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Developers Show A Hurry In Getting The Occupancy Certificate Before RERA Implementation

As we all are aware, the Real Estate Regulatory Act (RERA) is all set to get implemented all over India from 1st May, 2017. This implies that all the states will have to notify a Regulatory Authority before that date. After regulatory Authority is formed, they will have three months with them to frame and form all the rules and regulations.

Various builders, whose projects are almost completed, are trying to get the Occupancy Certificate (OC) from the concerned authorities. The reason behind this is that they do want to their project to fall under the scope of RERA.

On the date of notification, if the project has the Occupancy Certificate, then RERA will not be relevant to those projects. The main motive behind RERA is to provide a shield to customers, mainly during the construction-period of the project. This is because after receiving the Occupancy Certificate, the chance of the customer getting duped reduces by great amounts. Therefore, all the projects which are nearing completion should get their Occupancy Certificates as quickly as they can.

But Why Quickly?
After RERA gets implemented, all the projects which will not have the OC will come under the scope of RERA. On the other hand, the projects which will have their OC will not be required to go for the registration.

Therefore, if the projects are at default in receiving the OC before 1st May, they will be required to get the registration done for their under-construction projects under 3 months from the notification of the Act.

When the ongoing-projects come under the scope of RERA, the risk of the buyer who hasn’t got the possession also reduces. Not including the ongoing-projects in the scope of RERA would have diluted the importance of RERA altogether.

What exactly is an Occupancy Certificate (OC)?
Occupancy certificate is a very important certificate which is issued by the concerned local authorities and allows the occupation of a building, as per the local laws. The local laws cover the basic civic amenities like sanitation, water and electricity.

Conclusion
Now when the various developers want to quickly complete the construction in order to get the OC, they will also have to look after the various elements. They will have to make sure that, before handing over the possession; both internal and external development work is up to the mark.

Team iPropUnited

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