Penalties under RERA across states


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In a bid to expedite the registration of realty projects under RERA, Maharashtra and Uttar Pradesh have imposed several penalties on developers who failed to list their projects with the state’s regulator. takes a closer look at the action that will be taken against defaulters who flout the norms.

All developers, builders and brokers and ongoing realty projects were mandated to register with the real estate regulatory authority until July 31, according to Real Estate (Regulation and Development) Act (RERA) 2016 rules.

However, while several developers rushed to register within the stipulated time, many failed to meet the deadline. States such as Himachal Pradesh and West Bengal have not even notified RERA norms yet. Some others are delayed in launching their websites for project registration.

Taking cognizance of the situation, some states including Uttar Pradesh and Maharashtra have decided to tighten the noose on defaulters and announced a penalty clause for those registering post July 31. Although the penalties are not too high initially, the government will take strict action in future if developers fail to register within the extension provided.

Here are the list of penalties imposed by different states:


The Rajasthan Real Estate Regulatory Authority (Rajasthan RERA) has raised the penalty on non-registration of real estate projects with RERA from 2 percent to 10 percent. The new penalty norm is applicable from October 1 onwards.

Earlier, the Authority had imposed two percent of the project cost or 10 times the registration fee, whichever is higher, as penalty for developers registering their projects post August 31 till September 30. 


The Gujarat Real Estate Regulatory Authority (Gujarat RERA) has decided to impose penalty charges for developers registering their ongoing projects under the Real Estate (Regulation and Development) Act (RERA) post October 1. A fine equivalent to the registration fee for the properties would be charged on projects registering between October 1 and 31.

Meanwhile, a higher penalty amounting to double the registration fee would be levied on registration applications received between November 1 and November 30. However, no penalty will be charged for developers registering their projects till September 30.


The Maharashtra Real Estate Regulatory Authority (MahaRERA) has decided to double the penalty charges for developers registering their ongoing projects under the Real Estate (Regulation and Development) Act (RERA) between September 1 and September 30. A penalty amounting to Rs 2 lakh or an amount equivalent to double the registration fee, whichever is higher, would be levied on applications received during this period.

Earlier, MahaRERA had announced a penalty of Rs 1 lakh or an amount equivalent to the registration fee, whichever is higher, for projects' applications received from August 16 till August 31.

The state regulator has received over 2,200 applications for registration of ongoing projects till August 31. Of these, around 800 applications have been received between August 16 and August 31. Post September 1, 54 applications have been submitted for RERA registration.

Uttar Pradesh

The Uttar Pradesh government had already extended the deadline for project registration until August 15. Now, the state government has decided to impose the fine on developers registering their projects from August 16 onwards.

  • Developers registering their projects till August 31 were liable to pay a penalty of one percent of the overall project cost.
  • If a developer fails to register his project with UP RERA post August 31, then he was charged five percent of project cost as penalty till September 15.
  • A higher fine of 10 percent was imposed on builders registering with the authority in between September 16-30.


The Karnataka government has imposed a penalty of Rs 10,000 per day for agents or up to 10 percent of the cost of the project or a three years of imprisonment for builders/agents selling or advertising projects without RERA registration.

It should be noted that the Goa government had given an extension of three months to builders to register their ongoing projects under RERA. Following this, the Telangana government is also considering to extend the registration deadline for another 2-3 months.


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  • Comments
  • Mayuresh September 28, 20177:40 pm

    Very good & informative Article. thank you for posting.

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