New Delhi: The Centre is likely to introduce a bill in the Monsoon session of Parliament to
protect consumers interests against dubious operators in the real estate sector.
The Real Estate (Regulation and Development) Bill 2011, prepared by the Housing and Poverty Alleviation (HUPA) Ministry intends to promote planned development of real estate
and protection of public interest among others.
Even as the real estate sector is estimated to contribute 9 percent of GDP, the rapid growth is largely unregulated leading to rampant public complaints about fly-by-night operators who take advantage of the vulnerability of the consumers in a deficit housing market.
"The proposed Bill is crucial for regulating the real estate sector in a transparent manner and also to protect the consumers against unscrupulous developers," ministry sources said, adding that "concerted efforts are being made to introduce it in the coming session (in Parliament)."
According to the draft, developers will need to make public disclosures related to land title, project completion date and other relevant scheme details on the website of the proposed regulatory authority.
The disclosures must be made before launching a project, so that consumers are not taken for a ride at a later stage and the promoters will also have to register themselves with the regulatory authority.