Developers to Deposit 70% of Project Cost in Separate Account
Union Cabinet chaired by Prime Minister Narendra Modi approved several amendments to the Real Estate (Regulation and Development) Bill, 2015 aimed to protect the interests of buyers while at the same time promoting investments in the sector.
Dec 10, 2015
Source : NDTV PROFIT

 

New Delhi: The government on Wednesday reached out to the Opposition including the Congress by agreeing to incorporate in the Real Estate (Regulation and Development) Bill 2015, a provision requiring real estate developers to deposit 70 per cent of the project cost in a separate escrow account.

Congress and CPI(M) have demanded this provision specifically to be included in the proposed Bill.

Union Cabinet chaired by Prime Minister Narendra Modi approved several amendments to the Real Estate (Regulation and Development) Bill, 2015 aimed to protect the interests of buyers while at the same time promoting investments in the sector.

According to a senior Urban Development Ministry official, the government has gone beyond the recommendations of the Select Committee of Rajya Sabha which has recommended minimum 50 per cent of sale proceeds to be deposited in a separate escrow account.

The decision of cabinet today has significantly improved the prospects of the Real Estate (Regulation and Development) Bill 2015 being passed in the current session.

There are several changes in the Bill based on the recommendations of the Select Committee of Rajya Sabha that has examined the Bill pending in Rajya Sabha and the official amendments proposed earlier.

The Bill provides uniform regulatory environment to ensure speedy adjudication of disputes and orderly growth of the real estate sector. It will boost domestic and foreign investment in the real estate sector and help achieve the objective of the government to provide 'Housing for All' by enhanced private participation.

The amendments piloted by the Housing and Urban Poverty Alleviation Minister M Venkaiah Naidu include mandatory registration with Real Estate Regulatory Authorities of projects of 500 sq mt area or 8 flats instead of 1,000 sq mt or 12 flats proposed earlier.

This enables registration of more projects with the regulatory authority thereby protecting buyers.

The Real Estate (Regulation and Development) Bill is a pioneering initiative to protect the interest of consumers, promote fair play in real estate transactions and to ensure timely execution of projects.

Latest Realty News

Pay-Rs-20K-or-face-3-year-jail:-Forum-to-real-estate-firm-bosses
Dec 10, 2015
CHANDIGARH: The District Consumer Disputes Redressal Forum has fined managing director Udey Raj Singh Brar and director Amarjit Singh of real estate firm UK Homes with Rs 10,000 each, holding them guilty of non-compliance of orders to refund more than Rs 4.50 lakh to a complainant. They would face imprisonment of three years if they failed to comply with the orders, the forum ordered.
Cabinet-Okays-Changes-in-Real-Estate-Bill-to-Protect-Home-Buyers
Dec 10, 2015
New Delhi: The Union Cabinet on Wednesday approved the Real Estate (Regulation and Development) Bill, 2015 which will now be taken up for consideration by the Parliament. Chaired by Prime Minister Narendra Modi, the Cabinet gave the nod to the Real Estate (Regulation and Development) Bill, an initiative to protect the interest of consumers, promote fair play in real estate transactions and to ensure timely execution of projects.
Housing-Prices-Down-15-20%,-No-Scope-for-Further-Cut:-Industry-Body
Dec 10, 2015
New Delhi: Housing prices have fallen by an average 15-20 per cent across the country in last 18 months and there is no scope for further reduction, realtors' apex body CREDAI said on Wednesday.
Maha-govt's-realty-projects-approvals-ease-to-help-make-housing-affordable:-JLL-India-
Dec 09, 2015
MUMBAI: The Maharashtra government's efforts towards reducing the number of approvals needed for a realty project is expected to make private housing relatively affordable. The move is also expected to ease developers' cash flow issues as approvals for their projects will be faster, said JLL India in a report.
Hyderabad-most-affordable-metro-for-homes-
Dec 09, 2015
NEW DELHI: Hyderabad remains the most affordable metro for home buyers, followed by Ahmedabad and Kolkata.
Real-estate-brokers-might-have-sabotaged-city’s-master-plan
Dec 08, 2015
THIRUVANANTHAPURAM: Local protests solely might not have derailed the master plan of city corporation.
Godrej-Properties-sells-300-apartments-within-a-week-
Dec 07, 2015
MUMBAI: Godrej Properties, the real estate development arm of the Godrej Group, has sold 300 apartments within one week at its newly launched project The Trees at Mumbai's Vikhroli suburb, the company said in a statement.
Govt-to-push-for-passage-of-GST,-real-estate-bills-next-week
Dec 05, 2015
NEW DELHI: With repeated disruptions in second week of the winter session putting its legislative agenda on the back burner, the government has proposed heavy business in both Houses of Parliament next week, listing key legislation like GST and Real Estate bills for consideration and passage.
CREDAI-Odisha-to-organize-Mega-Property-Expo-in-Jan-2016
Dec 05, 2015
Bhubaneswar, Dec. 4: The Odisha chapter of the Confederation of Real Estate Developers' Association India (Credai) is also planning to use social and digital media to sale properties.
Chennai-floods:-Real-estate-one-of-the-worst-hit-businesses-
Dec 05, 2015
BENGALURU | MUMBAI | NEW DELHI: It's still too early to count the losses from the unprecedented floods and torrential rains in Chennai that have impacted people from all walks of life, but one of the worst hit businesses clearly is real estate.

Latest Realty News Of State

Realty Talk's