Maharashtra is all set to become the first state in India to implement the Real Estate (Regulation and Development) Act, 2016.

In a move that could bring cheer to the faces of many home-buyers, Maharashtra is all set to become the first state in India to implement the Real Estate (Regulation and Development) Act, 2016, which has many provisions that will help new buyers, while penalising non-complying real estate developers.

The bill was passed in both Houses of the Parliament in May 2016. While the law has been passed by the Central government, the states have the power to amend rules and regulations. On Thursday, the Maharashtra government asked the common man for suggestions to the draft law — which has been uploaded to the government's official website. Suggestions for the draft bill will be accepted until 23 December.

"We will be the first state to implement this law. We are always there for the consumers. Any consumer who feels that he or she is facing any kind of injustice can approach the tribunal to address their grievances," Prakash Mehta, the housing minister said.

Some key features of the bill are:

1) Upto now, a builder usually sells the property based on the build up area. Built-up Area is the carpet area plus the outer walls. Once the new rules are implemented, builders have to instead sell the property on carpet area. Carpet Area is the area enclosed within the walls, actual area to lay the carpet. This will help customers to pay only the amount for the area they will be occupying.

2) Charges for parking area have to be shown in the official agreement.

3) The onus of completing a project within a particular time frame lies on the real estate developer, failing which the developer would face penalty and also be sentenced to three years in jail.

4) To protect customers from being fleecing by estate agents, every agent has to register himself with the government.

5) To tackle the problem of increasing ghettoisation in urban India, the law prohibits builders from barring any potential customer on the basis of religion, caste, cultural or food preferences.

6) A builder cannot change the layout plan of building without the written approval of about 66 per cent of the buyers.

7) To enable more transparency in property transaction, the builder has to give every detail regarding the project to the prospective buyer.

8) If there is any delay in delivering the property, or if the buyer is not satisfied with the property, then he or she can claim a full refund within 15 days of buying it. The builder can be penalised too.

To address the grievances of property buyers, the law mandates the formation of a Maharashtra Regulatory Authority Board as a tribunal. The tribunal will comprise of the chief justice of the high court, the law and judiciary secretary and the housing secretary.

Here's a more detailed look at the draft rules:

Key Features of the Draft Rules by Firstpost on Scribd