Real Estate Regulation Act, 2016 (RERA) - Are we ready?

Grant Thornton in collaboration with FICCI is delighted to release its survey based report “Real Estate Regulation Act 2016 (RERA) – Are we ready?”, which gives you an insight on the journey of RERA and what the sector has to say about this latest regulation.

Grant Thornton and FICCI conducted a joint survey to assess the readiness and understanding of the various stakeholders to meet the requirement of RERA and the perceived impact of this important legislation.

While various international markets have varying types of regulations, the Indian Real Sector in India is optimistic that RERA is a perfect cut to solve the issues plaguing the sector. Based on the responses to our survey and the interpretations drawn, one can conclude that the sector has given a thumbs up to RERA.

A snapshot of survey analysis is given below:

• More than 60% of the respondents feel that, going forward, transparency will increase in real estate dealings.
• Close to 60% of the respondents feel that RERA will increase the governance hold in the sector and lead to increased investments.
• Approximately 50% of the respondents hope that the lending options from lenders will improve and availing finance will be easier.
• More than 50% of the respondents believe that RERA will reduce litigations.
• Close to 40% of the respondents feel that the implementation of RERA will help timely delivery of projects and also eliminate non- serious players from the sector.

More than 40% of the respondents believe that maximum impact will be in the area of project planning and construction.