The Telangana State Real Estate Regulatory Authority (TS-RERA) has issued a serious warning against pre-launch offers announced by realtors ahead of the project’s official launch.
Pre-launch offers go against the RERA rules and stringent action can be taken under the Act, the regulator cautioned.
All construction projects should have approvals from agencies such as Greater Hyderabad Municipal Corporation, Hyderabad Metropolitan Development Authority, Directorate of Town and Country Planning or other such local bodies authorised to give building permissions, and get registration under RERA before they can proceed with advertisements and marketing their products.
Projects initiated before RERA registration are being identified suo motu or through complaints and show-cause notices are being issued. If found to be negligent, they are being levied a penalty of 10% on the project cost, a statement from RERA said.
So far, the regulatory body has issued notices to 27 projects for pre-launch offers and violation of RERA rules, and collected ₹21 crore as penalty.
Awareness campaigns are being taken up to ensure that all advertisements in print, electronic, and social media are accompanied by the RERA registration number and that full details of the projects are displayed on the RERA website.
Emphasising its status as an autonomous and quasi judicial body, the authority asked all realtors to ensure transparency and answerability in their projects. Even the agents involved in marketing for the real estate projects should be registered with RERA or else action will be taken as per the rules.
Homebuyers have been urged not to invest in projects without RERA registration. A total of 9,217 projects have applied so far for registration of which process for 8,003 projects has been completed. Out of a total of 3,765 agents who applied, 3,621 have been registered.
