For homebuyers attracted by glossy brochures and grand promises, Tamil Nadu’s real estate regulator has introduced an additional layer of protection. A year after strengthening norms to prevent misleading real estate advertisements, the Tamil Nadu Real Estate Regulatory Authority (TNRERA) has implemented a graded penalty system.
According to a circular issued in June, from July 1, developers who breach advertising regulations will face fines of up to ₹5 lakh. This initiative aims to ensure stricter compliance with transparency norms established last year and to deter misleading marketing practices in the real estate sector.
The advertising guidelines, effective from July 1, 2025, mandate that all real estate advertisements in print, television, outdoor media, digital platforms, and social media must prominently display the project’s TNRERA registration number, Form-C QR code, the Authority’s website, approved project location, and complete promoter details. Additionally, they prohibit vague disclaimers like “terms and conditions apply,” unverified claims such as “100+ amenities,” misleading location descriptions, and advertisements for projects not registered with TNRERA.
TNRERA has categorized violations as ‘major’ and ‘minor’ and linked penalties to project costs. Major violations—including advertising unregistered projects, failing to display the mandatory registration number or QR code, using misleading QR codes, and making deceptive price comparisons—will incur fines of ₹5 lakh for projects costing ₹100 crore and above, and ₹2 lakh for those below ₹100 crore. Minor violations, such as omitting the TNRERA website, promoter’s office address, or displaying unreadable QR codes, may incur fines of up to ₹1 lakh. This revised penalty framework will take effect on July 1, 2026.
This latest move represents TNRERA’s shift from merely prescribing advertising standards to actively enforcing them, enhancing transparency in property marketing and helping homebuyers verify the legal status of projects before making purchasing decisions.
