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In a relief for home buyers, Government has passed new laws RERA in real estate market. Here are 5 things you should know about the new rules.

State-level legislation
The states that have notified the rules are Uttar Pradesh, Bihar, Gujarat, Odisha, Andhra Pradesh, Maharashtra and Madhya Pradesh. While the housing ministry had last year notified the rules for five Union territories, the urban development ministry came out with such rules for the national capital region of Delhi. The other states and UTs will have to come out with their own rules and will have their own regulatory authorities. While 13 states have already notified, the minister said that others will also do so.
Both new building projects and ongoing projects will be subject to the laws, with the exception of certain projects that have already been completed.

Tighter selection of builders
Property Builders containing those who have ongoing construction are essential to register with their local state regulatory authorities in the next three months, and provide regular updates on the status of the building projects on the regulators’ websites. They will also must disclose details of correctly when property will be completed and how much money they have already collected.
Builders will be required to deposit 70% of the money they collect from probable home buyers into an escrow account that will only be used for construction purposes.

Penalties for delayed projects
If property builder has delayed a housing project they will now have to either refund amount they have charged, or pay interest on it till the home is delivered to the homebuyer. Home builders that break up the new laws could be restrained for up to three years.

No more early bird deals
Builders can now only advertise property and homes once they have received all the regulatory approvals.
In addition, builders will also have to enter a registered sale agreement if they collect more than 10 per cent of the home value at the time of booking the project.

Real estate disputes
In case of disputes, instead of going to civil courts, home buyers can now take their complaints in connection to their property projects to special real estate courts that will be set up in each state. This is aimed at speeding up the current redressal process.

Government approved construction of 90,095 more affordable houses for urban poor under Pradhan Mantri Awas Yojana (Urban) with an investment of Rs 5,590 crore in three states. PM Awas Yojna is an ambitious housing scheme to provide affordable houses to the poor people of the country at affordable cost. The main purpose is to provide houses to all by 2022. The central assistance for the same would be Rs 1,188 crore.

Here are complete details of the houses in the states where these houses are sanctioned and the investment of the central government and MHUPA.

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The ministry of housing & urban poverty alleviation (HUPA) has allotted the highest 82,262 houses in 49 cities and towns of Madhya Pradesh with an investment of Rs 5,260 crore with a central assistance of Rs 1,071 crore.
Jammu & Kashmir got 4,915 houses in 24 cities and towns with an investment of Rs 240 crore and central assistance of Rs 74 crore, while Dadra & Nagar Haveli’s capital Silvassa has been sanctioned 803 affordable houses with an investment of Rs 26 crore and central assistance of Rs 12 crore.

The government approved 46,823 new houses under the beneficiary led construction (BLC) component of PMAY (Urban), enhancement of 773 houses in Jammu & Kashmir under BLC and building 42,499 new houses in Madhya Pradesh under affordable housing in partnership (AHP) component.

In Madhya Pradesh, another 39,763 new houses will be built under BLC component under which an eligible beneficiary is assisted to build a house on the land owned by him/her. This takes the total affordable houses approved for Madhya Pradesh to 187,135 and for Jammu & Kashmir to 5,864. The government has so far approved construction of 1,651,687 affordable homes for the benefit of urban poor under PMAY (Urban) with a total investment of Rs 89,072 crore with central assistance of Rs 25,819 crore.

Under BLC (Beneficiary Led Construction) and AHP (affordable housing in partnership) components of PMAY (Urban), central assistance of Rs 1.50 lakh is provided for each beneficiary.