One of the biggest sectors of investment that are promising revenue and investment is real estate. It is known for keeping tabs on all the activities related to real estate. Now a major question here is which department is responsible for real estate license in Pakistan?
In order to get the answer related to this question, we have listed an in-depth guide related to the department, its responsibilities, and roles along the journey.
What is RERA?
RERA is an abbreviation for Real Estate Regulatory Authority. This managing company is responsible for all the ongoing affairs of real estate in the country. From registering the people who are buying and selling properties to allowing the developers to start a real estate project, RERA is the one that takes care of all these things.
Keep in mind that no sort of real estate project in any capacity will commence unless and until the project gets a green signal from the RERA.
What is the Importance of the RERA Act?
There is not a single shadow of a doubt regarding the fact that the real estate sector is one of the most promising sectors for investment in Pakistan. This sector is now booming with every passing day thanks to various sorts of energizing projects such as:
- Capital Smart City
- Lahore Smart City
- New Metro City Mandi Bahauddin
- Hateem City Multan
- blue world city
- Faisal Hills
- Nova City Islamabad
But things were not always this flashy and neat for the real estate sector of Pakistan. The real estate sector of Pakistan had faced a plethora of issues in the past. All such issues hinted at the lack of authority that can regulate everything properly.
Because in the absence of everything, the realtors, the developers, and the investors were out of control and had nothing to follow.
That is when and what gave birth to a managing authority that helped to regulate the problems of real estate in Pakistan.
Things that You Need to Know About RERA
The Federal Government of Pakistan is in charge of allocating the chairman of RERA.
Developers are required to get approval from the dedicated parties or authorities in terms of either residential or commercial properties.
Generally, RERA is the main authority that approves all sorts of real estate projects. If a developer fails to acquire the approval of the RERA, then he or she cannot run, start or operate a housing society. One of the main things before diving into the real estate sector is approval from RERA.
The authority has the right to inquire the developer regarding details about their previous or ongoing projects. Developers also need permission from RERA to plan the marketing of their projects to the general masses.
Agents who want to get involved in the process of buying and selling properties need to first get themselves approved by RERA. They have to acquire a license from RERA before starting the business.
In case RERA finds any breaking of rules, irrelevancy, or false information on the end of the real estate agents, the authority can cancel the registration and nullify the license without any notice.
- The marketing organizations need to ask and apply for permission from the RERA.
- RERA plays a crucial and effective means to encourage the circulation of investment.
- RERA is responsible for protecting both the rights and power of investors and buyers.
Because RERA acts as a consultant, the managing authority has the power to solve the problems before taking them to the civil courts.
RERA also looks after the real estate projects that belong to government bodies.
What are the Roles of RERA?
- RERA holds the authority to instigate fines or charge fees if there is any sort of violence in the described, calculated, and communicated rules, and regulations.
- Plays a keen role in providing registrations to the following:
- Real Estate Agents
- Marketing Firms
- Developers of the Project
- Investors of the Project
- Manages, monitors, regulates, and keeps a bird’s eye view of the real estate trends, market, and industry of Pakistan
- Keeps track of customer complaints related to a project and takes serious notice.
- RERA is the managing and primary authority that is responsible for drafting, organizing, updating, and circulating property laws in Pakistan.
- The one managing authority that handles all the private and government-related projects of real estate.
- Is responsible for managing and regulating the entire property niche of Pakistan.
The Bottom Line
The above-mentioned blog is a clear indication of the fact that is related to all the confusion regarding the RERA. Remember that RERA is a crucial authority that is responsible for driving the real estate sector of Pakistan. This way the government is able to keep track of property disputes as well as fraud.
Reference: https://themrl.com/lahore-smart-city/