The Real Estate (Regulation and Development) Act , 2016 (RERA ACT) is an Act of the Parliament of India came into force from 1 May 2016 which applies to whole of India except the State of Jammu and Kashmir.
Registration for Real Estate Projects is regulated by the Real Estate Regulatory Authority established under the RERA ACT. The Act establishes the State wise Real Estate Regulatory Authority. The expression "real estate project" has been specifically defined under the Act.
Every promoter undertaking a Real Estate project as defined under the Act is required to get the prior registration of the Real Estate project under the applicable / relevant Real Estate Regulatory Authority under the RERA Act, 2016.
Every promoter will have to get the said project registered before advertising, marketing, booking, offering for sale, selling or inviting persons to purchase in any manner any plot, apartment, or building, in any real estate project or part of it, in any planning area, registered with the Real Estate Regulatory Authority under the RERA Act, 2016.
Any promoter who did not comply the above mentioned registration rules shall be liable to a penalty which may extent upto 10% of the estimated cost of the real estate project as determined by the Authority.
Further even after imposition of penalty, the promoter does not complies with the said penalty and continue to contravene the registration requirement then he shall be punishable with imprisonment for a term which may extend up to three years or with fine which may extend up to a further 10% of the estimated cost of the real estate project, or with both.