Benefits of Buying RERA Registered flats in Kannur

Kannur is a beautiful coastal city in Kerala, and famed for its natural beauty and ancient places of worship. The IT industry is also emerging in a big way in the city, attracting more people here in search of their fortune in employment and entrepreneurship. This tells you why Kannur is becoming a popular destination for residential flats. 

The real estate industry is highly competitive, and Builders in Kannur are vying for customer attention. To regulate this competition and to ensure fairness to homeowners, the government passed the RERA Act, or Real Estate Regulation and Development Act, in 2016. This regulatory authority works to ensure that developers follow the norms they set. Full disclosure, timely project completion, preventing misuse of funds, preventing deviation from the original plan, and preventing misleading practices by builders are some of RERA’s important objectives. To ensure that buyers’ funds are utilized only for the purpose for which they intended, developers are required to open separate escrow accounts for every project, withdrawing the funds only for that specific project.

Let us see how the Benefits of Buying RERA Registered flats for homeowners:

Builders are held liable for structural defects.

RERA has the authority to hold the builder liable for all structural defects in a building that may cause physical or financial harm to the homeowners. On completion of a project, RERA observes them for a specific period to check for structural issues. If they detect any, RERA mandates developers to rectify the defects so that buyers don’t incur unnecessary expenses.

Builders have to make a complete disclosure.

Developers are mandated to make complete disclosure regarding all relevant details of the project, like the land, approvals, progress of the construction, and so on. They are also required to create and maintain a website for displaying all relevant project information, like funds collected and spent, and the construction status of their flats in Kannur.

Financial security with an escrow account

RERA has made it mandatory for builders to put a percentage of funds in an escrow account, with a separate account for each project. The funds in each account can only be used for the construction-related activities of that specific project. This helps to ensure that sufficient funds are available to complete the project within the promised timeline. It also helps prevent misuse of funds and avoids further delays.

Greater clarity on carpet area and pricing

RERA insists on the sale of property based only on the carpet area, and not on the super built-up area. Thanks to this rule, buyers can easily compare prices and properties, and they know exactly how much space they are getting for what they are paying. Customers can buy a property that is within their budget while giving them the space they need. This is one of the most significant tips and insights for first-time home buyers in Kannur; always verify that you are paying for the carpet area and not built-up space.

Protects buyers against false advertisements

As builders have to make a full disclosure and provide information that can be verified, they cannot indulge in false advertising and make tall claims to attract buyers. In fact, they can be sued if they make false claims and fail to remedy the misinformation they spread. This helps build trust in the minds of buyers.

What is the Importance of RERA Approval?

You must have understood how important it is for builders to get RERA approval; it becomes a symbol of authenticity and trust. Customers who are well-informed will always prefer to buy a house in a project that is approved by RERA. Let’s understand the importance of approval along with benefits of buying RERA registered flats.

RERA offers protection to consumers

A RERA-approved project means that it meets well-defined standards of quality and protects buyers from unscrupulous builders and defective construction.

Access to Information

RERA makes it mandatory for builders to make full disclosure about the project, including layout, blueprints, financials, timeline, developer details, legal approvals, and so on. Buyers can make informed and more profitable decisions. 

Timely Delivery

The stringent project completion timelines provided by RERA minimizes the risk of delays in completion. Developers are required to compensate customers for delays, thereby ensuring timely delivery to homeowners. 

Dispute Resolution Mechanism

Thanks to RERA, there is an excellent mechanism to address and resolve disputes, via an established system of appellate tribunals and officers. In this manner, conflicts between buyers and developers can be settled quickly.

Approval Criteria for RERA Projects

• Builders must register their projects with the RERA authority of the respective state and furnish details like timeline, project status, financials, layout plans, legal approvals, etc.
• Builders must prove that they are financially stable and capable of completing the project; they must disclose that they have the resources for project completion.
• Developers must comply with local building regulations and attain the required NOCs and permits from the relevant authorities.
• To ensure consideration of buyer interest, builders must obtain the consent of a specific percentage of buyers before applying for approval.
• It is mandatory to deposit a percentage of project funds into a separate escrow account to ensure that funds are utilised for that project.
• Buyer grievances must be resolved in a timely manner.

Conclusion

You can see why RERA approval is important and what benefits it brings you. As a homeowner, your interests are well protected by this Act. Are you looking for a guide to choosing the perfect flat in Kannur? You have come to the right place! PVS Builders has premium 2 and 3 BHK flats for you in the most desirable localities in Kannur; all flats are well-designed and feature superior construction. Our dealings are transparent, and we ensure that our buyers can take possession in the promised time. Over and above everything, all PVS Builders projects are RERA-approved, so you can confidently go ahead and buy a flat from us.