The Real Estate (Regulation and Development) Act, or RERA, was introduced to bring transparency, accountability, and trust to India’s real estate sector. Karnataka, being one of the fastest-growing real estate markets, has strict RERA compliance requirements for residential and commercial projects. While RERA protects homebuyers and enhances developer credibility, many developers still make avoidable mistakes during RERA Karnataka registration, resulting in delays, penalties, and even legal disputes.For high-profile projects like Embassy One in Bengaluru, which is known for its premium residential offerings, following RERA regulations meticulously is crucial to maintain trust and ensure smooth operations.In this blog, we explore common mistakes in RERA Karnataka registration and provide actionable tips to avoid them.
A frequent mistake developers make is submitting inaccurate or incomplete project information. Errors in project name, plot details, unit sizes, or amenities can lead to registration rejection or require amendments.How to Avoid:
RERA Karnataka requires developers to submit proof of all necessary approvals, such as building permits, environmental clearances, and land titles. Many projects face delays due to missing or incomplete approvals.How to Avoid:
Some developers market their projects before completing RERA registration, which is a direct violation. Advertising a project without RERA registration can attract fines and legal challenges.How to Avoid:
RERA mandates transparency in fund usage, including depositing at least 70% of collected funds in an escrow account. Misreporting financials or diverting funds can lead to penalties.How to Avoid:
Some developers fail to set up the required escrow account or misuse funds, which is a serious RERA violation.How to Avoid:
Missing land titles, sale deeds, or partnership agreements often cause registration delays.How to Avoid:
Errors in carpet area calculation can create disputes between buyers and developers.How to Avoid:
RERA requires developers to regularly update project progress on the portal. Neglecting this can lead to fines or cancellation.How to Avoid:
Many developers are unaware of new RERA amendments or guidelines, leading to unintentional non-compliance.How to Avoid:
Trying to manage RERA registration without legal or financial experts is a common mistake.How to Avoid:
RERA Karnataka has brought transparency, accountability, and trust to the real estate industry. However, registration errors such as incomplete project details, missing approvals, late registration, financial mismanagement, and legal discrepancies are common pitfalls for developers.Avoiding these mistakes ensures smoother registration, protects buyers, and builds developer credibility. For premium projects like Embassy One, adhering strictly to RERA regulations is not just a legal requirement — it’s essential to maintain brand reputation and buyer confidence.By preparing documents carefully, consulting professionals, updating project progress regularly, and being transparent with financial disclosures, developers can make the RERA registration process seamless. Ultimately, this benefits both developers and buyers, ensuring a secure, reliable, and trusted real estate experience in Karnataka.