LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
Read in App
Business News » India News

Real Estate Regulation Act will bring transparency to sector: Survey

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Real Estate Regulation Act will bring transparency to sector: Survey
The new real estate act will not only help in expediting the completion of the on-going projects, but will also protect buyers from any fraudulent practices. Representational Image. Image Source: Pixabay
Written By: Tejal Yerunkar
Updated: Thu, Aug 25, 2016
01:57 pm
Mumbai , ZeeBiz WebDesk
RELATED NEWS
Real Estate Act comes into force today after 8-year-long efforts Real Estate Act comes into force today after 8-year-long efforts
Govt issues Draft of Real Estate rules, seek public comments Govt issues Draft of Real Estate rules, seek public comments

The introduction of Real Estate Regulation and Development Act (RERA) will bring transparency and authority in doing real estate dealings, which will ultimately result in reducing litigation in the sector and pave the way to get more foreign investment into the sector, a survey conducted by Ficci and Grant Thornton has found. 

The survey report titled 'Real Estate Regulation Act, 2016 (RERA) - Are we ready?' was released in New Delhi on Wednesday, to gauge what stakeholders feel about the implications of the RERA Act. 

The Government of India implemented the RERA Act on May 1, 2016. The bill was passed by the Rajya Sabha (Upper House of Indian Parliament) in March 2016.  

According to Ficci-Grant Thornton survey, over 60% of respondents said that transparency will increase in the country's real estate sector after the implementation of RERA, and 60% of the respondents said that lending options for the sector will improve, bringing in more finance. 

60% respondents said that RERA will increase the governance in the sector and will lead to an increase in the foreign direct investment (FDI) and domestic investments into the sector in the near future. This, in turn, is predicted to increase job opportunities and strengthen the growth of the sector. 

With the introduction of the RERA Act, the availability of finance options from bankers and financial institutions into the real estate sector is projected to become more easier. 

"Approximately 50% of the respondents hope that the lending options from lenders will improve and availing finance will be easier," Ficci-Grant Thornton said in a report.  However, over 28% felt that lenders will have more stringent approach while lending funds to the sector.

The new real estate act will not only help in expediting the completion of the on-going projects, but will also protect buyers from any fraudulent practices.   

The Act is expected to reduce the legal process in the sector in the years to come.

"More than 50% of the respondents believe that RERA will reduce litigations," cited the survey. 

The industry backed the RERA Act rule, which makes its mandatory for developers to deposit 70% of sales proceeds in a separate account, saying that it will ultimately result in on-time execution of projects and remove non-serious developers from the sector.

"Close to 40% of the respondents feel that the implementation of RERA will help timely delivery of projects and also eliminate non-serious players from the sector," the survey noted. 

On the impact of the RERA Act on operations side, more than 40% of the respondents believed that the maximum impact will be in the area of project planning and construction.

Different countries around the world like United Kingdom (UK), United States (US), China, etc., have various types of regulations for the real estate sector and this RERA Act is a perfect to solve the issues concerning the country's real estate sector, Ficci-Grant Thornton said in its report. 

The new legislation is a step in the right direction and is expected to remove the chronic issue of late delivery of projects. 

Ficci-Grant Thornton in its report has recommended that the compliance of the RERA Act should not become one more layer of approvals to be obtained but it should ease the entire approval process. 

 Survey Parameters    Responses 
 RERA will increase transparency in real estate dealings in future  Close to 65%            
 RERA will increase the governance hold in the sector &   lead to  increased investments  Close to 60% 
 Hope that the lending options from lenders will improve and  availing  finance will be easier.  Approximately 50% 
 Implementation of RERA will help timely delivery of  projects &  also  eliminate non-serious players from the  sector  Close to 40% 
 RERA's maximum impact will be in the area of project  planning  and construction  More than 40% 

 

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
RERA ActEconomyReal Estate Regulation and Development Act (RERA)Foreign direct investment (FDI)Rajya SabhaReal Estate ActUKUSChina
RELATED NEWS
Real Estate Act comes into force today after 8-year-long efforts Real Estate Act comes into force today after 8-year-long efforts
Govt issues Draft of Real Estate rules, seek public comments Govt issues Draft of Real Estate rules, seek public comments

LATEST NEWS

Big insurance offers! 80-100 per cent discounts - All you need to know about renewal of health policies

Centre finalises One District One Focus Product to promote in cluster approach

Websites of traditional media houses to come under the ambit of section 69(A) of IT Act: Report

Homebuyers alert! Avoid real estate troubles by knowing these top 5 things before buying flat in 2021

New Inbase smartwatch Urban LYF is here - Check features, offers, promo code and more

Salaar Movie Prabhas: Release Date, Cast, Poster, Heroine - Confirmed! Another blockbuster from KGF makers?

Apple, Croma join hands on Steve Jobs' birth anniversary

REVEALED! This is the most preferred financial product to protect family post-COVID 19 pandemic

'Improved economic environment to boost FY21 credit growth'

Mann Ki Baat Latest Episode: What all PM Narendra Modi said in his popular radio programme today - Know here

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved