The Karnataka Real Estate Regulatory Authority (RERA) has emerged as a game-changer in the state's real estate landscape. The Act is based in compliance with The Real Estate (Regulation and Development) Act 2016, the goal is to foster transparency, and accountability to buyers and sellers and bring about improved efficiency in the real estate sector.

One of the pivotal functions that Karnataka RERA focuses on is the overseeing of the registration process of real estate projects and agents. In this article, we will take a closer look at the Karnataka RERA registration process, along with the associated fees and charges.

It is important to understand these crucial aspects of the act for real estate developers, agents, and homebuyers in order to effortlessly navigate the real estate market in Karnataka.

The Karnataka RERA Registration Process

The RERA Act has made the registration process for any new project and real estate agents mandatory. The RERA registration process involves filling out a registration form, submitting the necessary documents, and paying the registration fees. The registration process is online and can be completed quickly and easily.

Guidelines for Developers by RERA Act

1) No promoter shall advertise, market, book, sell or offer for sale, or invite persons to purchase in any manner any plot, apartment, or building, as the case may be, in any real estate project or part of it, in any planning area, without registering the real estate project with the Real Estate Regulatory Authority established under this Act

i) Projects with ongoing development that started before the ACT came into existence and for those completion certificates are yet to be issued, the promoter of the project should also get the registration done.

ii) If the authority thinks it necessary, it may direct promoters to get registration for projects that are developed beyond the planning area but have the necessary approvals from the local authority

2) Registration of real estate projects is not required where

a) the area of land proposed to be developed does not exceed 500 square meters or the number of apartments proposed to be developed is not more than 8 including all phases of the project.

b) where the promoter has received a completion certificate for a real estate project prior to commencement of this Act.

c) for the purpose of renovation repair or re-development which does not involve marketing, advertising selling, or new allotment of any apartment, plot, or building, as the case may be, under the real estate project.

However, if a real estate project is developed in phases, then every phase shall be considered as a standalone real estate project for which the promoter has to obtain RERA registration for each phase separately.

At the time of registration, the promoter needs to have the below-mentioned details available

(a) A brief detail of his enterprise including its name, registered address, type of enterprise (proprietorship, societies, partnership, companies, competent authority), the particulars of registration, and the names and photographs of the promoter

(b) A brief detail of the projects launched by him, in the past five years, whether already completed or being developed, as the case may be, including the current status of the said projects, any delay in its completion, details of cases pending, details of type of land and payments pending; Prior registration of real estate project with Real Estate Regulatory Authority. Application for registration of real estate projects.

(c) An authenticated copy of the approvals and commencement certificate from the competent authority obtained in accordance with the laws as may be applicable for the real estate project mentioned in the application, and where the project is proposed to be developed in phases, an authenticated copy of the approvals and commencement certificate from the competent authority for each of such phases

(d) The sanctioned plan, layout plan, and specifications of the proposed project or the phase thereof, and the whole project as sanctioned by the competent authority;

(e) The plan of development works to be executed in the proposed project and the proposed facilities to be provided thereof including fire fighting facilities, drinking water facilities, emergency evacuation services, use of renewable energy

(f) The location details of the project, with clear demarcation of land dedicated for the project along with its boundaries including the latitude and longitude of the end points of the project

(g) Proforma of the allotment letter, agreement for sale, and the conveyance deed proposed to be signed with the allottees

(h) The number, type, and carpet area of apartments for sale in the project along with the area of the exclusive balcony or verandah areas and the exclusive open terrace areas apartment with the apartment, if any

(i) The number and areas of garages for sale in the project

(j) The names and addresses of his real estate agents, if any, for the proposed project

(k) The names and addresses of the contractors, architect, structural engineer, if any, and other persons concerned with the development of the proposed project;

(l) A declaration, supported by an affidavit, which shall be signed by the promoter or any person authorised by the promoter, stating:—

(A) That he has a legal title to the land on which the development is proposed along with legally valid documents with authentication of such title if such land is owned by another person

(B) That the land is free from all encumbrances, or as the case may be details of the encumbrances on such land including any rights, title, interest or name of any party in or over such land along with details

(C) The time period within which he undertakes to complete the project or phase thereof, as the case may be

(D) That seventy percent. of the amounts realized for the real estate project from the allottees, from time to time, shall be deposited in a separate account to be maintained in a scheduled bank to cover the cost of construction and the land cost and shall be used only for that purpose:

i) Provided that the promoter shall withdraw the amounts from the separate account, to cover the cost of the project, in proportion to the percentage of completion of the project:

ii) Provided further that the amounts from the separate account shall be withdrawn by the promoter after it is certified by an engineer, an architect and a chartered accountant in practice that the withdrawal is in proportion to the percentage of completion of the project:

iii)Provided also that the promoter shall get his accounts audited within six months after the end of every financial year by a chartered accountant in practice, and shall produce a statement of accounts duly certified and signed by such chartered accountant and it shall be verified during the audit that the amounts collected for a particular project have been utilized for the project and the withdrawal has been in compliance with the proportion to the percentage of completion of the project.

(E) Obtaining all pending approvals from the competent authorities on time;

Certificates and Documents required by Promoters for Registration of Project

Certificates Required for Project Registration

One can get hold of the below-mentioned certificate forms from The Karnataka RERA website -https://rera.karnataka.gov.in/downloadPage

• Notarized Affidavit for 3(1) Violation0
• JD AFFIDAVIT CUM DECLARATION
• FORM-B
• Form-1 Chartered Accountant Certificate
• Form-2 Architect Certificate
• Form-3 Engineer Certificate
• Proforma Agreement of Sale

Documents that need to be uploaded by the Promoter while Project Registration

• Balance Sheet (for 3 years)
• Audited Profit and Loss Statement (for 3 years)
• Directors' Report (for 3 years)
• Cash Flow Statement (for 3 years)
• Auditor Report
• Income Tax Return Acknowledgment
• PAN Card
• Encumbrance Certificate
• Commencement Certificate
• Approved Building/Plotting Plan
• Approved Layout Plan
• Proforma of Agreement for Sale
• Sale Deed and RTC
• Approved Section of Building/Infrastructure Plan of Plotting
• Area Development Plan of Project Area
• Proforma of Allotment Letter
• Brochure of Current Project
• Proforma of Sale Deed
• Project Specification
• Collaboration Agreement/Development Agreement/Joint Development Agreement/Other Agreement
• Declaration (Form B)
• Khatha
• Other Documents (Title/Rights/Interest/Name)
• Approval/NOC under Section 109 of KLR Act 1961
• Approval/NOC under Section 14 of the KTCP Act
• Fire Force Department NOC
• Airport Authority of India NOC
• BESCOM NOC
• BWSSB NOC
• KSPCB NOC
• SEIAA NOC
• BSNL NOC
• Lift Authorities
• Existing Layout Plan
• Existing Section Plan and Specification
• Change of Land Use
• BMRCL NOC
• Urban Land Ceiling NOC
• Sectional Drawing of the Apartments
• Bangalore Urban Arts Commission
• Inspector of Factories Controller of Explosive Railways
• District Magistrate
• Coastal Regulation Zone Authority
• Certificate from a Registered Engineer indicating the Structural Safety of the building
• NOC in case of building proposals abutting neighbouring properties
• Advocate Search Report
• Utilisation Certificate
• Transfer of Development Rights Certificate
• Relinquishing Deed
• Project Photo

Documents that need to be uploaded for Individual Real Estate Agent Registration

• Agent Name (As on Pan Card)
• Agent Contact Details (Mobile, Telephone numbers)
• Agent E-mail Id
• Self Attested ID Proofs (Karnataka Proof)
• a) Passport
• b) Voter Id
• c) Aadhar card
• d) Driving Licenses
• e) Bank passbook with Photograph
• Self Attested Pan Card Copy
• Passport Size Photograph of Real Estate Agent
• Agent Notarized Affidavit (Rs 100 stamp paper)
• Fee (Only through net banking)

Certificates Required for Agent Registration

• Affidavit for Agents

Documents that need to be uploaded for registration by Societies/Company/Partnership firm/ Developmental Authority/ Trust

• Agent Firm Name
• Contact Details (Mobile, Telephone numbers)
• Firm Address
• Agent E-mail Id
• Self Attested ID Proofs (Karnataka Proof)
• a) Company Registration Certificate
• b) Shops and establishment certificate
• c) GST Certificate
• d) Bank passbook with Photograph (On Company Name)
• Self Attested Pan Card Copy
• Passport Size Photograph of Real Estate Agent
• Agent Notarized Affidavit (Rs 100 stamp paper)
• Fee (Only through net banking)

Now that you have all the documents and details ready, Let us see the steps for the registration process.

Steps for Project Registration:

Real estate developers are required to register their projects with Karnataka RERA before advertising, marketing, or selling any units. The registration process involves the following steps:

Create an Account: Developers must start by creating an account on the Karnataka RERA website (https://rera.karnataka.gov.in/).

Step 1: Visit the official RERA Karnataka website: https://rera.karnataka.gov.in/home

Step 2: Select the 'Project Registration' option from the 'Registration' drop-down menu.

Step 3: A dialog box will appear featuring quick links to different checklists that you should go through once before beginning to file the application online

Fill out the Application Form: After logging in, developers should fill out the prescribed application form accurately. This form includes details about the project, promoter, land title, and financial information.

Step 4: Select the Promoter Type, enter your email ID, and click on 'Next'

Step 5: Provide promoter details and click on 'Next'

Step 6: Provide project details and click on 'Next'

Upload Documents and Pay Fees: These documents are essential for verifying the legitimacy of the project. The fee is calculated based on the area of the project.

Step 7: Upload PAN card and address proof. Click on 'Next'

Step 8: Choose the payment method and pay the registration fee

Step 9: You will receive the confirmation

Issuance of Registration Number

Upon successful submission and verification, Karnataka RERA will issue a unique registration number for the project

Fees for Registration of Project

The project registration fees depend on the type of development project,

The sum can be calculated at the rate of:

For Group Housing Project

Rupees 5 square meter for projects where the area of land proposed to be developed does not exceed one thousand square meters

Rupees 10 per square meter for projects where the area of land proposed to be developed exceeds one thousand square meters. The maximum amount for registration under this category is capped at 5 lakh rupees

For Mixed Development (Residential and Commercial) Project

Rupees 10 per square meter for projects where the area of land proposed to be developed does not exceed one thousand square meters.

Rs 15 per square meter for projects where the area of land proposed to be developed exceeds one thousand square meters. The maximum amount is capped at 7 Lakh rupees.

For Commerical Projects

Rs 20 per square meter for projects where the area of land proposed to be developed does not exceed one thousand square meters

Rs 25 per square meter for projects where the area of land proposed to be developed exceeds one thousand square meters. The maximum amount for registration under this category is capped at 10 lakh rupees

For Plotted Development Projects

Rs 5 per square meter. For this category, the maximum amount for registration under this category is capped at 5 lakh rupees

Fees for Registration of Individual Agents/ Agencies

In order to register as a real estate agent, the agent must pay a registration fee by way of a demand draft or banker check drawn on any scheduled bank or cooperative bank or by online payment

Individual real estate agents must pay a registration fee of Rs. 25,000

Real Estate Agencies: Agencies are required to pay a fee of Rs. 2,50,000 for registration.

Karnataka RERA has ushered in a new era of accountability and transparency in the state's real estate sector. The registration process for both projects and agents, coupled with the associated fees and charges, ensures that stakeholders adhere to legal and ethical practices. For developers, complying with Karnataka RERA regulations builds trust among homebuyers, while registered agents can operate with legitimacy and professionalism. As Karnataka's real estate market continues to evolve, the presence of RERA paves the way for safer and more transparent transactions, benefiting all parties involved