RERA rules property buyers in Delhi must know
Source : liyans

The Real Estate (Regulation and Development) Act [RERA] as it commonly called is one of the reforms introduced by the Narendra Modi-led Union Government in the year 2016. The formation of this rule has bought transparency in the Indian real estate sector and has also made the developers accountable. Hence, the homebuyers need not worry as the delay in possession and other issue related to homebuying are surely going to be fixed as the RERA penalties in every state is there to help.

So, here in this post, we are letting you know about the RERA penalties listed by the various Indian States. But before jumping onto the punishments here is the brief look at what are the factors that can make a developer penalized.

Project Registration:

The developers across the country were mandated to get themselves registered under RERA for the ongoing projects by 31st July 2017. Many of the realtors got themselves enrolled with the authority within the said deadline but some didn’t turn up for the same process. However, delay in the launch of RERA portal by states was also one of the reasons but the States likes Maharashtra, Gujarat and Uttar Pradesh sought stringent action against the developers who failed to get themselves registered under the Act.

Inception of Punishment:

This strict action against the builders for not following the rule gave birth to the RERA penalties and every state has their own set of rules to accord punishment.

Here are the RERA penalties framed by different states:


After getting launched on 01st August 2018, the Telangana Real Estate Regulatory Authority [Telangana RERA] gave a breather to the developers by extending the registration deadline till 30th April 2019. However, the developer had to follow the clause according to which the submission of Rs. 3 lakhs as penalty was necessary to obtain the registration number. Prior to this, the authority framed a stringent penalty of Rs. 2 lakhs on the projects registration till 30th March 2019.

The Telangana RERA implied a penalty of Rs. 50,000 on project registration by the developers for ongoing projects till mid-December.


The Rajasthan Real Estate Regulatory Authority (Rajasthan RERA) renewed the penalty from 01st October. The authority raised the penalty of 2 percent to 10 percent for the non-registered real estate projects in the state.

Prior to this, the authority framed the penalty under which the developer/builder had to pay either 2 percent of the project value or 10 times the registration fee whichever is higher. The penalty implied on the developers who register projects post 31st August till 30th September 2017.

The Rajasthan RERA came into existence on 1st May 2017.


Established in July 2017, the Karnataka RERA took the decision that any developer/agent selling or advertising project without getting the same registered will be penalized for Rs. 10,000 on daily basis or will be charged for 10 percent of the project value else has to face three years of imprisonment.

Uttar Pradesh

The UP Government gave deadline an extension to get the projects registered under the act till 15th August 2017. However, the authority penalized the developers/ builders to get them registered under the act from 16th August onwards.

The developers were implied to pay a penalty of 1 percent of the project value in case they are registering projects till 31st August 2017.

The developer was framed to be charged with 5 percent of the project value till 15th September 2017 in case of project registration failure with UPRERA post 31st August.

A penalty of 10 percent was framed for the developers registering with the UPRERA from 16th to 31st September 2017.

The UPRERA was incepted soon after the formulation of the RERA Act.


The Maharashtra Real Estate Regulatory Authority [MahaRERA] came into existence in March 2017 and took the decision to double the penalty on the developers for registering the ongoing projects under the Act between 1st to 30th September. A developer has to fulfill the penalty of Rs. 2 lakh or an amount equal to double the property registration whichever is higher for applying under the said tenure.

Prior to this, the MahaRERA announced that either Rs. 1 lakh or an amount equal to the property registration fee has to be paid by the developer for getting the ongoing projects registered under the Act between the period of 16th-31st August 2017.


After launching the GoaRERA portal in January 2018, the developers had to face zero penalty on project registration till 23rd March 2018, but the Goa Real Estate Regulatory Authority framed a penalty of Rs. 1 lakh on the developers for registering projects till 30th April 2018 after which it was hiked to Rs. 2 lakh was imposed for project registration till 1st July and finally the penalty was increased to Rs. 3 lakhs for registering projects between 2nd July and 1st October 2018.

The increasing penalty was the decision taken while considering the huge number of developers who were not getting registered under the RERA Act.

A penalty is the subject matter of each state and the decision on the same can be taken while considering the number of project registrations. Also, the penalty can be hiked or slashed according to the response authority receives from the developers.