What is RERA Carpet Area? / What is Carpet Area as Per RERA?
Introduction to RERA
To understand where RERA Carpet Area came from, we need to know what RERA is.
The Real Estate (Regulation and Development) Act, commonly known as RERA, has transformed the Indian real estate landscape. Introduced to protect home buyers and boost investments, RERA has set stringent regulations for developers and builders.
Definition of Carpet Area as Per RERA Guidelines
RERA’s definition of carpet area called, colloquially called RERA Carpet Area, provides a standardized measure for buyers and sellers. This standardization ensures transparency and fairness in property transactions.
As defined by RERA, carpet area refers to the net usable floor area of an apartment, excluding the area covered by external walls, areas under service shafts, exclusive balcony or verandah area, and exclusive open terrace area. However, it includes the area covered by the internal partition walls of the apartment.
A very detailed explanation of how the RERA Carpet Area is derived is available in this blog
Understand ‘what really matters to home buyers’
Comparison with Other Area Definitions
It’s essential to distinguish carpet area from other terminologies:
- Built-up Area: This includes the carpet area plus the thickness of outer walls and the balcony, shafts, deck etc.
- Super Built-up Area: Often termed as the saleable area, it consists of the built-up area plus the proportionate area of common spaces like lobbies and staircases. The proportion is divided as a ratio of your apartment area. Now which area the builder considers is left to the builder.
Various Types of area definitions
Importance of Carpet Area
Understanding the carpet area is crucial as it directly impacts the property’s value. Buyers and sellers must be well-informed to ensure transparent and fair transactions.
How to Measure Carpet Area?
The Importance of Accurate Measurement
Accurate measurement of the carpet area ensures that both buyers and sellers get a fair deal. Any discrepancies can lead to disputes and legal complications.
Step-by-step Guide on Measuring Carpet Area
- Start by measuring the length and breadth of each room using a laser measure.
- Multiply these measurements to get the area of each room.
- Measure the dimensions of the apartment in such a manner so as to get the thickness of the internal walls
- Sum the footprint of all the internal walls
- Add the areas of all rooms to the footprint of all the internal walls get the total carpet area.
- Remember to exclude balconies, terraces, and external walls.
Common Mistakes and How to Avoid Them
- Not accounting for wall thickness: Always measure from wall-to-wall.
- Forgetting small areas: Spaces like storerooms or utility areas should be measured too
- Not measuring properly : Remember to take the measurements at 90 degrees to the surface. As a practice it is better to take multiple dimensions to average our errors
Implications of Mis-measuring
A wrong measurement can lead to price discrepancies. Moreover, if a property is advertised with incorrect measurements, it can lead to potential legal issues or loss of trust among buyers.
What Do You Mean by Carpet Area?
Understanding the Term’s History or etymology
The term ‘carpet area’ has been in use for decades, but its definition has evolved over time, especially with the introduction of regulations like RERA. Earlier definition or common understanding was the area within the apartment that a carpet could be spread across – thus the term ‘carpet area’.
Comparison with Similar Terms Globally
In many Western countries, the term ‘livable area’ or ‘usable area’ is analogous to India’s ‘carpet area’.
Practical Tips for Property Buyers
Always ensure that the carpet area mentioned in property documents matches the actual measurement. It’s advisable to get an independent verification if there are any doubts. Further you are also advised to look at the clauses which may mention a certain range or acceptable variance in the area of the property. In many or most cases up to 2% is mentioned. Meaning if you buy a property of 1000 square-feet then a variance of 2% i.e. 20 square-feet is acceptable (if you have signed the agreement)
Some salient points that are brought about in RERA
- The developer 𝗰𝗮𝗻’𝘁 𝗺𝗮𝗸𝗲 any 𝗰𝗵𝗮𝗻𝗴𝗲𝘀 to the plan 𝘄𝗶𝘁𝗵𝗼𝘂𝘁 𝘁𝗵𝗲 𝘄𝗿𝗶𝘁𝘁𝗲𝗻 𝗰𝗼𝗻𝘀𝗲𝗻𝘁 𝗼𝗳 𝘁𝗵𝗲 𝗯𝘂𝘆𝗲𝗿. This provision will 𝗻𝗼𝘁 𝗮𝗹𝗹𝗼𝘄 the developer to 𝗶𝗻𝗰𝗿𝗲𝗮𝘀𝗲 𝘁𝗵𝗲 𝗰𝗼𝘀𝘁 of their projects.
- The law ensures that realty project is 𝗰𝗼𝗺𝗽𝗹𝗲𝘁𝗲𝗱 𝗶𝗻 𝘁𝗶𝗺𝗲. If delayed, then the developer will have to 𝗽𝗮𝘆 𝗶𝗻𝘁𝗲𝗿𝗲𝘀𝘁 on the amount paid by the buyer.
- 𝗥𝗲𝗴𝗶𝘀𝘁𝗿𝗮𝘁𝗶𝗼𝗻 𝗶𝘀 𝗺𝗮𝗻𝗱𝗮𝘁𝗼𝗿𝘆 for all commercial and residential real estate projects where the land is over 500 square metres or includes eight apartments & which are under-construction.
- As per the new act, every phase of apartment will be considered a 𝘀𝘁𝗮𝗻𝗱𝗮𝗹𝗼𝗻𝗲 𝗿𝗲𝗮𝗹 𝗲𝘀𝘁𝗮𝘁𝗲 𝗽𝗿𝗼𝗷𝗲𝗰𝘁, and separate registration needs to be obtained for each project.
- It is 𝗰𝗼𝗺𝗽𝘂𝗹𝘀𝗼𝗿𝘆 for a state to establish a State Real Estate Regulatory Authority as per the new act. Buyers could approach this body for redressal of their grievances.
- 📌 𝗧𝗵𝗲 𝗽𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝘄𝗶𝗹𝗹 𝗵𝗮𝘃𝗲 𝘁𝗼 𝗯𝗲 𝘀𝗼𝗹𝗱 𝘁𝗼 𝗯𝘂𝘆𝗲𝗿𝘀 𝗯𝗮𝘀𝗲𝗱 𝗼𝗻 𝗰𝗮𝗿𝗽𝗲𝘁 𝗮𝗿𝗲𝗮 𝗮𝗻𝗱 𝙣𝙤𝙩 𝗼𝗻 𝘀𝘂𝗽𝗲𝗿 𝗯𝘂𝗶𝗹𝘁-𝘂𝗽 𝗮𝗿𝗲𝗮 𝘄𝗵𝗶𝗰𝗵 𝘄𝗶𝗹𝗹 𝗯𝗲𝗰𝗼𝗺𝗲 𝗶𝗹𝗹𝗲𝗴𝗮𝗹 𝘂𝗻𝗱𝗲𝗿 𝘁𝗵𝗲 𝗻𝗲𝘄 𝗹𝗮𝘄.💯
- Failing to register a property will attract a penalty up to 10% of the project cost and a repeated violation could send the developer in jail.
- As per the new law, the developer will have to place 70% of the money collected from a buyer in a separate escrow account to meet the construction cost of the project. This will keep a check on developers who divert the buyer’s money to start a new project, instead of finishing the one for which money was collected & also ensure that the respective project is completed in time.
- If the buyer finds any shortcomings in the project then buyer can contact the developer in writing within one year of taking possession.
- The law has a provision of a maximum jail term of three years with or without a fine, for a developer who violates the order of the appellate tribunal of the RERA.
- All approvals should be in place.
- Structural changes require 2/3 buyers approval
- Imprisonment in case of delay or changes to what has been promised.
- Provide all details on web-site with regular updates
- Rectification of defects within 5 years