After coming into force of Real Estate Regulation Act (RERA) the Government also opened doors for more NRI investment in the Real Estate Sector. Earlier, the Non-Resident Indians [NRIs] use to think twice before investing in the Indian Real Estate market due to various reasons. But, today, RERA has become a reason for an increase in NRIs Investment in the real estate sector. Some of the benefits of RERA to NRI Buyers are:
The RERA Act has encouraged many Non-Resident Indians to own property here as now these people need not to run behind the builders to get the timely possession of their home. Real Estate Developers are totally liable for completing the project without any repercussions. Now, there needs to be less responsibility for the buyers to be worried to push the builders on completing the projects.
The availability of accurate property related information online and property ownership in the due time increase the faith of NRI investors in the Indian Real Estate market. All the information regarding construction will be updated by the developers which can be accessed by the NRIs anywhere. The builders have to upload the project status as it progresses in future.
Due to RERA, builders will have to put 70% of the funds received for future constructions, which opens up the path to safe funding. The fund will be deposited in a separate escrow account which will be looked after by RERA.
RERA is a big relief to NRIs as there is significant transparency of information between the builders and buyers. Especially convenient to the NRIs, they can extract information regarding the developments from anywhere.
Providing carpet area will make it much easier for NRIs to judge the property without actually visiting it. Super built-up area, which was provided before RERA’s existence usually, included unnecessary elements, which resulted in buyers getting a smaller area than they expected. With the use of carpet area, the buyers will get a clear idea of the property with just from the brochure.
As RERA is spread separately in states, it makes it easy for NRIs to catch various project developments according to preferred places. Interested NRIs can check for the details of projects on the websites of the Authorities of different states.
INTEREST FOR DELAY
In case of any future delays faced by the NRIs, builders will be responsible to pay due interests till the time of delivery. As NRIs don’t get to follow up the builders regularly, now any delay will result in compensation which will benefit them in every way.