On October 22, 2024, MahaRERA (Maharashtra Real Estate Regulatory Authority) passed an order pertaining to the submission of a proforma of the letter of allotment and the Agreement for Sale (AFS) at the time of registering real estate projects. This order enforces compliance with Section 4(2)(g) of the Real Estate (Regulation and Development) Act (RERA). The new directives aim to ensure greater transparency in real estate transactions and prevent any ambiguities regarding the terms of sale.
Key Provisions of the MahaRERA Order
- Compliance with Prior Orders:
MahaRERA had previously issued an order on September 3, 2024, that required promoters to provide certain details in the proforma of the allotment letter and the AFS. The recent order emphasizes that all subsequent amendments, including Clause 15A, introduced on June 6, 2019, must also be incorporated into these documents. - Clause 15A – Registered Real Estate Agents:
This clause outlines that if a Registered Real Estate Agent is involved in facilitating the transaction, the remuneration, fees, or brokerage must be paid by the promoter, allottee, or both, according to the agreed terms of payment. - Upload of Proforma at Registration:
Promoters are required to upload a copy of the letter of allotment and AFS in compliance with the model forms provided. In cases where deviations or modifications are made, these must be highlighted in a different color and accompanied by a deviation sheet. - Non-Negotiable Clauses:
Specific clauses, such as those related to parking arrangements, are non-negotiable. Any modifications to the AFS or the letter of allotment are subject to compliance with MahaRERA’s strict guidelines, particularly regarding garage and parking spaces, to ensure the interests of both parties are protected.
Enforcement of Non-Compliance Penalties
Failure to adhere to the guidelines or if the proposed deviations violate the RERA Act, rules, or regulations, will result in the rejection of the project registration application. Additionally, the order supersedes the previous order from August 12, 2022, and has been retroactively applied from April 29, 2024.
Conclusion
This latest order from MahaRERA strengthens the framework around real estate transactions, ensuring that both promoters and allottees engage in a transparent and fair process. The emphasis on non-negotiable clauses, especially in parking, is aimed at protecting buyers and promoting accountability among promoters.
