Uttar Pradesh Real Estate Regulatory Authority (UP RERA) has announced a new rating system for the builders. Under the system, a builder will be rated on the basis of its past performance, financial position and failed projects.
UP RERA’s recent move is expected to help the home buyers and investors to make informed decisions. Since all the information will be available on a single platform on just a few clicks, the buyers will not only be able to save themselves from falling prey to dubious developers but will also be able to choose a relatively more reliable developer in a particular locality by comparing their ratings.
The regulatory authority is reportedly also in talks to hire a private agency to monitor the projects and to seek updates where the builder has not been able to meet the deadline for project completion. Since a builder has to submit the progress report of the project every three months to UP RERA, the chosen private agency will corroborate with the builders and seek quarterly status reports from them to identify the project status and monitor the ongoing ones. The agency will also be able to check on escrow account to prevent diversion of funds.
Noteworthy here is that there are some over 3,000 complaints are pending with UP-RERA, out of which almost 80 per cent are from Noida and Greater Noida, Makaan IQ reported.
UP RERA has also asked the development authority of western UP to conduct a health audit of all unfinished projects. Under the audit, the unfinished projects will be categorized into three sections — doing well, not doing well and abandoned. Once the authority submits its report, the land parcels where no development work has been started will be re-allotted to other developers.