RERA MP: Know the Functions, Fees & Registration Process

RERA Madhya Pradesh, or RERA MP, was established under the Real Estate Regulatory Act (RERA ACT) of 2016. 

The Act was established with the main motive of protecting the interests of homebuyers. RERA was created in response to rising complaints against builders and real estate agents, particularly regarding late possession of homes and unprofessional behavior. The government body aims to protect buyers and encourage better services from promoters and agents.

About RERA MP

RERA MP was established in May 2017 to enhance transparency, accountability, and efficiency within the state’s real estate sector. Its primary goal is to safeguard homebuyers and encourage fair practices. Under RERA MP, developers are required to register their projects, provide accurate details, and meet specified completion timelines. The regulation also offers a platform for resolving grievances and ensures that developers manage project funds responsibly by requiring the use of an escrow account. Just like RERA Haryana, RERA MP aims to bring about transparency within the state of Madhya Pradesh.

The core values of RERA MP are Equal Treatment, Transparency and Assurance.

As of September 2024, RERA MP has 6530 registered projects, 1376 registered agents, and 5983 resolved complaints.

The current chairman of RERA MP is Mr. A.P. Srinivas, and RERA MP is headquartered in Bhopal. 

According to their website, RERA MP has announced that it will be rewarding anyone who will provide any information regarding any unregistered projects .

They are also currently in the process of revamping their website to make it more smooth and user-friendly.

Functions performed by MP RERA

1. Regulating real estate: Madhya Pradesh RERA monitors all real estate transactions in the state to ensure adherence to set rules and regulations. The main objective is to encourage ethical behavior and prevent harmful actions that could negatively impact stakeholders.

2. Protecting buyers interests: One of its main responsibilities includes protecting the interests of those purchasing homes. This includes guaranteeing on-time completion of projects, upholding high construction quality, and promoting transparency in financial dealings. These actions aim to boost consumer faith and confidence in the real estate sector.

3. Dispute Resolution: Madhya Pradesh RERA acts as a mediator for settling disputes between purchasers and builders. It offers a just and effective system for handling conflicts, with the goal of attaining friendly solutions and cutting down on lengthy court fights, which benefits all those involved.

4. Imposing Penalties: Penalties may be imposed for failure to comply with RERA regulations. This power enables RERA to ensure compliance with specified guidelines and deadlines. The implementation of punishments serves as a deterrent, motivating adherence to rules and fostering responsibility in the real estate industry.

How do I register under RERA MP?

To register under MP RERA, you can follow these steps:

1. Visit the official RERA MP website: https://www.rera.mp.gov.in/
2. Click on the registration tab and select project registration from the drop-down box.
3. After reading all the instructions, click on Proceed.
4. Fill in all the details of the form and mention necessary details such as promoter details, project details, and the bank details of the project. Upload the scanned copy of documents wherever required and click on save. 
5. After entering all the details, you will be directed to the payment gateway, where you will need to make the payment for the registration fee.
6. After making the payment, select ‘Confirm’ to finalize your application.

Documents required while registration

These are the documents that are generally required while registering a project, promoter, or agent:

• Registration details, including by-laws
• Memorandum and Articles of Association
• Passport-size photographs
• Copy of PAN card and Aadhaar card
• Your business’ financial documents for the past 3 years, including the balance sheet, audited profit and loss account, auditor’s report, and ITR
• Documents showing that you have legal right over the said property

How to file a complaint under RERA MP?

Submitting a complaint on the MP RERA website is a simple procedure created to efficiently handle grievances. These are the procedures for submitting a complaint:

1.  Go to the official MP RERA website.
2.  On the homepage, find and click on the ‘Complaints’ tab.
3. Select complaint category
4. Enter all necessary information related to the complaint and attach required documents that support it as well.
5. Make the payment for complaint registration, and you’re done! You will receive a complaint ID, which you can use to track your complaint. 

Fees and Charges while registering with RERA MP

The fee structure while registering a project under RERA MP is as follows:

Project Type	Area	Fees
Residential Projects	Less than 1,000 sq.mt.	Rs. 10 per sq.mt.
Residential Projects	More than 1,000 sq.mt.	Rs. 20 per sq.mt.
Commercial Projects	Less than or equal to 1,000 sq.mt.	Rs. 50 per sq.mt.
Commercial Projects	More than 1,000 sq.mt.	Rs. 100 per sq.mt.

Obligations under RERA MP

The Madhya Pradesh government has adopted the RERA regulations stipulated by the central government.

•  Registration with the regulatory body is required for any project consisting of eight units or a piece of land larger than 500 square meters.

• According to the regulations of Madhya Pradesh RERA, promoters must disclose particular information for every qualified project.

• The approved design blueprints and details were dedicated to the recipients.

• Full transparency in revealing the funds collected from investors and spent on finishing the project.

• Current progress of the project supported by visual evidence. If there are any delays, a revised timetable detailing the reasons must be provided.

• The carpet area dictates the flat dimensions.

• Banking details for the escrow account, which contains 70% of the total funds collected from buyers, must be provided.

How does RERA MP benefit homebuyers?

Increased legal protection: RERA MP strengthens legal protection for homebuyers by making sure developers comply with the sale agreement terms. In case a developer breaches the agreement or does not fulfill the agreed conditions, buyers can utilize RERA’s dispute resolution process for seeking solutions.

Correct project information: Real estate developers in Madhya Pradesh must register their projects with RERA and provide truthful details about the project’s status, including updates on project progress. This level of transparency minimizes the chances of misinformation and guarantees that buyers stay informed about the real progress of the development.

Fair Pricing: RERA MP ensures that the pricing of properties is controlled to avoid unfair increases. Developers need to provide a transparent pricing breakdown to make sure that buyers do not encounter any hidden fees or surprise expenses when purchasing a home.

No changes without consent: RERA MP requires approval from a minimum of two-thirds of homebuyers for any modifications in the property’s layout or structural design. This guarantees that developers are unable to make random alterations to the property that could harm buyers.

Interest on Refunds: If the developer does not finish the project on time, buyers can get a full refund with interest, according to RERA MP. This clause provides economic protection and guarantees reimbursement to purchasers for any postponements.

Contact details for RERA MP

Address: RERA Bhavan, Arera Hills, Main Road No. – 1,Bhopal – 462011

Phone number: 0755 – 2556760, 2557955

Email address: sectretaryrera@mp.gov.in 

Conclusion

So, to conclude, RERA Madhya Pradesh has brought about a major change in the real estate sector, providing buyers with more transparency, accountability, and security. Buyers can now confidently invest in properties, secure in the knowledge that their rights are protected by strict regulations. RERA MP guarantees a just and transparent real estate market by ensuring projects are completed on time, financial security, and quality assurance. The top builders in Indore and throughout the state are now expected to meet elevated expectations, promoting trust and reliability. With both developers and buyers adjusting to the changes, the real estate industry in the state is set for a more sustainable and buyer-oriented expansion, enhancing the security and satisfaction of owning a home.