Haryana’s real estate regulator declared on Tuesday that it has issued a fresh set of regulations related to the sale of real estate, namely apartments and buildings. As per the newly issued regulations, the price of any real estate project will be calculated on the basis of carpet area. The Gurugam based regulatory authority of Haryana warned that criminal proceedings would be initiated against the promoters of real estate agents who violate these new rules. The sale of a property on a super area basis will be seen as fraudulent and unfair tradecraft on the part of the promoter, according to a statement given by the numero uno Chairman K.K. Khandelwal of Haryana RERA. It has been made clear that the conveyance deed of real estate shall be executed only on the basis of carpet. Using any other basis to compute the value and sale, is clearly illegal now.
Khandelwal did not mince any words while calling out the current market practice of realtors said that, ” The definition of the super area as provided in various builder-buyer agreements is vague and there are wide variations in their definitions. The property in real estate projects is not properly described by way of mentioning the super area without specifically giving details and breakup of the components included in the super area. The practice of the sale of the real estate on a super area basis is misleading, ambiguous, opaque, and gives rise to confusion and complexities and at times results into avoidable litigation.”
Khandelwal also pointed out that before the implementation of RERA, The Real Estate (Regulation and Development) Act in 2016, there was a lack of a legal description of the term ‘carpet area’. This Act has provided specific and concrete definitions of carpet area which now has addressed the vagueness and uncertainty in this regard.
These thoughtful rules have been instituted by the regulatory authority to ensure that the business of real estate in the state of Haryana, be it plot, building, or apartment, is conducted in a transparent and efficient fashion and the rights and interests of consumers in the real estate sector be protected.