The Karnataka State Government is in a bit of dithering position, on the issuance of notification for the Agreement of Sale (AoS), which is the most important aspect of the Real Estate (Regulation and Development) Act as it secures the home buyers consumer rights.
In November, UT Khader, the State Housing minister signed the draft AoS [Agreement of Sale] and the Karnataka Real Estate Regulatory Authority assured to implement the clause with immediate effect. But, the procedure is running behind the schedule which had felt both the home buyers and the real estate sector heartbroken.
According to the Officials, the process to notify the Agreement of Sale is getting delayed as the Government is waiting for the approval of the draft in the cabinet. The sources also said that the cabinet meeting was held twice after the minister signed AoS draft but the subject didn’t came up for the discussion.
Some experts said that, within the rules, the Government can notify the draft directly without waiting for the approval of the cabinet council. The rules say that an approval from the cabinet is required if the draft has some amendments in regard with clause or sections.
The Agreement of Sale draft empowers home buyers to take over the project soon after forming an association if in case the developer fails to complete the project.
Suresh Hari, vice-president, Confederation of Real Estate Developers Association of India in Bengaluru said that similar to the home buyers, the developers are also looking forward to the issuance of the notification on AoS as it will make life comfortable.
The notification on AoS was issued by the Centre at the time of passing the Act in March 2017. It is said that the Karnataka state should have adopted the Agreement of Sale clause on the same day it implemented the RERA Act on July 7, 2017.