Investing in a property whether residential or commercial is a major financial decision. In India, the Real Estate (Regulation and Development) Act, 2016 (RERA) was introduced to bring accountability, transparency, and regulation to the real estate sector. One of the most important safeguards for homebuyers is ensuring that a project is properly registered under RERA, especially when checking RERA Registration Before Investing to avoid legal or financial risks.

Verifying a builder’s RERA registration before investing protects buyers from misleading advertisements, unlawful project launches, and financial risks. This article explains the complete process to verify RERA registration, the documents you should check, relevant legal provisions, and common red flags. It is written in clear, accessible language for general audiences and does not offer legal advice.

Why RERA Registration Matters Before Investing

Under Section 3 of the Real Estate (Regulation and Development) Act, 2016, a builder cannot advertise, market, sell, or book units in a real estate project without obtaining prior registration with the respective state’s RERA authority. This requirement applies to residential, commercial, plotted developments, and mixed-use projects.

Key reasons why RERA registration is essential:

  • It confirms that the project meets basic legal prerequisites.

  • It ensures the builder has submitted title documents, sanctioned plans, layout approvals, and financial details.

  • It restricts diversion of funds—70% of project funds must be kept in a separate escrow account.

  • It enables buyers to track progress, financial disclosures, and regulatory updates.

  • It provides a dispute-redress mechanism if compliance issues arise.

RERA exists to protect homebuyers and standardize builder practices, making verification a crucial first step before investing.

How to Verify a Builder’s RERA Registration Before Investing

Below is a step-by-step process designed to help buyers check compliance with RERA requirements. These steps apply universally regardless of the state where the project is located.

Step 1: Collect the RERA Registration Number From the Builder

Always begin by asking the builder for the project’s official RERA registration number, also known as the RERA Project ID or Registration Certificate Number.

A genuine and compliant developer will:

  • Provide the number immediately

  • Share an image or copy of the RERA Certificate

  • Display the number in brochures, advertisements, promotional material, and the project site board (mandatory under RERA)

If the developer refuses, delays, or gives vague information, consider this a potential red flag.

Step 2: Identify the Correct State RERA Authority

Each state and union territory in India has its own Real Estate Regulatory Authority. The RERA registration number provided by the builder typically indicates:

  • The state or UT code

  • The year of registration

  • The project application code

For example:
PBRERA-SAS81-PR0123 indicates Punjab RERA, SAS Nagar region, project code 0123.

Always ensure you are checking the registration on the correct state’s official RERA website.

Step 3: Search the Project on the RERA Portal

On the official RERA portal, use the following search methods:

  • Enter the RERA registration number

  • Search by promoter/builder name

  • Search by project name

  • Search by district or city

A compliant project listing will show:

  • Project name and builder details

  • Registration validity period

  • Sanctioned layout plans

  • Building approvals and NOCs

  • Bank account details for escrow

  • Quarterly progress reports

  • Status (ongoing/completed)

  • Litigations disclosed by builder

If no results appear, consider it a major warning sign.

Step 4: Verify the Registration Certificate Details

Once the project appears, carefully verify the RERA Registration Certificate. Under the Act, this certificate confirms that the Authority has reviewed and approved the project’s basic eligibility.

Check the following:

1. Registration Number

Ensure it matches the number provided by the builder.

2. Validity Period

RERA registration has an expiry date. Verify:

  • The registration is active

  • The project has not lapsed

  • Any extension has been officially granted under Section 6 of the Act

3. Promoter Details

Cross-check promoter names, company name, and authorized signatories.

4. Construction Phase

Confirm the approved number of towers, floors, and units.

Any mismatch between builder claims and RERA information requires caution.

Step 5: Check Approved Plans and Legal Documents

Under Section 4 of RERA, developers must submit crucial project documents. Review these carefully on the RERA portal.

Important documents to check:

  • Approved layout plan

  • Sanctioned building plan

  • Commencement certificate

  • Land title documents

  • Legal title report

  • Encumbrance certificates

  • NOCs (environmental, fire, airport authority if applicable)

  • Development agreement (if builder is not the landowner)

Compare the submitted documents with what the builder has shared with you.

If certain documents appear missing or incomplete, treat it as a compliance gap.

Step 6: Review Financial Disclosures and Escrow Compliance

RERA requires builders to deposit 70% of project funds into a separate bank account. This ensures money is used only for construction and land costs and prevents diversion to other projects.

Check:

  • Financial disclosures

  • Bank account details

  • Quarterly updates filed by builder

  • Certification by engineers, architects, and chartered accountants

If quarterly updates have not been uploaded, it may indicate financial delays or non-compliance.

Step 7: Check Project Completion Status and Updates

RERA mandates quarterly reporting by builders, including:

  • Percentage of work completed

  • Stage-wise construction progress

  • Status of infrastructure and amenities

  • Status of approvals

Compare these updates with what you observe at the project site.

Lack of updates or irregular reporting could signal slow progress, disputes, or compliance issues.

Step 8: Check Litigation, Complaints, and Penalties

RERA requires builders to disclose existing or pending litigation related to:

  • Land ownership

  • Project approvals

  • Environmental clearance

  • Contractor disputes

  • Homebuyer complaints

Also check the orders or penalties issued by the Authority under Sections 59–72.

If a project has multiple unresolved complaints or builder penalties, exercise caution.

Step 9: Verify the Model Agreement for Sale

Under Section 13 and Section 17 of RERA, builders must use a standardized Agreement for Sale that clearly states:

  • Carpet area

  • Total price calculation

  • Payment plan

  • Possession timeline

  • Interest rates on delay

  • Conditions of cancellation

  • Indemnity and obligations

You may request a draft copy from the builder and compare it against the RERA-uploaded version.

Any difference may indicate non-compliance.

Step 10: Check if the Project is Marked as “Lapsed”, “Revoked”, or “Cancelled”

A project can be marked as:

  • Lapsed – registration expired due to missed deadlines

  • Revoked – cancelled under Section 7 for violations

  • Under Investigation – pending regulatory action

If the project displays any such status, avoid investing until the issues are resolved.

Step 11: Verify Phase-Wise Registration (If Applicable)

Many large townships and multi-tower projects register each phase separately under RERA. Ensure:

  • The phase you are planning to purchase in is registered

  • The registration number belongs to that specific phase

  • Amenities promised belong to your phase and not another

Builders sometimes mislead buyers by showing approvals of other project phases.

Step 12: Cross-Check Developer’s Past Project History

RERA maintains historical records of completed and ongoing projects of a promoter.

Check:

  • Timely completion of past projects

  • Complaints filed against previous projects

  • Default history

  • Quality and possession track record

While RERA registration is important, a builder’s past behavior also helps evaluate long-term reliability.

Common Red Flags During RERA Verification

Be cautious if you observe any of the following:

  • Builder delays providing the RERA number

  • Information on the portal doesn’t match with marketing claims

  • Approvals uploaded appear incomplete

  • RERA registration shows expired validity

  • Builder’s past project history shows multiple delays

  • Litigation section reveals major disputes

  • Quarterly updates not uploaded

  • Project shows “Lapsed” or “Revoked” status

These indicators suggest potential legal or financial risks.

Legal Framework Governing RERA Registration

To understand the basis of verification, here are some key legal provisions from the Real Estate (Regulation and Development) Act, 2016:

Section 3

Mandatory registration before advertising or selling.

Section 4

Documents required for registration, including title deeds, approvals, layout plans, and promoter details.

Section 5

Grant or rejection of registration upon Authority review.

Section 6

Validity extensions allowed only due to force majeure or justified delay.

Section 7 & Section 8

Revocation of registration for violations and continuation of project through competent authorities.

Section 11

Promoter’s ongoing duties, including quarterly updates.

Section 17

Requirement to execute a registered conveyance deed and handover documents.

Section 59–72

Penalties for non-registration, false information, and non-compliance.

These sections create accountability and empower buyers to evaluate projects transparently.

Practical Tips to Ensure Safe Investment

  • Avoid investing in pre-launch or unofficially launched projects.

  • Always cross-verify approvals rather than relying solely on verbal assurances.

  • Compare RERA data with site visits.

  • Document your communications with the builder.

  • Do not rely on social media claims or advertisements without verification.

  • Seek neutral professional opinion if documents appear inconsistent.

FAQs on Verifying Builder’s RERA Registration Before Investing

1. Is it mandatory for every project to be registered under RERA?

Yes. As per Section 3 of the Act, all real estate projects exceeding 500 sq. mtr or 8 apartments must register unless exempted under the Act.

2. What if the builder says registration is “under process”?

Buyers should not invest until the registration is officially approved and visible on the RERA portal.

3. Can a builder sell units without RERA registration?

No. Selling or marketing without registration is a penalty offence under Section 59.

4. What if the registration number given by the builder is fake?

If the number does not appear on the RERA portal, it may be a fraudulent claim. Buyers should avoid investing.

5. How often should I check project updates?

Quarterly. Builders must upload progress every quarter as per Section 11.

6. Do ongoing projects also need RERA registration?

Yes. All ongoing projects without Completion Certificates must register.

7. Can RERA registration be cancelled?

Yes. Authorities can revoke registration for violations, false disclosures, or irregularities under Sections 7 and 8.

8. Is the RERA registration number the same for all phases?

No. Each project phase requires separate registration.

Verifying a builder’s RERA Registration Before Investing is one of the most effective ways to ensure transparency, legal compliance, and financial security. RERA provides a structured framework for buyers to make informed decisions by offering access to project approvals, builder credentials, financial disclosures, and progress updates.

By following the step-by-step process outlined above, buyers can confidently assess whether a project meets the legal and regulatory standards established under the Real Estate (Regulation and Development) Act, 2016. This helps reduce risks and promotes fair practices in the Indian real estate market.