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RERA stands for the Real Estate (Regulation and Development) Act, 2016 — the law that regulates builders and protects homebuyers in India. Each state runs its own RERA authority where projects and agents must register, and where buyers can file complaints.

What RERA does

RERA was created to fix the imbalance between builders and buyers. Its main protections:

  • Project registration: most residential projects above a small size must register with the state RERA before they are advertised or sold.
  • Carpet-area selling: builders must quote and sell on carpet area, with a standard definition — ending the vague "super built-up" pricing.
  • Escrow account: a defined share of buyer money must be kept in a separate account and used only for that project, curbing the diversion of funds to other projects.
  • On-time delivery: delays attract interest/compensation to buyers, and the promised specifications cannot be quietly downgraded.
  • Transparency: approvals, plans and project status are published on the state RERA website.

Why it matters to a buyer

Before buying, you can look up the project's RERA registration number on your state's RERA portal and see its approvals, promised completion date and any complaints. A project that is not registered where registration is required is a red flag.

Frequently asked questions

What is the full form of RERA? The Real Estate (Regulation and Development) Act, 2016.

What is the main purpose of RERA? To regulate the real-estate sector and protect homebuyers — through project registration, carpet-area selling, escrow of funds, on-time delivery and transparency.

Does RERA require selling on carpet area? Yes. RERA mandates that builders quote and sell on carpet area with a standard definition, so buyers can compare projects fairly.

How do I check if a project is RERA registered? Look up the project's RERA registration number on your state's RERA website, which lists its approvals, plans and status.

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CivilSite Editorial Team✓ Engineer reviewed

Written and reviewed by practising civil engineers with 10+ years of Indian residential construction experience.