In a landmark step towards enhancing transparency and protecting homebuyers, the Real Estate Regulatory Authority (RERA), Gurgaon, has issued a new directive making it mandatory for developers to publish a newspaper notice immediately after applying for RERA registration of their housing projects.
The announcement was made by RERA (Gurgaon) Chairman Arun Kumar, who emphasized that this move is intended to curb the malpractice of pre-launch sales—a widespread issue in Gurgaon’s high-demand real estate market. The notice will serve as an official disclosure that a project’s registration has been applied for, but not yet granted, warning potential buyers against making early investments based on misleading promotional tactics.
The real estate sector in Gurgaon has seen several high-profile cases where developers sold out entire projects before securing RERA registration, often without revealing critical issues like high-tension wires, overlapping road plans, or lack of basic infrastructure. Such practices violate the Real Estate (Regulation and Development) Act, 2016, and leave homebuyers legally and financially vulnerable.
“Now, it will be difficult for a promoter to mislead an investor into booking a unit during the pre-launch stage,” said Arun Kumar. “Buyers can now track a project’s registration status in real time and make informed investment decisions.”
Although the public notice will not reveal detailed confidential project information, it will clearly indicate that an application for RERA registration has been submitted. This allows prospective buyers to:
- Verify the project’s registration status on the official RERA portal
- Avoid falling for pre-registration marketing gimmicks
- Raise queries or lodge complaints in case of suspicious promotional activity
The Newspaper Notice will include:
- Name of the promoter
- Name of the project
- Location details
- RERA application reference number
- A statement indicating that the project is not yet registered
This measure is expected to serve as a preemptive warning against unofficial bookings and unverified claims. It helps bring clarity to the market by ensuring that buyers:
- Are aware of the registration status before booking
- Can access authentic project information directly from the regulator
- Are protected from false promises made during the early promotional phases
Crackdown on Pre-Launch Advertising
By indirectly regulating pre-registration advertising, this rule will discourage developers and real estate agents from aggressively marketing units before obtaining the necessary approvals. Any violation could lead to penalties under the RERA Act and affect the credibility of the project.
This public notice mechanism will also enhance RERA’s accountability, as buyers will now have documented evidence of a project’s application status, enabling stronger regulatory oversight and better grievance redressal.
Conclusion
The directive is a pro-consumer initiative that aims to balance the interests of developers and buyers while reinforcing the regulatory framework. It reinforces the core principle of RERA — transparency and protection for homebuyers — and is likely to become a benchmark for other states struggling with similar issues in the real estate sector.
