Importance of RERA and DTCP Approval

RERA Approval: What You Need to Know – And Why DTCP Comes First

If you’re a builder, developer, or landowner planning a new real estate project, you’ve likely come across the term RERA approval. It’s one of the most crucial regulatory milestones for any real estate development in India. But before you even think about applying for RERA, there’s one important step you must take: DTCP approval.

DTCP First, Then RERA – Why the Order Matters

You cannot register your project under RERA without DTCP approval. Here’s how the process usually works:

  1. Land acquisition

  2. DTCP approval for layout and land use

  3. Project planning, legal documentation, and financial disclosures

  4. RERA registration

  5. Project launch

Trying to skip DTCP and jump straight to RERA is a common mistake that can lead to delays, legal issues, and financial loss.

Importance of RERA and DTCP Approval

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Why was RERA introduced?

Before RERA, the real estate sector in India was largely unregulated. This led to issues such as:

* Delayed project delivery
* Diversion of funds to other projects
* Lack of standardization in practices
* Misinformation about property details* Unfair terms in buyer agreements

RERA was introduced to standardize the industry, curb malpractices, and safeguard consumers'
interests.

RERA

RERA stands for the Real Estate (Regulation and Development) Act, which was passed by the Indian government in 2016. It was created to make real estate deals more open and fair. The main goals of RERA are to protect homebuyers, prevent fraud, and ensure that builders complete projects on time. According to this law, builders must register their real estate projects (if they are bigger than a certain size) with the RERA authority in their state or union territory. They also have to share important details about the project, like layout plans, deadlines, land ownership, and finances. This helps buyers make informed decisions and gives them legal protection if something goes wrong. In short, RERA approval shows that a project is legal, trustworthy, and safe for buyers.

RERA Approval Matters

As of 2025, all residential and commercial real estate projects over 500 square meters or having more than 8 apartments must be registered under RERA before advertising or selling.

For Buyers, RERA approval guarantees:

  • Timely possession of the property
  • Clarity on carpet area
  • Protection against hidden charges
  • Legal rights to claim compensation or refunds

For Developers, RERA ensures:

  • Enhanced market credibility
  • Ease in project financing
  • Transparent dealings and faster project clearances

Current RERA Updates in 2025

  • Digital Portal Integration: Most state RERA authorities now have fully functional online platform for filing and tracking registrations.
  • Penalty Enforcement: States like Maharashtra, Karnataka, and Gujarat have tightened enforcement on delays and non-disclosure of information.
  • Grievance Redressal Timelines: Authorities are now legally bound to resolve complaints within 60days from the date of filing.
  • Mandatory Escrow Accounts: 70% of the funds received from buyers must be deposited in an Escrow account to be used only for construction and land costs.

Conclusion

RERA has revolutionized the Indian real estate sector by creating a transparent,accountable, and buyer-friendly ecosystem. Whether you’re a first-time homebuyer, a realestate investor, or a property developer, RERA approval is not just a legal requirement —it’s a symbol of credibility and trust.

Before you invest in any property, make sure to verify its RERA registration and understand all related compliances. Informed decisions today lead to secure investments tomorrow.If you are a builder, developer, or agent seeking expert assistance with RERA approvals inTamil Nadu, Karnataka, or across India, feel free to reach out to us at M Corporate Defence

— your trusted partner for seamless RERA registration, documentation, and legal support.

Frequently Asked Question

RERA registration is mandatory for:
Developers launching projects over 500 sq. meters or more than 8 units.
Real estate agents dealing with RERAregistered properties.

No. Builders cannot market, advertise, or sell units without first obtaining a RERA registration
number. Doing so is a punishable offense.

No. RERA registration is valid until the project completion date specified during registration.
Developers can apply for an extension under valid circumstances.

Yes. Any real estate agent involved in the sale or purchase of properties in RERAregistered projects
must also register and obtain a RERA agent ID.

Visit the official state RERA portal
Search by project name, developer name, or RERA registration number.

Absolutely. Homebuyers can file complaints online through the respective state RERA websites if:
Projects are delayed
Possession terms are violated
Misrepresentation or fraud occurs