The Indian real estate sector has always been one of the most attractive investment options.

But before 2016, homebuyers often faced challenges like delayed possession, lack of transparency, and unfair practices. 
To address these issues, the Government of India introduced the Real Estate (Regulation and Development) Act (RERA).

Since its implementation, RERA has completely transformed the way people buy, sell, and invest in properties.
Let’s explore how RERA has reshaped the Indian real estate market and why it matters for both buyers and
developers.

What is RERA and Why Was It Introduced?

RERA, enacted in 2016, was designed to regulate the real estate industry, protect homebuyers, and ensure
developers maintain accountability. The act covers:

• Transparent project approvals
• Strict registration of builders and agents
• Safeguards against false promises
• On-time delivery of projects

                                                                                 
Key Ways RERA Changed the Real Estate Market

1. Transparency in Transactions

Earlier, buyers had limited access to project details. Now, with RERA, developers must register their projects
and disclose layouts, timelines, approvals, and financial status on the RERA portal. This builds trust and
credibility.

2. Timely Project Delivery

One of the biggest buyer complaints was delayed possession. Under RERA, developers are legally bound to
deliver projects on time. Failing to do so makes them liable to compensate buyers.

3. Protection of Homebuyers’ Money

Builders must deposit 70% of buyer payments into an escrow account, which can only be used for that
specific project. This ensures funds aren’t diverted and construction moves smoothly.

4. Standardization of Carpet Area

RERA mandates selling properties based on carpet area (usable area inside walls), ending the confusion of
“super built-up” or “saleable” areas. This helps buyers understand the real size of their homes.

5. Fairness in Agreements

RERA has standardized builder-buyer agreements. Buyers are no longer subjected to one-sided clauses and
have legal recourse if terms are violated.

6. Boost in Investor Confidence

With better regulations, transparency, and accountability, the real estate sector has become safer for
investors. This has increased overall growth and demand in the market.

Impact of RERA on the Indian Real Estate Market

• Increased Buyer Confidence: Buyers feel more secure investing in RERA-approved projects.
• Rise of Professional Developers: Only credible builders who follow compliance thrive now.
• Market Stabilization: Property prices are becoming more stable, benefiting both buyers and sellers.
• Growth of Affordable Housing: Many RERA-compliant projects now cater to first-time homebuyers.

At DhanBhumi, we ensure all our listed properties comply with RERA norms so our clients can buy with trust
and confidence.

Why Buyers Prefer RERA-Approved Properties

• Guaranteed delivery timelines
• Full project transparency
• Legal protection in disputes
• Better resale value in the long run

                                                                               
If you are looking for RERA-approved real estate in Lucknow and across India, DhanBhumi can help you
find the right property that balances modern living, transparency, and long-term value.