Buying a property involves far more than comparing prices, locations and amenities. Buyers also need to know whether a project has the required registrations, what the developer has legally committed to deliver, and where they can verify important project information.
This is where RERA becomes important.
RERA refers to the Real Estate (Regulation and Development) Act, 2016, introduced to improve transparency, accountability and consumer protection in India’s real estate sector. Its objectives include protecting the interests of property buyers, improving disclosure, reducing unfair practices and creating a regulatory framework for real estate projects and promoters.
For first-time buyers, NRIs and investors evaluating property in India, understanding the basics of RERA can make the property-selection process more informed.
What Does RERA Mean?
RERA stands for the Real Estate (Regulation and Development) Act.
The Act created a regulatory framework under which states and Union Territories establish Real Estate Regulatory Authorities. These authorities oversee registered real estate projects, promoters and registered real estate agents within their jurisdiction.
The legislation was introduced in 2016, with its major project-registration and buyer-protection provisions taking effect from May 1, 2017.
The purpose is not to recommend particular properties. Instead, RERA creates a system through which important project information can be formally disclosed and certain obligations can be enforced.
Why Was RERA Introduced?
Before RERA, property buyers frequently faced problems such as limited access to reliable project information, changing plans, unclear completion timelines and long delays.
RERA was designed to create greater transparency between developers and buyers.
The official objectives include:
- Protecting the interests of property buyers
- Increasing accountability of promoters
- Improving transparency
- Reducing fraud and delays
- Standardising practices within the sector
- Improving access to project information
- Establishing mechanisms for complaints and dispute resolution
For buyers, the practical benefit is that there is now a formal place to verify information instead of depending only on brochures, advertisements or sales representatives.
Which Real Estate Projects Need RERA Registration?
Under the central Act, projects generally require registration where the proposed development exceeds 500 square metres or includes more than eight apartments, including phases.
States may prescribe requirements within the framework applicable in their jurisdiction, so buyers should always check the relevant state RERA portal.
A promoter of a project requiring registration generally cannot advertise, market, book, sell or offer units for sale before obtaining RERA registration.
This makes the project’s RERA registration number one of the first details a buyer should request when considering an eligible under-construction or plotted development.
What Information Can Buyers Find on a RERA Portal?
RERA is useful because registration creates a publicly accessible project record.
Depending on the state portal and project, buyers may be able to review details such as:
- Project name
- Promoter or developer
- RERA registration number
- Project type
- Location
- Proposed completion date
- Land details
- Approved plans
- Number of units or plots
- Project status
- Certain approvals
- Promoter’s previous projects
- Legal documents
- Complaint or regulatory information
For example, Rajasthan RERA provides searchable records for projects, promoters, agents and complaints. Individual project records can contain land details, sanctioned units, estimated completion dates, approvals and information about other projects undertaken by the promoter.
For investors exploring ROI properties, checking available RERA information can therefore form one part of broader due diligence alongside location, income potential, developer credibility and legal review.
What Is the 70% Separate Account Rule?
One of RERA’s important financial safeguards relates to money collected from homebuyers.
The Act requires promoters to deposit 70% of the amounts realised from allottees into a separate bank account. These funds are intended to cover the cost of construction and land for that particular project.
Withdrawals are linked to the percentage of project completion and require certification from specified professionals.
The principle behind this requirement is straightforward: money collected for one development should not simply be diverted without regard to completing that project.
For buyers, this provides an additional level of financial discipline, although it does not eliminate every construction or financial risk.
How Does RERA Improve Transparency for Buyers?
A buyer should be able to understand what is being purchased before committing significant capital.
RERA requires project-related disclosures and creates obligations around information supplied by promoters.
This can help buyers examine questions such as:
- What has actually been approved?
- What is the proposed completion timeline?
- Is the developer registered for this project?
- What is the sanctioned project configuration?
- Are important project documents available?
- Has the promoter completed previous projects?
This is particularly useful for NRIs and overseas buyers who may not be able to visit the site frequently.
Similarly, someone considering premium branded residences should verify the underlying real estate project independently rather than relying only on the reputation of the associated luxury or hospitality brand.
RERA and Carpet Area
Another important change brought by RERA was greater standardisation around carpet area.
Carpet area generally refers to the net usable floor area of an apartment, subject to the statutory definition, rather than broader measurements that may include certain common spaces.
This matters because buyers need a consistent basis for understanding how much usable space they are actually purchasing.
When comparing two projects, do not look only at the headline unit size.
Check:
- Carpet area
- Layout
- Usable room dimensions
- Balcony or terrace treatment
- Common-area allocation
- Sale agreement
A larger advertised number does not necessarily mean a proportionately larger usable home.
Can a Developer Take a Large Booking Amount Before an Agreement?
RERA also addresses advance payments.
A promoter cannot generally accept more than 10% of the cost of the apartment, plot or building as an advance or application fee without first entering into a written agreement for sale with the buyer.
This gives buyers an important reason to review documentation before making substantial payments.
The agreement should clearly state relevant terms such as the property details, payment schedule, possession arrangements and obligations of the parties.
For a high-value purchase, buyers should have the agreement independently reviewed rather than treating it as a routine booking form.
Does RERA Protect Buyers From Project Delays?
RERA creates remedies in circumstances where a promoter fails to complete or give possession according to the terms applicable to the project.
Depending on the situation, an allottee may have rights relating to refund, interest or compensation.
However, buyers should not assume that every construction delay automatically produces the same remedy.
The project documents, facts of the delay, regulatory orders and applicable state rules can all matter.
If a significant delay occurs, buyers should review the project’s RERA status and seek appropriate professional advice before deciding what action to take.
How to Check Whether a Project Is RERA Registered
The process is generally straightforward.
- Visit the official RERA website for the state or Union Territory where the property is located.
- Open the registered-project search.
- Search using the project name, promoter name or registration number.
- Confirm that the project details match the property being offered.
- Review the registration status and proposed completion date.
- Examine available plans, approvals and disclosures.
- Look at the promoter’s other registered projects where available.
- Check complaint or regulatory information if the portal provides it.
For Rajasthan properties, the official Rajasthan RERA portal currently provides searches for projects, promoters, agents and complaints.
Do not rely on a screenshot of a RERA number supplied by a salesperson. Check it directly on the relevant official portal.
Does RERA Registration Mean a Property Is Completely Safe?
No.
This is one of the most important points for buyers to understand.
RERA registration should not be treated as a guarantee that a property is risk-free or automatically a good investment.
RERA is an important verification layer, but buyers should still conduct independent due diligence.
That can include checking:
- Property title
- Encumbrances
- Land use
- Development approvals
- Sale agreement
- Developer history
- Construction progress
- Payment schedule
- Location fundamentals
- Market pricing
- Resale and rental demand
A property can be registered under RERA and still be unsuitable for a particular investor because of pricing, location, demand, financing or other factors.
RERA verification should therefore be part of the decision-making process, not the entire process.
Why RERA Is Especially Important for NRIs
NRIs often evaluate Indian property remotely, which can make independent verification even more important.
A buyer living outside India may rely heavily on digital presentations, family members, brokers or developer representatives.
RERA gives the overseas buyer an official source against which some of those claims can be checked.
Before transferring a significant amount, an NRI should ideally compare:
Sales information → RERA disclosures → legal documents → independent professional verification
This reduces dependence on promotional information alone.
Final Thoughts
RERA has made project information and developer accountability more structured in India’s real estate market.
For buyers, its value is simple: it provides an official framework for checking important information before purchasing a property.
A RERA registration number can help buyers verify project details, proposed timelines, promoter information and available approvals. The Act also creates important protections relating to disclosures, project funds, agreements and buyer rights.
But RERA registration should never replace complete due diligence.
Whether someone is buying an apartment, an investment property, a premium residence or a plotted development, the stronger approach is to combine RERA verification with legal review, financial analysis and an assessment of the individual property.
Frequently Asked Questions
What is RERA in simple words?
RERA is India’s real estate regulatory framework designed to improve transparency, accountability and buyer protection in eligible real estate projects.
Is RERA registration compulsory for every property?
No. Registration requirements depend on the type and size of the project and applicable rules. Projects falling within statutory exemptions may not require registration.
How can I check a project’s RERA registration?
Use the official RERA portal for the state or Union Territory where the project is located and search using the project name, promoter or registration number.
Does RERA registration guarantee that a project is safe?
No. Registration provides important disclosures and regulatory oversight, but buyers should still independently verify title, approvals, contracts, pricing and other legal and investment factors.
Is RERA useful for NRI property buyers?
Yes. It can be particularly useful for NRIs because official online project information allows them to verify important details even when they are outside India.
Can buyers complain to RERA?
RERA provides a regulatory mechanism through which eligible buyers can file complaints concerning matters covered by the Act and applicable rules. Procedures vary by state authority.
