AHMEDABAD: Homebuyers in Gujarat may soon find it easier to verify the credibility of real estate developers. The Gujarat Real Estate Regulatory Authority (GujRERA) plans to publicly showcase builders’ past project records and any pending complaints on its website.
In a step towards boosting transparency and accountability in the real estate sector, GujRERA will link the track record of real estate firm promoters and their partners to every new project registration. The authority may also deny approvals for new projects in cases involving serious unresolved complaints.
The new system will allow homebuyers to access information about a builder’s previous projects in the “promoter profile” section of newly registered projects. It will also include any pending complaints related to past projects and the individuals involved in a new development.
Officials report that the currently internally tracked information will soon be available on the GujRERA portal. The authority intends to compile and verify project histories using the PAN details of builders and their partners.
This initiative is expected to give consumers a clear insight into a developer’s performance and complaint history, helping them make informed decisions for one of their biggest financial commitments.
“Homebuyers will have a better understanding of their builder. We are emphasizing the need for accountability and transparency, and we want to convey this message to builders who overlook customer complaints,” stated a senior official.
This move addresses a prevalent industry practice where developers initiate projects under newly formed limited liability partnerships (LLPs) or partnership firms without adequately disclosing their prior associations. This lack of transparency can make it challenging for buyers to trace a promoter’s history.
Under the new regulations, information about any partner in a new project who has been involved in previous projects with complaints will be included in the registration details.
GujRERA will also display cases that it has initiated, along with any outstanding dues linked to promoters. Builders with significant unresolved complaints or a history of repeated violations may encounter obstacles when seeking registrations, adjustments, or extensions for new projects.
However, officials clarified that minor disputes will not automatically lead to strict actions like denial of registration, as the regulator will differentiate between major and minor infractions.
