Property Matters Advocate on Recurring Problems in the Realty Sector

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Property Matters Advocate

• on
• Recurring Problems in the Realty Sector

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• As Mr. Kislay Pandey, property matters advocate,
  the Supreme Court of India explained that we
  required a governing body to control the
  activities of real estate players. Besides,
  customers/investors must also inquire in advance
  before finalising a deal.
• Government has changed, market is improving and
  investors are willing to make money from the
  sector which turned the fortune of many in the
  past, mean real estate. The sector which was the
  key contributor in heydays of the economy is
  changed gradually and that is why lots of people
  who become the victim of changes or more
  realistically the hidden practices of these
  shrewd realtors are apprehensive to invest their
  hard earned money. Things that worry them quite
  often are hidden charges, delivery delays and
  rise in prices amidst the project. According to
  Mr. Kislay Pandey, property matters advocate, the
  Supreme Court of India, " A considerable
  percentage of builders comes under unfair and
  unethical practices. Sometimes they break their
  promises.

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• It is observed in the past that many companies
  which were investing lavishly on marketing and
  advertising stopped their operations overnight
  and vanished from the market. This situation lead
  to frustration of investors/ customers and its
  negative outcome can be noticed throughout the
  market. According to Mr. Kislay Pandey, property
  matters advocate, the Supreme Court of India, "
  Regulation of Development Act is not the solution
  of all problems. Many in real estate business are
  governed by a set of regulations that create the
  actual problem and give birth to frauds and
  crimes in the real estate sector.
• That is why, Deepak Parekh, chairman of HDFC,
  India's largest housing finance company, said,"
  It is absolutely essential to have a real estate
  regulator. The absence of a regulator is the root
  cause of corruption, anxiety and malpractice".
  Similarly, Mr. Kislay Pandey, property matters
  advocate, the Supreme Court of India," Like SEBI
  in the stock market, there is a need of an
  autonomous body to review and regulate the
  market. This way both investors and end users
  proceed to the governing body and express their
  grievances".

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• After commissioning of such regulatory body for
  the Indian real estate market, it will be the
  responsibility of this governing body to give a
  green signal to a project after evaluating all
  the documents of the real estate company and
  documents of the land where the project has got
  approval. Many builders are cheating innocent
  customers and investors by selling a project
  without getting an approval. In addition, the
  approval system for builders should be quick,
  simple and transparent. India has federal
  structure and it is obvious that needs and
  objectives of both the government may vary. The
  significant step in this regard will be
  introduction of property laws in the concurrent
  list.