The government expects atleast 29 states and UTs to notify their rules by the July 31 deadline.
“We hope around 29 states will notify the final RERA rules by July 31. Barring North Eastern states, as they have some land law issues, I hope all the states will at least notify RERA rules by July 31,” said Rajiv Ranjan Mishra, joint secretary, ministry of housing and urban poverty alleviation.
Misra was speaking at an event organised by industry body CII here.
A total of 18 states have formed interim regulators till now. Mishra informed the government is urging states to make these interim regulators permanent.
“The idea should be to start the project registration process in states. We urge all the states to put the needed infrastructure in place as soon as possible,” he said.
The joint secretary also highlighted the need to include ongoing projects under the RERA ambit.
“We should include ongoing projects under the Act. Excluding them will not be good for consumers and developers,” he said.
Mishra feels the next six months will be tough for the real estate industry.
“The sector has to redesign its business model and we may see a lot of restructuring happening. However, the long-term impact of RERA will be beneficial for the industry,” he said.
The Real Estate (Regulation and Development) Act, 2016, came into full force from May 1 this year, and the states had a grace period of three months to notify rules and appoint their respective regulators.
Real estate projects which don’t get registered with their respective RERA till July 31 will not be allowed to sell after the deadline.