The Real Estate (Regulation and Development) Act, 2016 (RERA) was enacted in India to regulate the real estate sector and protect the interests of homebuyers. The Act came into force on May 1, 2017. Builders and developers are required to comply with various provisions of the RERA Act. Here are some key compliances that builders need to adhere to under the RERA Act:

Project Registration:

Builders must register their real estate projects with the respective state's Real Estate Regulatory Authority (RERA) before advertising or selling any units.

Project Details Disclosure:

Builders are required to provide detailed information about the project, including the project plan, layout, government approvals, land title status, schedule of completion, and other relevant details.

Project Delays:

If there is a delay in the completion of the project, the builder must compensate the homebuyers. The Act specifies the rate of interest for such compensation.

Adherence to Project Plans and Specifications: 

Builders are obligated to adhere to the plans and specifications as provided in the project details submitted to the regulatory authority.

Advance Payment and Refund:

Builders cannot demand more than 10% of the cost of the apartment as an advance or application fee before signing a sale agreement. Any advance paid by the allottee must be refunded with interest if the builder fails to deliver the apartment or complete the project on time.

Defects Liability:

Builders are responsible for addressing any structural defects or poor workmanship in the project for a period of five years after the possession of the property is handed over.

Maintenance of Separate Bank Account:

Builders are required to maintain a separate bank account for each project to ensure that the funds collected from homebuyers are used only for that specific project's development.

Insurance of Title of Land:

Builders must obtain insurance for the title of the land on which the development is proposed. This is to protect the homebuyers in case of any dispute related to the title.

Information to Buyers:

Builders must provide regular updates to the buyers on the progress of the project, including construction status, approvals obtained, and any other relevant information.

Rectification of Structural Defects:

Builders are required to rectify any structural defects or poor workmanship brought to their attention by the homebuyers within a specified time frame.

No False Advertisements:

Builders must not make false or misleading advertisements about the project.

It's important for builders to understand and comply with the specific rules and regulations of the state where the project is located, as there might be variations in the implementation of RERA across different states in India. Homebuyers can seek recourse through the regulatory authority if there are any violations by the builder.