed by interested person for incorrect disclosure
and violation of section 4 of the Act.
58. Our builder has abandoned the project (redevelopment project). Will this project come under MAHARERA?
Every on-going project has to be registered with MahaRERA before
30th July 2017. If the said redevelopment project does not have
layout/building plan approval and if no booking of sale flats have taken
place, the project will not be called an ongoing project.
59. (1) In ongoing project the agreement with purchaser after 1st May 2017 is to be prepared as per MOFA OR RERA OR BOTH? (2) If the buyer has already paid stamp duty before 1.5.2017 and executed agreement then under which Act is the agreement with buyer?
Agreement entered prior to 1st May 2017 will be as per MoFA. All
agreements post 1st May, 2017 have to be in accordance with the model
form of agreement of MahaRERA.
60. If O.C. / B.C.C. are issued in May/June/July, does project have to be registered?
On-going projects have time till 30th July to register. If before doing
registration, the project has got OC/BCC, the project has been completed
as per section 5(3) of the Act. Hence, it does not require registration.
61. If a promoter has declared FSI, common amenities etc. in the MOFA Agreement, can he reduce the same while registration of the project & if he reduces, what is the remedy to the consumer?
Violations in the terms of the MoFA agreement have to be taken up
with the competent authority under MoFA. Complaints to MahaRERA have
to be against registered projects, with respect to violations/contraventions
of provisions of RERA Act, Rules or Regulations
62. In the case of joint development, where owner is there, is he liable to the development and would the owner include government authorities also i.e. land owning authorities.
Yes, they are co-promoters.
63. Pl. enlighten on the buildings which are occupied fully for last several years but no O.C./BCC till date. Are such buildings required to be registered under RERA?
An on-going project is one where construction is still not complete,
OC is yet to be obtained and building has not been occupied by allottees.
Such on-going projects have to be registered with MahaRERA.
Buildings without OC/BCC but occupied by allottees have to approach
Competent Authority under MoFA for deemed conveyance and thereafter
approach planning Authority for OC.
64. As per our agreement completion date is June 2015. While registering with MahaRERA, promoter gives, say Jan. 2020 completion date. MahaRERA will enforce which date June 2015 or Jan. 2020? What happens to delay since June 2015 which is the completion date as per agreement. How can buyer get compensation w.e.f. June, 2015?
Section 18 of the Act will apply.
65. (1) In JOA project wherein land owners share of revenue is say 40% & developers as 60%, the 70:30 maintainable will also be applicable for land owners share? (2) What if the developer has already obtained a takeout funding? (3) Cost of land includes premium & TDR payable which may be misutilized by Developer.?
Such land owners are Co-promoters. Their liabilities and
responsibilities have been detailed in MahaRERA order available on the
MahaRERA website.
66. Is Title Insurance applicable?
Yes, in accordance with section 16 of the Act but only after
notification by State Government.
67. (1) If promoter doesn't register on the MahaRERA website how can we complaint against him? (2) By when can we expect the result after complaint against him?
Complaint against non-registration can be filed online at
https://maharera.mahaonline.gov.in/Site/1099/Inform-Non-Registration
68. Navi Mumbai right now has NAINA as approving authority, does this come under MahaRERA?
Yes, they are Planning Authority under MR&TP Act.
69. I have booked the flat in completed project with O.C. in the month of April 17 with 20% payment. Stamp duty is also paid in April 17. However registration of agreement of sale is not done in light of MahaRERA. Kindly guide for the consumer.?
Provisions (including model form of agreement) of MahaRERA apply
after 1st May 2017.
70. Whether one building's part can be registered in phase development?
In such phase manner when society can be formed?
Phase is defined in the Rules. Society has to be formed once 51% of
allottees have booked their apartment in the phase.
71. Builder has not registered with RERA so far, can he sell his flats, collect the money and can register the sale deed as per format of MOFA not as per RERA.
Provisions (including model form of agreement) of MahaRERA apply
after 1st May 2017.
72. How MahaRERA is helpful in resolving redevelopment related problems for ongoing projects that have taken off before the inception of MahaRERA?
All on-going projects, except the ones exempted under section 3 of
the Act, have to be registered with MahaRERA before 30th July, 2017.
Complaints to MahaRERA, against registered projects, can be filed with
respect to violations/contraventions of provisions of Act, Rules or
Regulations.
73. Can information uploaded by a promoter during registration be amended / edited by the promoter under the pretext of updating it?
No. Fields which depict the progress of the project can only be
Updated.
74. Pending projects: What if a promoter gives unreasonably extended time frame for handing over possession with OC? Who decides which project should take how much time frame for possession? Are there going to be any norm from RERA or it is left in the sole discretion of promoter?
The promoter shall disclose the original time period disclosed to the
allottees, for completion of the project at the time of sale including the delay
and the time period within which he undertakes to complete the pending
project, which shall be commensurate with the extent of development
already completed.
75. Whether any particular flat under any RERA regd. project is sold or not, will there be any information on website about the registration no. of the flats already sold to avoid multiple fraudulent sale of one flat to multiple persons?
There is no such provision. Any fraudulent action of the promoter is
punishable under the Act.
76. Conveyance : If two or more buildings form independent housing societies, how the conveyance of a single plot will be possible without subdivision of plot ?
Please see rule 9 of Maharashtra Real Estate (Regulation and
Development)(Registration of real estate projects, Registration of real
estate agents, rates of interest and disclosures on website) Rules, 2017.
77. A flat booked in a project. If construction not yet started or only beginning done, and 1% initial amount and stamp duty, registration fees taken and booked the flat. The project is expected to be completed in 2022. The builder may take project loan showing all flats are sold, booked and registered. The flat owner may take housing loan. But if, project not completed or abandoned after 50% how flat owner can get protection from builders banks demand of recovery and what will be position of housing loan liability ?
MahaRERA will take action in accordance with section 7 and 8 of the
Act.
78. I have signed a Development Agreement (D.A./P.A.) with a builder as land owner. I have no involvement/role in the project. How can I be responsible for any project issues under RERA?
Such land owners are Co-promoters. Their liabilities and
responsibilities have been detailed in MahaRERA order available on the
MahaRERA website.
79. What if the builder does not register with RERA & no one complains?
MahaRERA can initiate suo-moto action.
80. Open parking can't be sold as per RERA. How will they be allotted to the customer ?
The legal entity of the allottees ( society/association etc.) will allot.
81. If a promoter has sold entire stock and there is no receivable from any customer, in that case if there is no completion certificate then does the promoter have to register his project with MahaRERA ?
No, if the building work is complete and building is occupied.
82. Agriculture land more than 4000 sq.mtrs. to each purchaser with road, water and clubhouse facility. Is RERA applicable? Does such project need registration?
MahaRERA registration is required for projects which need approval
from Planning Authority under MR&TP Act.
83. Builder is asking me to register flat under MOFA act after 1st May. What should I do?
Allottee should insist on signing agreement as per RERA Act.
84. I am a land owner and have a JV with a developer. As per RERA, land owner is co-promoter and is equally liable. I have an area sharing and would be getting my share of flats to sell. I read that when I sell my share of flats, the proceeds of sale needs to be deposited in an escrow account. How and under what conditions, I would be able to withdraw the money from escrow account?
The liabilities and responsibilities of co-promoters have been detailed
in MahaRERA order available on the MahaRERA website.
85. Is MahaRERA applicable to SRA schemes under DCR 33(10)?
Yes
86. Are existing residents of a redevelopment scheme covered under MahaRERA provisions?
Yes, they are covered in the definition of allottees in the Act.
87. Our society land is less than 500 sq.m. but there are 16 apartments in the redevelopment project. Does MahaRERA apply?
No, As land is less than 500 sq.m.
88. Should a society while selecting developer for redevelopment see if the developer is registered with MahaRERA?
Projects are registered with MahaRERA, developers are not
registered.