10 ways the Rera Act affects realtors

Promoters must mandatorily deposit 70% of unused fund collected for project in separate bank account

Karan Choudhury 

Separate accounts for each project Rera makes it mandatory for the promoters to deposit 70 per cent of the unused fund collected for a project in a separate bank account. Such funds can only be used for the purposes of construction and land cost  Required to pay compensation Developers are required to refund or pay compensation to the allottees with an interest rate of State Bank of India’s highest marginal cost of lending rate plus two per cent,  within 45 days of it becoming due. Interest rates are expected to range anywhere around 11-12 per ...

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10 ways the Rera Act affects realtors

Promoters must mandatorily deposit 70% of unused fund collected for project in separate bank account

Promoters must mandatorily deposit 70% of unused fund collected for project in separate bank account Separate accounts for each project Rera makes it mandatory for the promoters to deposit 70 per cent of the unused fund collected for a project in a separate bank account. Such funds can only be used for the purposes of construction and land cost  Required to pay compensation Developers are required to refund or pay compensation to the allottees with an interest rate of State Bank of India’s highest marginal cost of lending rate plus two per cent,  within 45 days of it becoming due. Interest rates are expected to range anywhere around 11-12 per ... image
Business Standard
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