In order to save home buyers from fraud developers, the Uttar Pradesh Real Estate Regulatory Authority (UP RERA) has decided to rate developers based on their past their track record with reference to completing the projects on time. According to officials, this rating system will provide all the information related to builders and developers beforehand on a single platform, hence saving them from such fraudulent.
The decision took place in a recent meeting between authority chairman Rajive Kumar and member Kalpana Mishra along with Balvinder Kumar and Bhanu Pratap Singh at Greater Noida Regional Office.
Elaborating on the above, Balvinder Kumar, UP RERA member said, “We have decided to start rating system from 1 to 5 stars, depending on the past performance of the builders. We will provide information about builder’s financial position and its failed projects to the prospective buyers. This will enable homebuyers to make a proper selection of the property,”
Many homebuyers have registered their complaints with RERA in Noida and Greater Noida related to housing projects fraud. More than 3000 complaints are still unheard for which the process is ongoing.
Kumar further said that as per RERA norms, a builder has to submit the progress report of the project, every quarter. Due to shortage of staff, physical verification of all such reports is not possible. “The authority has now decided to hire a private agency which will check the housing projects to corroborate the quarterly reports filed by builders registered with us. This way, we will be able to monitor the projects in a proper manner.” Kumar added.
Kumar has also directed RERA officials to identify housing projects whose completion period as per records has been over and seek updates from the developers. The private agency will also monitor the escrow accounts of the builders and try to ensure that the funds are not diverted to other projects.
Due to maximum number of complaints from the Noida/Greater Noida homebuyers, the UP RERA has started its western bench in September.