RERA is an act passed by Indian Parliament. It came into force on 1st May, 2016, when it was passed by Rajya Sabha on 10th March, 2016 followed by Lok Sabha on 15th March, 2016. RERA is known as Real Estate Regulatory Authority. The aim of the act is to create equitable and fair transaction in the primary market who buys and sells the property. This act has made it compulsory for each states and union territory, to shape its own frame that will administer the working of regulator[i]. The primary point of RERA is to give help to the purchaser and manage the real estate sector. It has made a few rights for the purchaser and certain guidelines that are to be trailed by builders. Earlier there was no clear policy regarding the sale of property and because of that builders have earned a lot of profit by fooling the buyers as there was no reasonable enactment that could govern the real estate sector and because of this real estate market confronted numerous disadvantages. Therefore, to secure the interest of the purchaser and the seller the parliament passed the Act called Real Estate Regulatory Authority, 2016.

The two fundamental reasons behind enacting this act are: –

1. To carry out a transparent transaction between the buyer and the builder and establish accountability from both sides

2. To provide security to innocent buyers against the malafide builders.


1. It is mandatory for every builder to publish all correct information about project from beginning till the end of undertaking with date to the purchaser or allottee. This information should be available to RERA.

2. The developer ought to give atleast 5 years guarantee to any underlying deformities in the building.

3. It is obligatory to enroll each construction property where land is over 500 sq. meters or have eight apartments.

4. The manufacturer is required to put 70% of the cash obtained from the purchaser into a different account. The cash will be withdrawn according to the stage finishing of undertaking[ii].


Rights of allottees is defined under Section 19 of the Act [Section 19(1)-19(5)]

Section 19(1) Right to obtain Information: It enlightens us regarding the primary right of the purchaser that the purchaser ought to have all the information related to the purchase of property, that what is authorized plan and the design plan and furthermore the data about the rules and guidelines settled on made under the agreement.

Section 19(2)Right to know completion schedule: It reveal to us that the purchaser should know that in how long the task will get finished and should know every last bit of it in stage-wise including water, sterilization, power and other services as agreed between the purchaser and the seller as per by the terms and guidelines of agreement of sale[iii].

Section 19(3) Right to claim possession:  The buyer shall entitle to claim the ownership of apartment, plot or building including common areas in case all formalities have been finished and necessary amount is paid.

Section 19(4) Right to claim Refund:  The buyer have the to claim for refund of amount paid and compensation from the promoter, if the promoter fails to do as mentioned in the agreement for property, then the promoter is bound to pay back the amount to the buyer as mentioned in the act but before doing that one more chance can be given the promoter and then if he fails they will have to pay penalties and also a complaint can also be filed with the Appellant Tribunal in case if buyer is not satisfied with  RERA’s decision.

Section 19(5) Right to have document:  The purchaser or allottee has directly over ownership of documents and plans of the property and can also have the physical possession of property.

Other Rights

There are many other rights provided to buyers under RERA

False promises– If there is any inconsistency in the promises made by the builder and the property delivered, then at that point the purchaser has the privilege to move back from the undertaking alongside remuneration.

Defect after possession– If there is any deformity in the construction and if revealed within 5 years after the possession of the building then the repair will be done by the builder within a maximum of 30 days and the buyer has the right to ask for compensation for the same.

Delay in possession– If the builder fails to finish the task on the due date of completion then the buyer has the privilege to withdraw from the project with the full refund from the buyer along with the compensation.

Defect in the title– if there is any defect in the title of the project, in such a case, the buyer can claim compensation from the builder. The concept of a defect in the title is not barred by limitation[iv].

[i] Ashiana, Rights & Duties of Home Buyers under RERA, https://www.ashianahousing.com/real-estate-blog/rights-duties-of-home-buyers-under-rera, March 2, 2020

[ii]  Sejal Makkad, why RERA was introduced? What are the rights of buyers, https://lawtimesjournal.in/why-was-rera-introduced-what-are-the-rights-of-buyers-under-rera/, March 19, 2020

[iii] BY SUKHLEEN SALUJA , Understanding the Rights of a Buyer under RERA, https://lawlex.org/lex-pedia/understanding-the-rights-of-a-buyer-under-rera/22381, June 4, 2020

[iv] Shephali Kapoor, Rights and duties of homebuyers under RERA, https://www.99acres.com/articles/rights-and-duties-of-homebuyers-under-rera.html, Dec 05, 2019.

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