The Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has introduced several key measures in recent weeks to enhance the protection of homebuyers.
As reported by the Hindustan Times, these initiatives aim to promote transparency and ensure that developers adhere to their commitments.
In a move to improve transparency within the real estate sector, UPRERA has made it mandatory for developers to include a unique QR code for each new project at the time of registration. This QR code must be prominently displayed in all promotional materials, including brochures and advertisements, as well as in key documents provided to buyers, such as booking forms, allotment letters, and builder-buyer agreements (BBAs).
Homebuyers can scan the QR code with their mobile devices to access detailed project information from the UP RERA portal. This feature addresses the concern that potential buyers often lack the means to verify amenities and other essential details, relying solely on the information provided by promoters.
UPRERA has also directed real estate developers to refrain from offering conditional possession of housing units. The regulatory body has received numerous complaints from homebuyers who have been pressured to sign possession letters despite the incomplete status of promised amenities and services.
Chairman Sanjay Bhoosreddy emphasized that developers must provide possession based on the terms outlined in the original sale agreement, without imposing additional conditions that could limit buyers’ rights. He stated, “This act of promoters is against the principle of natural justice and objectives of the RERA Act,” and insisted that allottees should not feel cheated or dissatisfied.
Documentation Failures
To further safeguard homebuyers, UPRERA has warned promoters of around 400 group housing projects that failure to upload essential land records or project maps to the RERA portal could result in their projects being placed on an “abeyance list.”
The regulatory authority noted that many of these projects were registered during the early days of RERA, yet their promoters have consistently failed to comply with documentation requirements since 2018. This measure aims to alert potential buyers and protect them from potential fraud.
Registered Agents
UPRERA has mandated that all real estate transactions be executed solely through agents registered with the authority. This decision comes in response to a growing number of complaints regarding misleading information provided by unregistered agents, which has led to homebuyers being defrauded.
If a registered agent disseminates false or misleading information during a transaction, the aggrieved party can file a complaint with UPRERA. The authority plans to introduce training and certification programs for these agents, ensuring professionalism and credibility in the industry.
Stalled Housing Projects
Additionally, UPRERA is working to revive stalled housing projects that encompass approximately 10,000 units. Many of these projects have faced delays due to issues such as siphoning of funds, loan defaults, and the bankruptcy of developers.
The authority is actively engaging with defaulting promoters, banks, and financial institutions to create a roadmap for the revival of these projects, with the aim of protecting the interests of both homebuyers and lenders.