In a First For Any Real Estate Regulatory Authority in India, MahaRera Will Grade Projects

In an effort to make the real estate industry more accountable to homebuyers, MahaRera will grade every project based on technical, legal, financial, and general project overviews that developers will be required to submit every six months via the online system.

This will make MahaRera the first real estate regulatory authority in India to have such grades.

The grading, based on MahaRera-established criteria, will be made available to the general public so that they can comprehend the status of a project and determine whether or not to invest. Similarly, each promoter will be required to appoint a public grievance redressal cell with a full-time officer for each project, as well as exhibit the officer's name and phone number on the project's website and in advertisements for consumers.

Informed decision

A recent MahaRera circular stated that the move will allow prospective buyers or those who have already booked for purchase to compare different real estate projects and make an informed decision about whether or not to proceed.

This is the first phase of MahaRera's introduction of the grading matrix; subsequent phases will be introduced in a staggered fashion.

Every six months of the fiscal year, the following matrix will be generated: The initial period for the grading procedure will span from October 1, 2023 to March of 2024. The process will begin on April 20, 2024, the due date for uploading the quarterly progress report from the previous quarter, according to the circular.

A spokesperson for MahaRera stated the reason for this move as follows:

"To achieve greater transparency, MahaRera is the first in the nation to use its authority to grade projects on various development parameters and make them readily accessible to the public through its portal. The regulator also has the ability to grade promoters in the future. The framework of information on which grading will be based has been determined after consultations and suggestions. Similarly, after the sale or purchase, it has been discovered that there are no officers or coordinators on the builder's side to resolve people's complaints.

Therefore, the decision has been made to require the appointment of such an officer and to publicise their name, phone number, and other contact information in project advertisements."