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COLOUR THERAPY FOR YOUR HOME


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Colours have a profound effect on individuals and can affect us on a physical, emotional, mental and spiritual level. We look at how you can choose the right colours for your home, to create a positive and happy environment

Colour or chroma therapy is an alternative method of healing, through the use of colours. When we gaze at colours, different energies are absorbed, as each colour has its own frequency and vibration. “We are constantly surrounded by a free flow of colours, through nature, the clothes that we wear and the space where we live or work. At different stages of our lives, we feel attracted to or repelled by different colours, depending on our emotional and mental needs,” says Amisha Mehta, an artist and colour therapist.

“If we do not receive a balance of the seven colours in the spectrum, our metabolism can be affected. For example, the lack of natural sunlight, can cause lethargy, tiredness and depression. There is no such thing as a good or bad colour. While a colour can have beneficial qualities, the same colour can also have a detrimental effect on us. Usually, too much of any colour will tip the scale. Thus, one must be careful while designing a home’s interiors and choose colours that aid the well-being and harmony of all the members residing in the house. Colours should be clear, bright or light. Muddy or dirty colours, reflect the negative aspect of that colour. There is nothing wrong with deeper rich tones, if they are also not murky in appearance,” suggests Mehta.

 

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The importance of colours in Vastu Shastra

 

The sun is the source of light and helps to sustain life on our planet. There is a direct relationship between the sun and the science of Vastu Shastra, as each direction has one color that influences it in a positive way, points out Mumbai-based Jayshree Dhamani, a Vastu and astrology expert. “Sunlight appears to be gold in colour but it contains seven different colours – violet, indigo, blue, green, yellow, orange and red. Each colour has a different wavelength. Suitable colours in the right direction, enhances the health and prosperity of the home’s inhabitants. If the wrong colours are used, then, it creates stress and conflicts in the minds of the inmates,” Dhamani adds.

 

How to select the right colours for your décor

 

It is better to choose warm colours in rooms where there is a lot of activity, such as the living room and dining room. For example, instead of red, one can use shades of burgundy, wine, terracotta, etc., as they are not overpowering.“A colour scheme that focusses on only one or two colours, can cause an imbalance in energy. It is not only the wall colour that has an impact, but also the colour of furnishings, paintings, plants and lights. So, the home should have a variety of colours,” says Mehta.

Yellow is the colour that is closest to sunshine and is regarded as cheerful colour. So, try and incorporate it in some way at home. People who are depressed, can add a dash of orange colour to their room, to develop optimism. “Someone who has tensions, body pains and sleeplessness, can opt for blue-coloured walls or curtains, to get relief. Similarly, people who do meditation and spiritual practices, can use violet colour in the room for calmness. One can also use lamps of different shades, to add specific colours to a room, as and when needed,” adds Dhamani.

 

Ideal colours for different areas of the house

 

  • Ceilings should always be white or in off-white colour, as it reflects light.
  • Natural shades like green (which symbolises life and growth), yellow (stability), orange (cheerfulness) and blue (aids concentration), are recommended for children’s rooms.
  • For the temple area, it is best to use purple or lavender, as it is associated with spirituality, peace and wisdom.
  • Orange evokes excitement and enthusiasm and is apt for an exercise room.
  • Avoid excessive use of black and grey, as it can give a depressing feel.
  • Red helps in increasing appetite. So, add subtle touches of red on the dining table, with red flowers or red table linen.
  • Bedrooms should be done up in soothing colours, such as pink, peach, light yellow, green and other light colours.
  • The colour pink is associated with romance. Similarly, red is the colour of passion but avoid too much of it in the bedroom, as it leads to aggression.

 

Vastu guide to choosing colours for different directions

 

Direction Ruling Planet Colour
East Sun White
West Saturn Blue
North Mercury Green
South Mars Coral red
South-west Rahu Green, pink
South-east Venus White, silver
North-west Moon White
North-east Jupiter Golden yellow

LUXURIOUS PROPERTIES IN THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 – 55

 

Source – HOUSING.COM

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FIVE HOME DECOR IDEAS THAT WON’T COST YOU A THING

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You don’t need to spend a fortune on making your home look in the same class as the houses you see on TV appears. There are huge amounts of shabby and simple approaches to transform the insides of your home into a masterpiece.

When you choose that your home needs some interior rebuilding, you may quickly consider how costly and debilitating it will get. In any case, think about what, you don’t have to take seven days off and re-try the entire house starting with no outside help.

Indeed, we at Quikr trust that anybody can turn into a specialist in taking advantage of those plain white dividers or that unremarkable looking room.

 

All You Need Is A Little Color

 

It’s an ideal opportunity to take out those extra paint jars from capacity. Because the dividers are as of now painted does not imply that you can’t make your rooms much more delightful.

Utilize the paints to do up the sides of your bureau drawers, the vase that is feeling the loss of its sparkle, and possibly paint a few plates and hang them up on the divider to give your front room that aesthetic look.

 

Broken, And Still A Thing Of Beauty

 

Rather than discarding broken furniture, family unit things, and gems, breath life into them back utilizing these astute hacks.

  • Broken bassinets can be utilized as imaginative tables for kids. Basically take off one side of the bunk, paint the “table best”, and introduce a couple of racks for provisions.
  • who at any point thought smashed ceramics and vases had to be discarded? Include some gold or silver shading to pitch and utilize this blend to stick them back together.
  • Before you hurl that broken hoop into the junk, think about all the stunning ways that small dull piece can add to your home decor. Stick a magnet behind the knickknack and utilize it as ostentatious ice chest bling!
  • Nobody needs a split photograph outline lying around in the house, however don’t discard it! Tie or stick two or three strings between the edge and transform it into a kitsch stud holder. This is an unquestionably simple approach to look chic.

 

Old Toys Are Now Showpieces

 

No more grumblings about venturing on stray Lego pieces and old toys jumbling storage rooms. This is the niftiest method for transforming your insides into something that your neighbors won’t quit discussing.

The hands of little lego figures are the perfect size to hold little links set up. Paste these adorable minimal smaller than normal figures to the sides of an examination table or a TV stand, and wonder about how little things can have any kind of effect in the way your home looks.

You can likewise utilize old, exhausted tennis balls as improvised key or envelope holders. Set them up in advantageous places all through your home.

all the more appalling looking wires, not any more tangled links, and not any more lost keys.

 

Utilize Leftover Wrapping Paper For A Fancy Look

 

An excessive number of remaining present wrapper comes in the house after Christmas? Transform that old-looking bookshelf into something intriguing by fixing it with blessing wrap. A couple of minutes’ work and now the insides of your room have been lifted.

 

My Pleasure.

 

Blessing wrap can likewise be utilized as placemats, particularly for extraordinary events like gatherings or easygoing meals. Blend and match the blessing wrap placemats with your cutlery to liven up the feasting table.

 

A Wall Of Fame

 

In vogue cowpoke caps and those ever-sharp Michael Jackson ones need to be purchased each time you see them in light of the fact that, obviously, all the cool children have a pack. In any case, the pitiful truth is, we wind up hoarding these cool-looking, yet scarcely utilized accomplices to assemble tidy in organizers.

In this way, here’s the way you can at long last put each one of those caps to great utilize: energize hall dividers by hanging these up. Hotshot every one of those fedoras and trilbies by hanging them on nails or individual snares.

You can likewise spruce up your divider by transforming it into a stroll down the world of fond memories utilizing photos without the casings. You can mastermind them in any shape you’d like or simply have a ton of fun making a strange photograph arrangement.

 

Glad Thinking Back!

 

Tidying up and updating your insides gets less demanding and less expensive with these hacks. Is it accurate to say that you are prepared to go past these thoughts? At that point come look at the different home decorations and different administrations that will most likely prove to be useful.

RESIDENTIAL PROJECTS WAGHBIL THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 – 55

201, Prestige Precinct, Near Nitin Casting,
Almeida Road, Panchpakhadi
Thane West – 400604

Phone: 91-22-25985951-55

Email: prescon@prescon.in

FITCH RATINGS SEES ‘NEUTRAL’ IMPACT OF GST ON REALTY SECTOR

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Ratings agency Fitch Ratings expects the impact of implementation of Goods & Services Tax on real estate sector to be neutral.

Property developers will be subject to a final effective Goods & Services Tax rate of 12% on property sales, because the tax authorities will assume that land costs consist of one third of the sales price for which the 18% GST rate will not apply.

This will still be 7.5% points higher than the former 4.5% effective sales tax. However developer’s ability to claim input tax credits will also increase with the imposition of GST, because input credits can now be claimed against steel and cement, which are key raw materials.

“The impact of GST on property prices will not be significant if developers pass on these benefits to customers – we expect home prices to rise by no more than 1%-2% if the benefit of lower costs is passed on. The higher end of that range would apply to developers which cater to higher-income customer segments, where land prices are higher and profit margins wider,” Fitch Ratings said in its report.

0Fitch expects the impact of GST on property sales also to be limited because the tax will only apply to sales made after 1 July 2017, whereas most large homebuilder’s FYE18 (March 2018) revenue and cash flows will stem mainly from sales made before that.

Furthermore, sales contracted after 1 July off new projects should not be affected because developers should be able to reflect the impact of GST in new construction contracts. However, sales contracted after 1 July from existing projects – i.e. where construction is underway – may have to reflect the full 7.5% price increase stemming from GST, because renegotiating existing construction contracts with contractors may prove to be challenging.

The ratings agency believes that property sales will weaken for one to two quarters as a result, but we expect sales to normalise beyond that time frame. Over the medium term, developers may be encouraged to pass on the cost benefits to customers to comply with the anti-profiteering clause introduced in the Central Goods and Services Tax of 2017.

It expects that developers may also choose to pass on cost benefits to customers to try and limit a prolonged slowdown in property sales, in an industry where demand/supply fundamentals are already weak.

Among rated companies, Indiabulls Real Estate Limited (IBREL, B+/Stable) has some headroom in its rating to weather a longer-than-expected weakening in sales, and this is reflected in Stable Outlook. Lodha Developers (B/Negative) has limited rating headroom because of leverage which is already high, and this is captured in our Negative Outlook, Fitch added.

RESIDENTIAL PROJECTS WAGHBIL THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 – 55

201, Prestige Precinct, Near Nitin Casting,
Almeida Road, Panchpakhadi
Thane West – 400604

Phone: 91-22-25985951-55

Email: prescon@prescon.in

 

Source: CONTENT.MAGICBRICKS.COM

THE GIST OF GST

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Post GST’s implementation on July 1, there have been a few apprehensions that end-consumers are currently harbouring. The quintessential question therefore is: how severely would you be affected by GST in your real estate dealings? We seek some answers…

There is a lot of confusion in the minds of the home-buyers and developers about the implementation of GST that came into effect from July 1, 2017. People are not sure whether they would be benefited by the new tax system or would have to shell out more money. We bring some clarity with regards to this.

“The real estate sector is currently burdened with indirect taxes on multiple counts such as service tax, Value Added Tax (VAT), stamp duty, registration charges, etc. People were confused and weren’t aware w.r.t which taxes were going to be subsumedto be continued under the GST regime. However, with various initiatives undertaken by the government, it is now made abundantly clear that stamp duty and registration charges shall continue and Service TaxVAT would be subsumed in the GST regime and replaced with CGST + SGST (of specific state). With the increase in the indirect tax rate on construction services (read: 12 per cent), the government has issued a press release cautioning developers against resorting to extraction of additional GST on account of the increased tax rate without due regard to GST credits,“ says Amit Kumar Sarkar, partner and head indirect tax, BDO India.

 

BENEFITS OF GST:

 

The biggest game-changer under GST is the introduction of the Input Tax Credit (ITC), whereby credits of input taxes paid at each stage of production or service delivery, can be availed in the succeeding stages of value addition.Anuj Puri, chairman ANAROCK Property Consultants Pvt Ltd explains, “To ensure that manufacturers, developers and service providers pass on the benefit to the final customer, the government has included an anti-profiteering clause in the GST bill under section 171 of the GST law.This clause clearly states that it is mandatory to pass on the benefit of the tax reduction (due to the input tax credits) to the final customer.“

 

SOME IMPORTANT BENEFITS OF GST ARE:

 

It would help eliminate the cascading tax structure; It would ease compliances; It will create a uniform tax rate and structure; It would help in reducing additional tax burdens (on consumers).

 

GST MISCONCEPTION AND FACTS:

 

While there has been a lot of speculation doing the rounds when it comes to GST, Samir Jasuja, founder and CEO, PropEquity clarifies and says, “Let’s clear the misconceptions one by one:

Myth 1: Property prices will rise with GST getting applicable on each construction-related material and service:

FACT: Property prices will not rise. The developers can take the input tax credits for the materials used for construction and the services paid. The government has asked the developers to pass on the benefits of the lower tax under the GST regime to the buyers as well, which in turn, will marginally reduce property prices. The government has also passed the anti-profiteering rule, which would prevent any increase in property prices.

Myth 2: EMIs on property buying will shoot up due to GST:

FACT: No, EMIs on property may remain the same or marginally reduce as the overall property price is expected to drop.

Myth 3: Resale property will also get costlier:

FACT: No, it will not get costlier. The impact of GST on resale proper ties is likely to be less.

Myth 4: No input credit will be allowed if you purchase an office.

FACT: The input tax cred it will be allowed for an office space if the purchase is made before the property gets the Completion Certificate (CC) or prior to the first occupancy.“

Shubika Bilkha, business head, Real Estate Management Institute explains, “GST has been levied on the renting of residential proper ties and an 18 per cent tax will be applicable for leasing commercial properties. Experts have clarified that the threshold limit for the applicability of GST has been increased from Rs 10 lakh to Rs 20 lakh. Hence, some of the landlords that came within the purview of the service tax regime may not be included under the tax net of GST.“

 

INDIA VERSUS THE REST:

 

Experts point out that a uniform tax structure in markets such as Indonesia, Thailand, among others, has been a catalyst to increase investments. It is important to remember that when buyers purchase properties, they focus on the value, their individual needsrequirements and potential appreciation of the asset, over taxation slabs. Bilkha shares how, “With the introduction of RERA and GST, the real estate sector is metamorphosing into a transparen nt, tightly controlled and regulated industry. All these measures will, in the long run, create stable businesses, as well as contribute towards reducing the trust deficit between the consumers and the developers.“

 

HOW WOULD GST BRING IN HOLISTIC GROWTH IN THE REALTY MARKET?

 

The reduced cost of construc tion will bring in more liquidity for the developer; The developers can take the in put tax credit for raw materials like cement and steel. This would bring down the total amount paid in taxes and avoid double taxation on the same product; Free flow of credits will further boost the margin of the develop er; GST will reduce inflated taxes and bring in more transparency and help in improving trust among the buyers.

 

GST PERKS FOR THE HOME-BUYERS:

 

Possible reduction of property prices with additional credits flowing to the developers; A variety of products would be available from other states, as the GST regime promotes inter state procurements.

2 BHK SPACIOUS APARTMENTS IN THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 – 55

201, Prestige Precinct, Near Nitin Casting,
Almeida Road, Panchpakhadi
Thane West – 400604

Phone: 91-22-25985951-55

Email: prescon@prescon.in

WHAT IS RERA AND HOW WILL IT IMPACT THE REAL ESTATE INDUSTRY AND HOME BUYERS?

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The Real Estate (Regulation and Development) Act, 2016 (RERA), intends to protect the interests of home buyers and enhance transparency in the real estate sector. We examine how it will affect various stakeholders – from home buyers and builders, to brokers – and the provisions and penalties prescribed under the act

The Government of India enacted the Real Estate (Regulation and Development) Act 2016 on 26th March 2016 and all its provisions came into effect, from May 1, 2017.

 

What is the Real Estate Regulatory Act?

 

The Real Estate (Regulation and Development) Act, 2016 (RERA) is an Act passed by the Indian Parliament. The RERA seeks to protect the interests of home buyers and also boost investments in the real estate sector. The Rajya Sabha passed the RERA bill on March 10, 2016, followed by the Lok Sabha on March 15, 2016 and it came into force from May 1, 2016. 59 of its 92 sections were notified on May 1, 2016 and the remaining provisions came into force from May 1, 2017. Under the Act, the central and state governments, are required to notify their own rules under the Act, six months, on the basis of the model rules framed under the central Act.

 

Why RERA?

 

For long, home buyers have complained that real estate transactions were lopsided and heavily in favour of the developers. RERA and the government’s model code, aim to create a more equitable and fair transaction between the seller and the buyer of properties, especially in the primary market. RERA, it is hoped, will make real estate purchase simpler, by bringing in better accountability and transparency, provided that states do not dilute the provisions and the spirit of the central act.

The RERA will give the Indian real estate industry its first regulator. The Real Estate Act makes it mandatory for each state and union territory, to form its own regulator and frame the rules that will govern the functioning of the regulator.

 

How will RERA impact home buyers

 

Some of the important compliances are:

  • Informing allottees about any minor addition or alteration.
  • Consent of 2/3rd allottees about any other addition or alteration.
  • No launch or advertisement before registration with RERA
  • Consent of 2/3rd allottees for transferring majority rights to 3rd party.
  • Sharing information project plan, layout, government approvals, land title status, sub-contractors.
  • Increased assertion on the timely completion of projects and delivery to the consumer.
  • An increase in the quality of construction due to a defect liability period of five years.
  • Formation of RWA within specified time or 3 months after majority of units have been sold.

The most positive aspect of this Act is that it provides a unified legal regime for the purchase of flats; apartments, etc., and seeks to standardise the practice across the country. Below are certain key highlights of the Act:

Establishment of the regulatory authority: The absence of a proper regulator (like the Securities Exchange Board of India for the capital markets) in the real estate sector, was long felt. The Act establishes Real Estate Regulatory Authority in each state and union territory. Its functions include protection of the interests of the stakeholders, accumulating data at a designated repository and creating a robust grievance redressal system. To prevent time lags, the authority has been mandated to dispose applications within a maximum period of 60 days; and the same may be extended only if a reason is recorded for the delay. Further, the Real Estate Appellate Authority (REAT) shall be the appropriate forum for appeals.

Compulsory registration: According to the central act, every real estate project (where the total area to be developed exceeds 500 sq mtrs or more than 8 apartments is proposed to be developed in any phase), must be registered with its respective state’s RERA. Existing projects where the completion certificate (CC) or occupancy certificate (OC) has not been issued, are also required to comply with the registration requirements under the Act. While applying for registration, promoters are required to provide detailed information on the project e.g. land status, details of the promoter, approvals, schedule of completion, etc. Only when registration is completed and other approvals (construction related) are in place, can the project be marketed.

Reserve account: One of the primary reasons for delay of projects was that funds collected from one project, would invariably be diverted to fund new, different projects. To prevent such a diversion, promoters are now required to park 70% of all project receivables into a separate reserve account. The proceeds of such account can only be used towards land and construction expenses and will be required to be certified by a professional.

Continual disclosures by promoters: After the implementation of the Act, home buyers will be able to monitor the progress of the projecton the RERA website since promoters will be required to make periodic submissions to the regulator regarding the progress of the project.

Title representation: Promoters are now required to make a positive warranty on his right title and interest on the land, which can be used later against him by the home buyer, should any title defect be discovered. Additionally, they are required to obtain insurance against the title and construction of the projects, proceeds of which shall go to the allottee upon execution of the agreement of sale.

Standardisation of sale agreement: The Act prescribes a standard model sale agreement to be entered into between promoters and homebuyers. Typically, promoters insert punitive clauses against home buyers which penalised them for any default while similar defaults by the promoter attracted negligible or no penalty. Such penal clauses could well be a thing of the past and home buyers can look forward to more balanced agreements in the future.

Penalty: To ensure that violation of the Act is not taken lightly, stiff monetary penalty (up to 10% of the project cost) and imprisonment has been prescribed against violators.

 

RERA definition of carpet area

 

The area of a property is often calculated in three different ways – carpet area, built-up area and super built-up area. Hence, when it comes to buying a property, this can leads to a lot of disconnect, between what you pay and what you actually get.

Gautam Chatterjee, Maharashtra RERA chairman, explains that “It is now mandatory for the developers of all ongoing projects, to disclose the size of their apartments, on the basis on carpet area (i.e., the area within four walls). This includes usable spaces, like kitchen and toilets. This imparts clarity, which was not the case earlier.”

According to the RERA, carpet area is defined as ‘the net usable floor area of an apartment, excluding the area covered by the external walls, areas under services shafts, exclusive balcony or verandah area and exclusive open terrace area, but includes the area covered by the internal partition walls of the apartment’.

Rahul Shah, CEO of Sumer Group, points out that “As per the RERA guidelines, a builder must disclose the exact carpet area, so that a customer knows what he is paying for. However, the act does not make it mandatory for the builders, to sell a flat on the basis of carpet area.”

 

Impact of RERA on real estate industry

 

  • Initial backlog.
  • Increased project cost.
  • Tight liquidity.
  • Rise in cost of capital.
  • Consolidation.
  • Increase in project launch time.

Initially, a lot of work is to be done to get the existing and new project registered. Details such as status of each project executed in last 5 years, promoter details, detailed execution plans, etc., needs to be prepared.

With the advent of RERA, specialised forums such as the State Real Estate Regulatory Authority and the Real Estate Appellate Tribunal, will be established for the resolution of disputes pertaining to home buying and the aggrieved party will have no recourse to other consumer forums and civil courts, on such matters. While the RERA sets the groundwork for fast-tracking dispute resolution, the litmus test for its success, will depend on the timely setting up of these new dispute resolution bodies and how these disputes are resolved expeditiously with a degree of finality.

 

Which projects come under RERA

 

  • Commercial and residential projects including plotted development.
  • Projects measuring more than 500 sq mts or 8 units.
  • Projects without Completion Certificate, before commencement of the Act.
  • The project is only for the purpose of renovation / repair / re-development which does not involve re-allotment and marketing, advertising, selling or new allotment of any apartments, plot or building in the real estate project, will not come under RERA.
  • Each phase is to be treated as standalone real estate project requiring fresh registration.

 

How can a builder be RERA compliant

 

  • Project registration.
  • Advertisement.
  • Withdrawal – POC method.
  • Website updation/ Disclosures.
  • Carpet area.
  • Alteration in project – approval of 2/3 allottees.
  • Project accounts – Audit.
  • 70% of the funds collected from allottees needs to be deposited in the project account. Withdrawals to cover construction and land cost.
  • Withdrawals to be in proportion to the percentage completion method.
  • Withdrawal to be certified by an engineer, architect, and CA.
  • Provision for RERA to freeze project bank accounts upon non-compliance.
  • Interest on delay will be same for customer and promoter.

 

What information does a builder need to provide under RERA

 

  • Number, type and carpet area of apartments.
  • Consent from affected allottees for any major addition or alteration.
  • Quarterly updating of RERA website with details such as unsold inventory and pending approvals.
  • Project completion time frame.
  • No false statements or commitments in advertisement.
  • No arbitrary cancellation of units by promoter.

 

How to register projects under RERA

 

  • Authenticated copy of all approvals, commencement certificate, sanctioned plan, layout plan, specification, plan of development work, proposed facilities, Proforma allotment letter, agreement for sale and conveyance deed to be given when
  • Applying for project registration with RERA.
  • Mandatory registration of new and existing projects with RERA before launch.
  • Registration of agents/brokers with RERA.
  • Dispute resolution within 6 months at RERA and RERA appellate tribunals.
  • Separate registration of different phases of a single projects.
  • Developers to share details of projects launched in last 5 years with status and reason for delay with RERA.
  • Timely updating of RERA website.
  • Maximum 1 year extension in case of delay due to no fault of developer.
  • Annual audit of project accounts by a CA.
  • Conveyance deed for common area in favour of RWA.
  • Construction and land title insurance.
  • Project completion time period.

 

How will RERA impact insurance cost for construction and land title

 

  • Land and approval costs to be meted out of internal accruals as prelaunch concept may end. It may lead to a shift in equity financing from debt financing prevailing currently. The cost of capital may go up as developers may now have to fund the land and approval cost through equity.
  • With frequent delay in obtaining approvals, debt funding may not be an ideal route for developers. With entry in the sector made difficult, the sector may witness consolidation.
  • Strong financial and execution capability is required to launch a project. The development model/agreement may gain prominence.
  • The project launch time may increase since a lot of time will be involved in finalizing finer details before launching a project.
  • Details such as complete drawings, utilities layout, etc., needs to be finalized before project starts.

 

How will RERA impact real estate agents

 

Under the Real Estate (Regulation and Development) Act (RERA), real estate agents will need to register themselves, to be able to facilitate a transaction. The broker segment in India, is estimated to be a USD 4 billion industry, with an estimated 5,00,000 to 9,00,000 brokers. However, it has traditionally been unorganised and unregulated.

“It will bring a lot of accountability in the industry and the ones who believe in professional and transparent business, will reap all the benefits. Now, the agents will have a much larger and responsible role to perform, as they will have to disclose all the appropriate information to the customer and even help them chose a RERA-compliant developer,” says Sam Chopra, founder and chairman of RE/MAX India.

With RERA in force, brokers cannot promise any amenities or services that are not mentioned in the documents. Moreover, they will have to provide all information and documents to the home buyers, at the time of booking. Consequently, RERA is likely to filter out the inexperienced, unprofessional, fly-by-night operators, as brokers not following the guidelines will face hefty penalty or jail or both.

 

How can brokers become RERA compliant

 

  1. Section 3: Promoter cannot advertise, book, sell or offer for sale, without registration with RERA.
  2. Section 9:
  1. Section 10:
  • No agent can sell a project not registered.
  • Maintain books and records.
  • Not be involved in unfair trade practices.
    • Make an incorrect statement – oral, written, visual.
    • Represent that services are of a particular standard.
    • Represent that the promoter or himself has approval or affiliation which such promoter or himself does not have.
    • Permit publication of advertisement in newspaper or otherwise of services not intended to be offered.
  • Agent needs to facilitate possession of all documents to the allottee at the time of booking.

 

When and how should you file a complaint under RERA?

 

Digbijoy Bhowmik, head of policy, RICS, explains, “Complaints can be filed under Section 31 of the Real Estate (Regulation and Development) Act, 2016, either with the Real Estate Regulatory Authority or the adjudicating officer. Such complaints may be against promoters, allottees and/or real estate agents. Most state government rules, made appurtenant to the RERA, have laid out the procedure and form, in which such applications can be made. In the case of Chandigarh UT or Uttar Pradesh, for instance, these are placed as Form ‘M’ or Form ‘N’ (common with most other states and union territories).”

A complaint under the RERA, is required to be in the form prescribed under the respective states’ rules. The complaint can be filed with respect to a project registered under RERA, within the prescribed time limit, for violation or contravention of provisions of the act or the rules or regulations framed under RERA.

“For cases pending before the NCDRC or other consumer fora, the complainants/ allottees can withdraw the case and approach the authority under the RERA. Other offences (except complaints under Section 12, 14, 18 and 19) can be filed before the RERA authority,” explains Ajay Monga, partner at SNG & Partners law firm.

 

Applicable penalties under RERA

 

Applicable sections Offences committed Applicable penalties
Section 9 (7)
  • Registration secured through misrepresentation or fraud
  • Breach of terms for which registration obtained
Revocation of Agent Registration Number
Section 62 Contravention of Section-9 & Section 10 Penalty of INR 10,000/-day during which the default continues extending up to 5% of cost of unit sold
Section 65 Contravention of orders of RERA authorities Penalty up to 5% of cost of unit sold
Section 66 Contravention of orders of Appellate tribunal Imprisonment for up to 1 year or with fine extend up to 10% of cost of unit sold

 

Benefits of RERA

 

Industry Developer Buyer Agents
  • Governance and transparency
  • Project efficiency and robust project delivery
  • Standardization and quality
  • Enhance confidence of investors
  • Attract higher investments and PE funding
  • Regulated Environment
  • Common and best practices
  • Increase efficiency
  • Consolidation of sector
  • Corporate branding
  • Higher investment
  • Increase in organised funding
  • Significant buyers protection
  • Quality products and timely delivery
  • Balanced agreements and treatment
  • Transparency – sale based on carpet area
  • Safety of money and transparency on utilisation
  • Consolidation of sector (due to mandatory state registration)
  • Increased transparency
  • Increased efficiency
  • Minimum litigation by adopting best practices

RESIDENTIAL PROJECTS WAGHBIL THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 – 55

201, Prestige Precinct, Near Nitin Casting,
Almeida Road, Panchpakhadi
Thane West – 400604

Phone: 91-22-25985951-55

Email: prescon@prescon.in

REAL ESTATE, CONSTRUCTION TOP EMPLOYMENT GENERATORS IN APRIL: REPORT

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The construction and real estate industries are generating employment demand for skilled workforce as the sectors are gearing up for growth following the government’s agenda of providing affordable housing to people, a report said.

While the overall talent demand was up by three per cent during April 2017, real estate posted a 7 % rise in talent demand and the construction sector saw a 6 % rise in demand, according to the latest RecruiteX, the recruitment index by TimesJobs.

“Our RecruiteX report reflects the growth of the Indian middle class and their rising purchasing power, which has converted the dream of owning a home into tangible demand for affordable housing. When coupled with Prime Minister Modi’s drive to create a business-friendly environment, drive real estate growth, and create jobs, the sector is on a hiring spree to take advantage of the next growth wave,” TimesJobs Business Head Ramathreya Krishnamurthi said.

While construction and real estate were the top hiring sectors during April 2017, logistics, petrochemicals, IT, telecom and BFSI also hired significantly during the month, it said.

Business managers, consultants, hospitality, logistics and BFSI professionals reported significant rise in demand, it added.

The report said, among key locations, while Bengaluru and Pune posted the maximum rise in demand, Ahmedabad and Indore were the top hiring among the non-metros.

When it comes to states, Maharashtra (excluding Mumbai and Pune) posted a five per cent rise in demand, it said.

Hiring gained momentum for experienced professionals while it dropped for freshers, it said.

Candidates having over 20 years of experience posted the highest rise in talent demand in April 2017, it added.

3 BHK FLATS IN GHODBUNDER ROAD, THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 – 55

Source: MAGICBRICKS.COM

201, Prestige Precinct, Near Nitin Casting,
Almeida Road, Panchpakhadi
Thane West – 400604

Phone: 91-22-25985951-55

Email: prescon@prescon.in

GST IMPACT: BUYERS MAY HOME IN ON READY-TO-MOVE-IN PROPERTIES

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Even as estate developers are busy preparing and fine-tuning their systems to align with the new tax regime, builders and brokers are expecting real estate sales to remain sluggish for some time as consumers are seeking more clarity on exact tax obligation on their transactions.

Over the past few days, builders and broker’s offices have been receiving queries from existing and prospective customers on how would resale of an under-construction apartment by an investor be treated under GST. Also, consumers want to know if any reimbursement or future payment adjustments are possible from developer’s input tax credit.

“Customers will be in a discovery mode for a while, trying to analyse and follow a secure investment pattern for themselves. And we are talking about an industry which is just about to recover from the side effects of demonetization,” said Prakkash G Rohiira, Director, Karma Realtors. “Allowing homebuyers to be induced into a wait-and watch mode would alter the performance of the industry.”

Realtors reckon that ready-to-move in properties would be preferred by homebuyers now as that segment remains out of the GST ambit. However, such properties are likely to cost a bit more now as these properties won’t get any benefit of input tax credit.

“While developers might still get some benefits for projects that are in nascent stage, they will have to bear the tax burden for ready-to-move in projects since they are kept out of the GST ambit,” said Surendra Hiranandani, CMD, House of Hiranandani.

According to Hiranandani, while the intent is to streamline the tax administration and bring more businesses in the tax net, it is unlikely that GST will have any impact on property prices. He believes that the current rate of 12% on under-construction projects might marginally bring down prices in the affordable segment owing to the input tax credits, but it is unlikely that similar impact will be felt in mid-priced or premium developments.

Last week, the government had notified the goods & services tax rate (GST) for construction of real estate at 18% as against the 12% announced earlier. However, with this rate, the government has also allowed deduction of land value equivalent to one-third of total amount charged by the developer, making effective tax rate same as 12%. According to experts, this revised rate is expected to be tax-neutral as the GST obligation for the property buyer would remain the same.

More clarity is expected to emerge once the GST gets implemented and the government clears its stand on the abatement available for the land cost for calculating service tax on under construction projects. For premium projects where land cost forms around half the total expenditure in cities like Mumbai, apartment prices are likely to rise.

Kailash Babar, Economic Times, Mumbai

LUXURIOUS 3 BHK FLATS THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 – 55

Source: MAGICBRICKS.COM

201, Prestige Precinct, Near Nitin Casting,
Almeida Road, Panchpakhadi
Thane West – 400604

Phone: 91-22-25985951-55

Email: prescon@prescon.in