What is RERA?
The Real Estate (Regulation and Development) Act, 2016 (RERA) is India's landmark legislation designed to protect homebuyers and bring transparency to the real estate sector. Karnataka was among the early adopters, establishing K-RERA (Karnataka Real Estate Regulatory Authority) to enforce compliance.
If you're buying property in Bangalore or anywhere in Karnataka, understanding RERA is not optional — it's essential.
What Does RERA Cover?
Projects That Must Be Registered
- Any real estate project with more than 8 apartments or land exceeding 500 square meters
- Both residential and commercial projects
- Projects where construction is ongoing (not completed before RERA came into effect)
What Developers Must Disclose
- Project plans approved by the competent authority
- Stage-wise completion timeline
- Details of the architect, contractor, and structural engineer
- History of past projects and their completion status
- Prorated carpet area calculation
- Details of encumbrances and litigation, if any
How to Verify a RERA Registration
Follow these steps to verify any property before investing:
Step 1: Visit the Karnataka RERA Portal
Go to rera.karnataka.gov.in
Step 2: Search by RERA Number
- Click on "Registered Projects" or "Search Project"
- Enter the RERA registration number provided by the developer
- You can also search by project name, promoter name, or district
Step 3: Review the Certificate
Check the following details on the certificate:
- Project name and location — must match what the developer advertises
- Promoter/Developer name — verify it's the same entity you're dealing with
- Registration validity — ensure it hasn't expired
- Approved plan details — number of floors, units, etc.
- Completion deadline — this is legally binding
Step 4: Check for Complaints
On the same portal, check if any complaints have been filed against the project or developer. This is a critical due diligence step.
Your Rights as a Homebuyer Under RERA
1. Right to Information
Developers must disclose all project details on the RERA website. You have the right to access:
- Approved layout plans and specifications
- Project timeline and current status
- Financial details of the project
2. Carpet Area Transparency
RERA mandates that pricing must be based on carpet area (the actual usable area), not super built-up area. This eliminates the common practice of inflating area measurements.
3. Timely Possession
If a developer fails to deliver on time, you're entitled to:
- Full refund with interest (SBI marginal cost + 2%)
- OR continue with the project and receive compensation for the delay
4. Structural Defect Warranty
For 5 years after possession, the developer must fix any structural defects or poor workmanship at no cost to you.
5. Protection of Your Money
Developers must deposit 70% of project funds in a separate escrow account, ensuring your money is used only for that specific project — not diverted elsewhere.
Common Red Flags to Watch For
| Red Flag | What It Means |
|---|---|
| No RERA number displayed | Project may be unregistered (illegal for qualifying projects) |
| Expired RERA registration | Project hasn't been completed or extended properly |
| Multiple complaints on portal | History of buyer dissatisfaction |
| Mismatch in project details | What's advertised vs what's on RERA doesn't match |
| "Pre-launch" pricing | RERA prohibits marketing before registration |
| Asking for >10% before agreement | RERA limits advance payment to 10% of property cost |
How to File a RERA Complaint
If you have a grievance against a developer, here's the process:
Step 1: Attempt Resolution
First, send a written complaint to the developer. Keep records of all communication.
Step 2: File Online
Visit rera.karnataka.gov.in → Click "Complaints" → Fill the online form with supporting documents.
Step 3: Hearing
K-RERA will schedule a hearing. Both parties get an opportunity to present their case.
Step 4: Order
K-RERA issues a legally binding order. Non-compliance by the developer can attract penalties including imprisonment.
Filing Fees
- Individual complaint: ₹1,000
- Association/group complaint: ₹5,000
RERA vs Non-RERA: The Risk Comparison
| Factor | RERA Registered | Not Registered |
|---|---|---|
| Legal protection | ✅ Full RERA protection | ❌ No regulatory recourse |
| Price transparency | ✅ Carpet area based | ❌ Often super built-up |
| Completion guarantee | ✅ Legally binding deadline | ❌ Dependent on developer goodwill |
| Money safety | ✅ 70% in escrow | ❌ No safeguard |
| Resale value | ✅ Higher trust = better value | ❌ Lower buyer confidence |
Practical Tips for Bangalore Buyers
- Never pay more than 10% before signing the agreement for sale
- Always ask for the RERA number before visiting a property site
- Cross-verify online — don't just take the developer's word
- Check completion deadline — is it realistic given the current construction stage?
- Verify the approved plan — does the actual model/plan match the RERA-registered plan?
- Use AnviRealty's RERA verification links on property detail pages for one-click verification
Disclaimer: This is an informational guide. For legal advice specific to your situation, consult a qualified property lawyer.