Indian real estate market has witnessed rapid growth in recent years. It is expected this sector will reach 3.7 million square feet by this year, that is, 2019 and also 1 trillion US$ by 2030.
Maharashtra launched the Maharashtra Real Estate Regulatory Authority, also known as MahaRERA Act, on March 2017 for the promotion and appropriate regulation of this sector. After the launch of this act, every real estate agent has to get registered with the regulator to continue with their on-going projects and sales.
Thus, if you are planning to purchase a flat or a house, consider the benefits that this act provides.
- Performance of The Projects
Adequate details of on-going projects of a builder are kept as a record by the regulator. Consumers can visit the official website of MahaRERA and check the builder’s portfolio. You will be able to gather knowledge on the number of projects your builder has worked on. You will also get information about the plot specifications, availability of parking space, etc.
You will also be able to know about the builder’s sales record, thus bringing in transparency between the seller and buyer. Such information will assist buyers purchase properties securely. Through their website, you can also be aware of the time your builder takes to provide a sanction letter for a purchase.
- Builder Details
If you know about RERA Act in Maharashtra, then you should be aware of the fact that the regulator maintains a proper record of the builder’s details and past projects as well. This record includes any legal actions against the builder, educational background, financial information such as audit sheets, Income Tax returns, etc. These details will confirm transparency and trust in the buyer and will help in taking proper purchase decisions.
- Market Analysis
As a buyer, make it a practice to perform market analysis before deciding on a plot. A well-performed analysis will ensure that your agent is charging a reasonable amount for the plot following the on-going market rate. After the launch of the act, you can check the market rate and the amount at which sellers are offering their plots, on the regulator’s official website. This act ensures that you do not pay more for a plot unnecessarily. Also, a market analysis will assist you in deciding on the house loan amount you need to avail.
- Project Timelines
Through the MahaRERA website, you can keep a track on the completion timeline of a project. This would help you to arrange funds for the purchase accordingly. However, if you do not have the adequate funds, you can avail a home loan to purchase your desired plot.
While you avail a home loan, the ownership of the property lies with your lender and is transferred to you after you pay your dues completely. Once you complete paying your dues, do not forget to ask your lender to provide you with the home loan NOC. This NOC would ensure that you do not face any legal issue with your property in the future.
- Extra Area Charges
Before the launch of the MahaRERA act, builders used to charge extra for built-up areas. Thus, buyers received a lesser area compared to the amount paid. With this launch, a plot is sold based on the carpet area, and prices are charged accordingly. This act ensures that buyers are not paying extra for any space. Also, knowing the exact area and amount will help you in deciding your loan amount before loan application.
Several financial institutions and NBFCs provide home loans at reasonable interest rates. Bajaj Finserv is such an NBFC that offers home loans against minimal documentation and offers balance transfer facility, flexible tenors, etc.
Also, a loan comes with several benefits, tax benefit being one of them. Before you avail a loan to purchase a flat under the MahaRERA act, have proper knowledge about the home loan tax benefits and take the decisions accordingly.