Some of the
important compliances are:

• Informing
  allottees about any minor addition or alteration.
• Consent
  of 2/3rd allottees about any other addition or alteration.
• No
  launch or advertisement before registration with RERA Consent of 2/3rd
  allottees for transferring majority rights to 3rd party.
• Sharing
  information project plan, layout, government approvals, land title status,
  sub-contractors.
• Increased
  assertion on the timely completion of projects and delivery to the
  consumer.
• An
  increase in the quality of construction due to a defect liability period
  of five years.Formation of RWA within specified time or 3 months after
  majority of units have been sold.
• Formation
  of RWA within specified time or 3 months after majority of units have been
  sold.
• The
  most positive aspect of this Act is that it provides a unified legal
  regime for the purchase of flats; apartments, etc., and seeks to
  standardise the practice across the country. Below are certain key
  highlights of the Act:

Establishment of
the regulatory authority:

• The
  absence of a proper regulator (like the Securities Exchange Board of India
  for the capital markets) in the real estate sector, was long felt. The Act
  establishes Real Estate Regulatory Authority in each state and union
  territory. Its functions include protection of the interests of the
  stakeholders, accumulating data at a designated repository and creating a
  robust grievance redressal system. To prevent time lags, the authority has
  been mandated to dispose applications within a maximum period of 60 days;
  and the same may be extended only if a reason is recorded for the delay.
  Further, the Real Estate Appellate Authority (REAT) shall be the
  appropriate forum for appeals.
• According
  to the central act, every real estate project (where the total area to be
  developed exceeds 500 sq mtrs or more than 8 apartments is proposed to be
  developed in any phase), must be registered with its respective state’s
  RERA. Existing projects where the completion certificate (CC) or occupancy
  certificate (OC) has not been issued, are also required to comply with the
  registration requirements under the Act. While applying for registration,
  promoters are required to provide detailed information on the project e.g.
  land status, details of the promoter, approvals, schedule of completion,
  etc. Only when registration is completed and other approvals (construction
  related) are in place, can the project be marketed.
• One
  of the primary reasons for delay of projects was that funds collected from
  one project, would invariably be diverted to fund new, different projects.
  To prevent such a diversion, promoters are now required to park 70% of all
  project receivables into a separate reserve account. The proceeds of such
  account can only be used towards land and construction expenses and will
  be required to be certified by a professional.
• After
  the implementation of the Act, home buyers will be able to monitor the
  progress of the project on the RERA website since promoters will be
  required to make periodic submissions to the regulator regarding the
  progress of the project.
• Promoters
  are now required to make a positive warranty on his right title and
  interest on the land, which can be used later against him by the home
  buyer, should any title defect be discovered. Additionally, they are
  required to obtain insurance against the title and construction of the
  projects, proceeds of which shall go to the allottee upon execution of the
  agreement of sale.
• The
  Act prescribes a standard model sale agreement to be entered into between
  promoters and homebuyers. Typically, promoters insert punitive clauses
  against home buyers which penalised them for any default while similar
  defaults by the promoter attracted negligible or no penalty. Such penal
  clauses could well be a thing of the past and home buyers can look forward
  to more balanced agreements in the future.
• To
  ensure that violation of the Act is not taken lightly, stiff monetary
  penalty (up to 10% of the project cost) and imprisonment has been
  prescribed against violators.