Short Answer

Yes, RERA can order a reduction in sale price or refund to buyers if the builder fails to complete the project.

Detailed Explanation

Section 18 of the Gujarat RERA Act empowers the Authority to order a reduction in the sale price or refund to buyers if the builder fails to complete the project within the agreed timeline. This means that if a builder delays the completion of a project without valid reasons, RERA can intervene to protect the interests of the homebuyers. In practice, this provision acts as a deterrent for builders to adhere to project timelines and ensures accountability towards buyers.

For example, if a builder fails to complete a residential project within the stipulated time frame, RERA can order the builder to reduce the sale price or provide refunds to the affected buyers. This ensures that buyers are compensated for the delay and are not unfairly burdened by the builder's non-compliance with project deadlines. The process typically involves complaints being filed by the affected buyers, followed by RERA's investigation and issuance of appropriate orders based on the findings.

Another scenario could be where a builder overcharges buyers for a project that is delayed significantly. In such cases, RERA can order the builder to refund the excess amount charged to the buyers, thereby ensuring fairness and transparency in real estate transactions. This provision under Section 18 acts as a safeguard against unscrupulous practices by builders and promotes consumer protection in the real estate sector.

In summary, Section 18 of the Gujarat RERA Act provides the necessary legal framework for RERA to intervene and order a reduction in sale price or refunds to buyers in cases of builder delays in completing projects. This ensures that buyers' interests are protected and promotes accountability and transparency in the real estate industry.

References

• Gujarat RERA Act and Rules: https://gujrera.gujarat.gov.in/