Guide to RERA Karnataka

The Real Estate (Regulation and Development) Act, 2016 (RERA) is very much prevalent in Karnataka and plays a significant role in regulating its real estate sector. Here’s a detailed breakdown of its key aspects:

Implementation:

• Came into effect: May 1, 2017
• Regulated by: Karnataka Real Estate Regulatory Authority (K-RERA)
• Website: https://rera.karnataka.gov.in

Objectives:

• Protect Homebuyers’ Interests: Ensure transparency, accountability, and fair play in real estate transactions, safeguarding homebuyers from potential malpractices.
• Regulate the Real Estate Sector: Establish a comprehensive framework for project registration, standardized agreements, and grievance redressal mechanisms.
• Boost Market Confidence: Increase transparency and trust in the sector, attracting investments and promoting healthy growth.

RERA Rules and Regulations in Karnataka

The Real Estate (Regulation and Development) Act, 2016 (RERA) is implemented in Karnataka with its own set of rules and regulations established by the Karnataka Real Estate Regulatory Authority (K-RERA). Here’s a glimpse into some key aspects:

Project Registration:

• Mandatory Registration: Applicable to new and ongoing residential and commercial projects exceeding:
  • 500 sq. m of land area.
  • 8 apartments.
• Registration Process:
  • Developers must submit an online application form with project details, plans, and fees through the K-RERA website.
  • K-RERA scrutinises applications and may request clarifications or additional information.
  • Upon successful verification, a unique registration number is issued.

Sale of Apartments:

• Use of Standardized Agreements: A prescribed format ensures clarity in payment schedules, possession timelines, and consequences for delays.
• Disclosures: Developers are obligated to disclose all relevant information about the project, including carpet area, amenities, approvals, and potential risks.
• Advertisement Regulations: Fair and accurate representation of the project is mandated, focusing on carpet area and approved features.

Rights and Responsibilities:

• Homebuyers’ Rights: Timely possession of property, access to project information, and redressal for grievances through K-RERA.
• Developers’ Obligations: Completion of projects within stipulated timelines, adherence to sanctioned plans, and compliance with RERA regulations.

Dispute Resolution:

• Adjudicating Officer System: Deals with claims up to Rs. 1 crore.
• Appellate Tribunal: Handles claims exceeding Rs. 1 crore.
• Time-Bound Process: Aimed at speedy resolution of disputes between buyers and developers.

Penalties for Violations:

• Financial Penalties: Heavy fines are imposed on developers for non-compliance with RERA regulations.
• Imprisonment: In severe cases, imprisonment can be imposed for offences like misleading information or project abandonment.

Additional Points:

• Recent Developments: K-RERA has mandated registration for leasehold properties, both commercial and residential, irrespective of the size of the project.

RERA Karnataka Registration Process for Promoters (Developers)

Eligibility:

• This applies to developers undertaking new or ongoing residential and commercial projects exceeding:
  • 500 sq. m of land area.
  • 8 apartments.

Steps Involved:

1. Register on the K-RERA Website:
   
   • Visit the K-RERA website: https://rera.karnataka.gov.in
   • Click on “Registration” and select “Promoter/Project”.
   • Create an account and fill in the required details.
2. Project Registration:
   
   • Choose “New Registration” and enter project details (name, location, area, number of units).
   • Upload necessary documents as per the K-RERA checklist (available on the website).
3. Payment of Fees:
   
   • Pay the registration fees online through the K-RERA website. The fees vary based on project size and location. You can use a fee calculator available on the website to estimate the charges.
4. Scrutiny and Approval:
   
   • K-RERA authorities will review the application and documents.
   • You may be required to provide clarifications or additional information if needed.
5. Registration Confirmation:
   
   • Upon successful verification, K-RERA will issue a unique registration number for your project.

Required Documents:

• Promoter/Company registration documents (e.g., Certificate of Incorporation, MOA, AOA)
• Identity and address proof of directors/promoters (PAN card, passport-sized photographs)
• Land ownership documents with clear titles (sale deed, title clearance certificate)
• Approved layout plans, building plans, and other necessary approvals
• Technical feasibility reports and architect certificates
• Latest audited financial statements (if applicable)
• Sale agreement and allotment letter formats
• Experience and expertise details of the developer
• Self-declaration of compliance with RERA regulations

Additional Notes:

• The process can generally take around 30-45 days.
• It’s recommended to consult with a lawyer specializing in real estate matters for guidance throughout the registration process.
• Ensure all documents are complete and accurate to avoid delays.

RERA Karnataka registration process for Agents

Preparation:

• Documents: Gather the necessary documents, including:
  • PAN card (self-attested copy)
  • Aadhaar card (self-attested copy)
  • Passport-sized photograph
  • Proof of Karnataka residence (like voter ID, passport, or bank statement)
  • Affidavit on Rs. 100 stamp paper stating you haven’t been convicted of any offence related to dishonesty or fraud
  • If applicable, registration proof for companies/partnerships/firms
• Fees: Have Rs. 25,000 ready for the registration fee (individual agents) or Rs. 2,00,000 (Rs. 2 lakh) for companies/firms/societies.

Online Registration:

1. Visit the Website: Access the RERA Karnataka website: https://rera.karnataka.gov.in
   
2. Register or Login: If you’re a new user, create an account by following the on-screen instructions. Existing users can log in with their credentials.
   
3. Initiate Agent Registration: Locate the section for “Agent Registration” or “New Agent Registration.”
   
4. Fill Out the Application Form: The online form will require details like:
   • Personal information
   • Contact details
   • Educational qualifications (if applicable)
   • Experience details (if applicable)
5. Upload Documents: Attach scanned copies of all the documents you gathered in Step 1.
   
6. Fee Payment: Pay the registration fee online using a debit card, credit card, or net banking.
   
7. Submit the Application: Once you’ve reviewed everything for accuracy, submit the online application electronically.
   

After Submission:

• You’ll likely receive an acknowledgement number or reference number upon successful submission.
• The RERA Karnataka website might allow you to track the application status using the reference number.

How to check the status of RERA-registered projects in Karnataka

Method 1: Using the K-RERA Website:

1. Visit the Karnataka Real Estate Regulatory Authority (K-RERA) website: https://rera.karnataka.gov.in
2. Click on “Project Status” on the homepage.
3. You can search for projects by various criteria, including:
   • Project name
   • Registration number
   • Promoter name
   • Location (if available)
4. Enter your desired search term(s) in the relevant field(s).
5. Click on “Search.
6. The search results will display a list of projects matching your criteria.
7. Click on the project name to view detailed information, including:
   • Registration status (registered, under process, etc.)
   • Project details (name, location, area, type)
   • Promoter information
   • Latest updates and financial statements

Method 2: Contacting K-RERA:

• You can contact the K-RERA authority directly through their website or by phone. However, their response may be limited to information available publicly on the website.

Important Points:

• The information on the K-RERA website might not be updated in real-time.
• For the most recent status, it’s advisable to contact the developer or visit the project site.
• While the information provided is generally reliable, it’s always recommended to consult with the developer or relevant authorities for the most up-to-date and accurate information about a specific project’s status.

RERA Karnataka Office Address

Real Estate Regulatory Authority Karnataka, 2nd floor, Silver Jubli Block, Unity Building, CSI Compound, 3rd Cross, Mission Road, Bengaluru, Karnataka-560027

Telephone: 080 – 22249798/22249799

Email ID: info.rera@karnataka.gov.in 

Filing a Complaint Online with RERA Karnataka

Facing issues with a real estate project in Karnataka? You can file a complaint electronically on the RERA Karnataka website. Here’s a simplified guide:

1. Head to the RERA Karnataka Website: Visit https://rera.karnataka.gov.in and click on “Register Complaint”.
   
2. Login or Register: Existing users can log in with their credentials. If you’re new to the system, create an account by following the on-screen instructions.
   
3. File Your Complaint: Once logged in, navigate to the section for “File a Complaint” or “New Complaint Registration”.
   

Fill out the Online Form:

• Complainant Details: Provide your information.
• Respondent Details: Include details of the developer or builder you’re filing against.
• Complaint Description: Clearly explain the issue you’re facing. Be specific and factual.
• Relief Sought: Describe the outcome you’re seeking from RERA’s intervention.
• Supporting Documents: Upload scanned copies of documents that strengthen your case (agreements, emails, payment receipts, etc.)

Submit and Pay the Fee:

• Once you’ve reviewed everything for accuracy, submit the online complaint form electronically.
• You’ll need to pay a Rs. 1,000 fee using online payment methods like debit card, credit card, or net banking.

4. Track Your Complaint: Upon successful submission, you’ll receive a reference number or acknowledgement number. Use this number to track the progress of your complaint by logging into the RERA Karnataka website.

RERA-Karnataka Forms for Buyers, Developers and Agents

Forms for Buyers:

APPEAL TO APPELLATE TRIBUNAL FORM – R	Click Here
COMPLAINT TO REGULATORY AUTHORITY FORM – N	Click Here
APPLICATION TO ADJUDICATING OFFICER FORM – O	Click Here

Forms for Agents:

APPLICATION FOR REGISTRATION OF REAL ESTATE AGENT FORM – G	Click Here
REGISTRATION CERTIFICATE OF REAL ESTATE AGENT FORM- H	Click Here
INTIMATION OF REJECTION OF APPLICATION FOR REGISTRATION OF REAL ESTATE AGENT / REJECTION OF APPLICATION FOR RENEWAL OF REGISTRATION OF REAL ESTATE AGENT / REVOCATION OF REGISTRATION OF REAL ESTATE AGENT FORM – I	Click Here
APPLICATION FOR RENEWAL OF REGISTRATION OF REAL ESTATE AGENT FORM – J	Click Here
RENEWAL OF REGISTRATION OF REAL ESTATE AGENT FORM – K	Click Here
APPEAL TO APPELLATE TRIBUNAL FORM – R	Click Here
COMPLAINT TO REGULATORY AUTHORITY FORM – N	Click Here
APPLICATION TO ADJUDICATING OFFICER FORM – O	Click Here

Form for Developers:

APPLICATION FOR REGISTRATION OF PROJECT FORM – A	Click Here
DECLARATION  FORM – B	Click Here
REGISTRATION CERTIFICATE OF PROJECT – C	Click Here
INTIMATION OF REJECTION FORM – D	Click Here
APPLICATION FOR EXTENSION OF REGISTRATION FORM – E	Click Here
CERTIFICATE FOR EXTENSION OF REGISTRATION FORM – F	Click Here

The eligibility criteria for developers seeking RERA registration in Karnataka

Project Applicability:

• Registration is mandatory for new and ongoing residential and commercial projects exceeding:
  • 500 sq. m of land area.
  • 8 apartments.

Developer Eligibility:

• Legal Entity: Any individual, company, partnership firm, or society engaged in the promotion or development of real estate projects can apply.
• Clean Track Record: Developers should not have a history of convictions for offences related to:
  • Real estate projects
  • Unfair trade practices

This information is verified through self-declaration and scrutiny by K-RERA authorities.

• Financial Stability: While not a mandatory requirement, developers may be asked to demonstrate financial stability to ensure project completion. This could involve submitting audited financial statements or proof of funds.

Additional Considerations:

• Developers must comply with all applicable laws and regulations related to real estate development in Karnataka.
• They should possess the necessary technical expertise and experience to undertake the project successfully.

Recent Addition:

• Registration is now mandatory for leasehold properties (both commercial and residential), irrespective of the size of the project.

The Cost of RERA Registration in Karnataka

RERA Karnataka Project Registration Fees by Project Type

The RERA Karnataka registration fee for developers depends on the type and size of the project being developed. Here’s a breakdown:

Group Housing Projects:

• Land area not exceeding 1,000 sq. m.: Rs. 5 per sq. m.
• Land area exceeding 1,000 sq. m.: Rs. 10 per sq. m. (with a maximum fee of Rs. 5 lakh)

Mixed Development Projects (Commercial & Residential):

• Land area not exceeding 1,000 sq. m.: Rs. 10 per sq. m.
• Land area exceeding 1,000 sq. m.: Rs. 15 per sq. m. (with a maximum fee of Rs. 10 lakh)

Commercial Projects:

• Land area not exceeding 1,000 sq. m.: Rs. 20 per sq. m.
• Land area exceeding 1,000 sq. m.: Rs. 25 per sq. m. (with a maximum fee of Rs. 10 lakh)

Important Points:

• You can find a registration fee calculator on the K-RERA website (https://rera.karnataka.gov.in) to estimate the charges applicable to your project based on its specific details.
• The fees must be paid online through the K-RERA website during the application process.

Documents Required for RERA Karnataka Registration

For Developers (Project Registration):

• Company Documents:
  
  • Balance Sheet (for the last 3 years)
  • Audited Profit and Loss Statement (for the last 3 years)
  • Directors’ Report (for the last 3 years)
  • Cash Flow Statement (for the last 3 years)
  • Auditor Report
  • Income Tax Return Acknowledgement
  • PAN Card
• Project Land Details:
  
  • Encumbrance Certificate
  • Commencement Certificate
  • Approved Building/Plotting Plan
  • Approved Layout Plan
  • Khatha (Land record document)
  • Collaboration agreement /development agreement/Joint development agreement /other agreement (if applicable)
• Project Details:
  
  • Proforma of the agreement for sale
  • Sale Deed & RTC (Registration Transfer Certificate)
  • Approved Section of building/Infrastructure Plan of plotting
  • Area Development Plan of project area
  • Proforma of Allotment Letter
  • Brochure of the current project
  • Proforma of the sale deed
  • Project Specification
• Other Mandatory Documents:
  
  • Declaration (Form B)
  • Any other document proving rights/title/interest in the land (if applicable)
  • Approvals/NOCs from relevant authorities (may vary depending on project specifics) – These might include:
    • Approval /NOC under sec 109 of KLR Act 1961
    • Conversion certificate under sec 95 of KLR Act 1961
    • Approval /NOC under sec 14 of KTCP Act
    • Fire Force Department NOC
    • Airport Authority of India NOC
    • BESCOM NOC (electricity board)
    • BWSSB NOC (water board)
    • KSPCB NOC (pollution control board)
    • SEIAA NOC (environmental impact assessment)
    • BSNL NOC (telecommunications)
    • Lift Authorities certificate
    • District Magistrate approval (if applicable)
    • Coastal Regulation Zone Authority NOC (if applicable)
    • Certificate from Registered Engineer indicating structural safety of the building (if applicable)

For Real Estate Agents:

• Completed online application form
• PAN Card (self-attested copy)
• Address proof (Aadhaar card, Voter ID, etc.)
• Passport-sized photograph
• Educational qualification certificates (if any)
• Experience certificates in the real estate sector (if any)
• Details of any past disciplinary actions or criminal cases (if applicable)
• In the case of firms/companies:
  • Copy of Memorandum of Association (MOA) and Articles of Association (AOA)
  • Proof of company registration

Conclusion

In conclusion, RERA in Karnataka, governed by K-RERA, ensures transparency, accountability, and fairness in the real estate sector. Mandatory project registration, standardized agreements, escrow account security, and a robust dispute resolution mechanism bolster trust and protect both developers and homebuyers. This framework fosters a trustworthy and efficient real estate ecosystem, enhancing market confidence in Karnataka.

Frequently Asked Questions about RERA in Karnataka

Q1. What is RERA, and how does it impact the real estate sector in Karnataka?

Ans1. RERA, or the Real Estate (Regulation and Development) Act, 2016, is a significant regulatory framework governing the real estate sector in Karnataka. It aims to ensure transparency, accountability, and fair play in real estate transactions, thereby safeguarding the interests of homebuyers.

Q2. How does RERA in Karnataka protect the interests of homebuyers?

Ans2. RERA in Karnataka protects homebuyers by mandating project registration, standardizing agreements, ensuring escrow account security, facilitating faster dispute resolution, and imposing strict penalties for violations. These measures promote transparency and accountability in the real estate sector, ultimately benefiting homebuyers.

Q3. What are the key features of RERA in Karnataka?

Ans3. The key features of RERA in Karnataka include mandatory project registration, standardized agreements, escrow account security, faster dispute resolution mechanisms, and strict penalties for violations. These features aim to regulate the real estate sector and protect the interests of both developers and homebuyers.

Q4. Who needs to register their projects under RERA in Karnataka, and what are the criteria for registration?

Ans4. Developers of new and ongoing residential and commercial projects exceeding 500 sq.m of land area or 8 apartments must register their projects under RERA in Karnataka. This registration requirement ensures transparency and provides essential project details to potential buyers.

Q5. What are the penalties for non-compliance with RERA regulations in Karnataka?

Ans5. Developers in Karnataka face strict penalties for non-compliance with RERA regulations, including fines and imprisonment for offences such as project delays, providing misleading information, or failing to meet obligations. These penalties promote responsible practices and protect buyer interests.

Q6. How can homebuyers verify the RERA registration status of projects in Karnataka?

Ans6. Homebuyers can verify the RERA registration status of projects in Karnataka through the Karnataka Real Estate Regulatory Authority (K-RERA) website. They can search for projects by name, registration number, promoter name, or location to access detailed information about project status and promoter details.

Q7. What is the registration process for developers under RERA in Karnataka?

Ans7. The registration process for developers under RERA in Karnataka involves creating an account on the K-RERA website, submitting project details and necessary documents, paying registration fees, scrutiny and approval by K-RERA authorities, and receiving a unique registration number upon verification.

Q8. What documents are required for RERA registration in Karnataka?

Ans8. Documents required for RERA registration in Karnataka include company registration documents, identity proofs of directors, land ownership documents, project approvals, technical reports and certificates, financial documents, standardized agreement formats, and additional documents as per K-RERA requirements.

Q9. What are the eligibility criteria for developers seeking RERA registration in Karnataka?

Ans9. Developers seeking RERA registration in Karnataka must be legal entities engaged in real estate projects, have a clean track record, and meet financial stability requirements. They must comply with all applicable laws and possess the necessary expertise to undertake the project successfully.

Q10. What is the cost associated with RERA registration in Karnataka?

Ans10. The cost associated with RERA registration in Karnataka varies based on project size and type. Registration fees range from Rs. 10,000 to Rs. 1 lakh for apartment projects and Rs. 5 per square meter up to a maximum of Rs. 5 lakh for plotted development projects. Additional fees may apply for late renewal or withdrawal.

Q11. How does RERA facilitate dispute resolution between buyers and developers in Karnataka?

Ans11. RERA facilitates dispute resolution between buyers and developers in Karnataka through mechanisms such as adjudicating officer systems and appellate tribunals. These systems aim for faster and more efficient resolution of disputes, ensuring fair treatment and protecting the interests of both parties.

Q12. Are there any recent developments or additions to RERA regulations in Karnataka?

Ans12. Yes, recent developments in RERA regulations in Karnataka include mandatory registration for leasehold properties and ongoing efforts to streamline the registration process and enhance consumer protection measures. Homebuyers and developers should stay updated on these developments for compliance and benefit.

Q13. Where can I find more information and resources about RERA in Karnataka?

Ans13. More information and resources about RERA in Karnataka are available on the Karnataka Real Estate Regulatory Authority (K-RERA) website, including FAQs, rules, regulations, and contact details. Homebuyers and developers can refer to these resources for guidance and assistance.

Q14. How can I contact the Karnataka Real Estate Regulatory Authority (K-RERA) for assistance or inquiries?

Ans14. You can contact the Karnataka Real Estate Regulatory Authority (K-RERA) for assistance or inquiries through their website or helpline. Their contact details, including phone numbers and email addresses, are available on the K-RERA website for easy access.

Q15. What are the benefits of RERA registration for both developers and homebuyers in Karnataka?

Ans15. The benefits of RERA registration for both developers and homebuyers in Karnataka include increased transparency, enhanced accountability, faster dispute resolution, boosted market confidence, and improved consumer protection measures. RERA promotes a fair and trustworthy real estate sector, benefiting all stakeholders.