Premium

Homebuyers fear Maharashtra’s RERA-like law could undermine central Act, set precedent for other states

The comments come just months after Prime Minister Narendra Modi told all states to register all eligible real estate projects under the Act and monitor the grievances of homebuyers.

As per the Ministry, so far, 1,51,113 projects and 1,06,545 real estate agents have been registered under RERA and 1,47,383 complaints disposed of by the RERAs in states.

Raising concerns that it could set a precedent for other states, a homebuyers’ representative and council member on Thursday told the Real Estate Regulatory Authority (RERA) Central Advisory Council that Maharashtra’s proposal for a RERA-like law for redevelopment projects could undermine the central Act.

The council, established under the Real Estate (Regulation and Development) Act, 2016, held its fifth meeting in New Delhi on Thursday. Union Housing and Urban Affairs Minister Manohar Lal, who chaired the meeting, launched a unified portal for all states’ RERAs. The minister said the priority was to ensure “faster resolution of homebuyers’ grievances and revival of stalled projects so that trust between buyers and developers is further strengthened”, according to a ministry statement.

The comments come just months after Prime Minister Narendra Modi told all states to register all eligible real estate projects under the Act and monitor the grievances of homebuyers.

A member of the council and president of the Forum for People’s Collective Efforts, a homebuyers’ body, Abhay Upadhyay, raised the issue of Maharashtra’s Housing Policy 2025 that proposes a RERA-like law for redevelopment projects.

In his written submission, Upadhyay said the new law could undermine RERA’s uniform framework and cause confusion as mixed projects that have both new and redeveloped parts would have dual coverage.

“It could lead to forum shopping as builders may prefer a state law over RERA registration,” he said, adding that it could set a precedent for other states.

He pointed out that West Bengal’s version of RERA, the West Bengal Housing Industry Regulation Act, 2017, was in 2021 quashed by the Supreme Court, which found that it was attempting to create a parallel regime.

Story continues below this ad

According to Ministry officials, the proposed Maharashtra law would only cover the redevelopment projects and in any case of contradiction, the central Act would prevail.

As per the Ministry, so far, 1,51,113 projects and 1,06,545 real estate agents have been registered under RERA and 1,47,383 complaints disposed of by the RERAs in states.

The council recommended that there was a need for “next generation reforms in RERA”, as per the statement. “A detailed exercise may be conducted by the Ministry of Housing and Urban Affairs to work out the necessary measures to further strengthen RERA and also to develop the real estate sector in consultation with the stakeholders,” it said.

Damini Nath

Damini Nath is an Assistant Editor with the national bureau of The Indian Express. She covers the housing and urban affairs and Election Commission beats. She has 11 years of experience as a reporter and sub-editor. Before joining The Indian Express in 2022, she was a reporter with The Hindu’s national bureau covering culture, social justice, housing and urban affairs and the Election Commission. Expertise Key Coverage Areas: Damini Nath currently specializes in reporting on two crucial beats: Housing and Urban Affairs: Providing in-depth analysis and reporting on India's urban development, policy, and housing issues. Election Commission (EC): Offering authoritative coverage of electoral processes, policies, and the functioning of India's constitutional body responsible for conducting elections. Professional Background: Her extensive experience includes roles as a reporter and sub-editor, demonstrating a comprehensive understanding of the journalistic process from fieldwork to final production. Previous Role: Before joining The Indian Express in 2022, she served as a dedicated reporter with The Hindu’s national bureau, where her reporting portfolio included: Culture Social Justice Housing and Urban Affairs The Election Commission beat (a consistent area of focus). Trustworthiness Damini Nath's decade-plus career at two of India's most respected and authoritative news institutions, The Indian Express and The Hindu, underscores her commitment to factual, impartial, and high-quality reporting, establishing her as a trusted and credible source for news on urban governance and electoral matters. ... Read More

Stay updated with the latest - Click here to follow us on Instagram

Tags:
RERA