What happens when you buy a property not registered with RERA?

There have been instances where builders or promoters dupe buyers into purchasing a property not registered with the Real Estate Regulatory Authority (RERA). In such a scenario, what can an individual do? Should they even buy a property not registered with RERA? Read this article to learn the risks, exemptions, and benefits of buying a RERA-registered property.


What is a RERA registered property?

A RERA-registered property refers to the projects that comply with the regulations outlined by the act. It mandates builders and developers to register all new and under-construction projects with the concerned State’s RERA before advertising or selling them. Whether commercial or residential, a RERA-registered property ensures transparency, accountability, and protection for buyers. Under the RERA Act, developers are obligated to adhere to the project.


Should you buy a property if it is not registered in RERA?

Buying a property not registered with RERA poses significant risks for the buyer. Without RERA registration, there's a lack of regulatory oversight, potentially leading to disputes, delays, or even fraud. Therefore, it is advisable to opt for RERA-registered properties to safeguard your hard-earned money and ensure a smoother, regulated buying process.


Exemptions on property registration under RERA

Under RERA, builders, developers and promoters must register their projects intended for booking, advertising or selling. However, certain exemptions listed in Section 3(2) (a) of RERA exempt projects from this requirement. These exemptions are given below:


The land area should not exceed 500 sq m
The total number of apartments should not be more than eight
If the promoter has already received a completion certificate for their real estate project before the enactment of RERA
When the construction work is limited to renovation or redevelopment and does not involve any new allotment of apartments, plots, or buildings
Any real estate project that does not fall within the Planning Area’s boundaries. Such areas refer to a specific region designated by the government or competent authority for potential future development initiatives.



Welcome to Wonder Homz, your premier tech-enabled property portal, offering a seamless experience in finding verified properties. At Wonder Homz, we handle every aspect of the property buying process, ensuring that your dream property is delivered right to your doorstep.


Keep in Touch