The Centre has finalised the rules for the Real Estate (Regulation and Development) Act, which will be communicated to the states soon, allowing them to set up and appoint regulators for the sector.
Parliament had passed the bill in March, to regulate the real estate sector, bring transparency and help protect consumer interests.
Further, emphasising that the Act brings in transparency and accountability in the real estate sector, Union Urban Development Minister M Venkaiah Naidu, reportedly urged the private sector to join hands with the Centre to meet the shortage of houses in the country.
The Real Estate Act is touted as a major reform measure to regulate the vast real estate sector and bring order in it. It will help establish state-level Real Estate Regulatory Authorities to regulate transactions, in both residential and commercial projects, and ensure timely completion and handover. It will also be required to dispose off complaints within 60 days.
Among other provisions, the Act prohibits unaccounted money from being pumped into the sector, and from now, 70 per cent of the money has to be deposited in bank accounts through cheques.