About 70 percent of consumers are aware of the realty law RERA, and five out of six home buyers want to redress their grievances through this law. Real estate customers have failed to deliver the miracle they expected from the RERA Act. According to a survey, customers are the most dissatisfied with the complaint resolution process. Even after 5years, this biggest drawback of RERA has not been removed.
About 5years ago, by forming the Real Estate Regulatory Authority (RERA), the government had prepared a way to protect home buyers from fraud by developers. RERA has instilled confidence in home buyers. But it has not fully lived up to their expectations.
In a survey conducted by Omidyar Network India and Boston Consulting Group, people were asked for their opinion on RERA. According to the survey, about 70 percent of the customers are aware of RERA. 5 out of 6 home buyers want resolution of complaints through RERA.
However, the report noted that there are still several impediments in the implementation of the grievance redressal process, as “only 22 percent of the consumers involved in the grievance redressed process were satisfied with the erratic timelines involved”. Experts believe that gradually by removing the flaws of RERA, a strong law is being made. The report has been prepared after interacting with over 1,300 customers, developers, regulatory authorities, CAs, engineers, and architects across multiple states.
70 percent of the surveyed customers are aware of only the main benefits of RERA. 71 percent of customers who know RERA are satisfied with the law. 76 percent of customers plan to buy a RERA-registered property. However, according to this survey, 64 percent of the developers are fully satisfied with the RERA authority. 55percent of the developers surveyed have been able to secure loans more probably because of RERA.
RERA has emerged as a credible law for new projects. But with old projects, it could not bring much relief to the customers. It based the report on interactions with over 1,300 customers, developers, regulatory authorities, and stakeholders such as chartered accountants, engineers, and architects across Maharashtra, Uttar Pradesh, Madhya Pradesh, Orissa, and Karnataka. The survey revealed that the law has instilled confidence among homebuyers.
