In a significant move to bring clarity and transparency to real estate transactions, the Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) has issued a directive mandating that all promoters must ensure the sale of units and apartments based on carpet area only. The authority emphasizes that the concept of ‘super area‘ has no justification under the provisions of the RERA Act and other legal agreements.
According to the UP-RERA Act and other legal agreements, the sale of units or apartments on the basis of ‘super area’ is deemed illegal. The RERA Act, which governs real estate transactions, explicitly states that buying and selling of apartments should be conducted solely on the basis of carpet area, the actual usable area within the unit.
Sanjay Bhoosreddy, Chairman of UP-RERA, highlighted that the RERA Act does not include any abbreviation or definition for ‘super area.’ He emphasized the importance for allottees to consider carpet area as the actual area of the unit or apartment, ensuring fair transactions between promoters and buyers.
To facilitate this directive, UP-RERA has provided a model agreement for sale between promoters and allottees on its portal. This model agreement aligns with the carpet area, reinforcing the legal basis for transactions.
Selling apartments based on the concept of ‘super area’ is now considered contrary to the provisions of the RERA Act. Promoters are obligated to adhere to this mandate and ensure that the sale of units is accurately represented according to the carpet area only.
This directive by UP-RERA not only aims to eliminate ambiguity in real estate transactions but also serves to protect the interests of homebuyers. By adhering to the carpet area standard, both promoters and buyers can engage in transparent and legally sound transactions.
In conclusion, the UP-RERA directive is a significant step towards promoting fairness and transparency in the real estate sector. It is crucial for all stakeholders to be aware of and comply with these guidelines to ensure a trustworthy and lawful property transaction process.