Vijayawada: The Confederation of Real Estate Developers Association of India (Credai)-AP Chapter has raised objections over the Real Estate Regulatory Act (RERA), which has come into force from May 2016.
Credai has asked its members to get ready for transforming to work under RERA and at the same time, it has raised objections over not treating Credai as a priority sector.
Other stake-holders like municipal corporations and banks need to be covered under RERA for accountability, the Credai urged state and central governments
The Credai has questioned both the governments as to why they have not included the stake-holders like municipal corporations and financial institutions including Bbnks into the RERA frame. Placing only Credai under this RERA ambit is forcing builders and real estate developers to run from pillar to post, Credai-AP chapter president A. Siva reddy said, and added that such stringent regulations of RERA are allowing only very big construction houses and infra companies to meet the requirements under the Act.
“Somehow, RERA will not in anyway be helpful to the small and medium scale builders and developers,” Mr Siva Reddy observed.
Raising objections over directing the builders and real estate develo-pers to go for marketing activity only after the completion of the construction of the entire structure, the Credai president has urged the state and union governments to amend and liberalise the Act, which will create a breathing space to the builders and real estate developers.
“A similar point to be noted is that cement companies and financial institutions, including banks are to be brought under this RERA Act,” he felt and questioned the integrity of the government as to why they are allowing cement companies to increase cement prices indiscriminately as and when they wish to increase.
The builders and real estate developers are of the view that the banks or financial institutions should be allowed to grant advances to the realtors at the time of construction itself.
The Credai leaders have given a call to the builders and real estate developers across the state to update themselves on RERA Act.
Now, the Credai-AP chapter is meeting the authorities concerned at state and central level to brief the problems of the builders and real estate developers, over the RERA Act.
