Real Estate Law Means More Work, More Jobs
For India’s Real Estate Regulatory Authority (RERA) to function well, a lot of other requirements need to be in place. According to a study by industry body Associated Chambers of Commerce and Industry, about 31.1 million people must be recruited to let these state bodies function. Additionally, the sector-specific law is creating grand opportunities for other businesses, too.
Playes to keep track
Unregistered projects have by far been the toughest challenge for regulatory authorities across the country. To counter that, the Karnataka RERA roped in private firms that would help identify unregistered projects within the planning area. In and around Bengaluru, there are 1,294 unregistered projects.
Only Karnataka has stepped in to rope in a private consultancy for a Rs 5 lakh-worth project that will require such consultancies or individuals to be competent with technologically sound ways of mapping unregistered projects. This is being done on a pilot basis. In future, we may hear about other states following suit.
Time for title insurance
Title insurance is an efficient tool to make sure property purchase does not turn into a trouble in future. If a buyer has bought title insurance, his service provider would compensation him in case there are any challenges made on the ownership in future. This is an unexplored area in India. The arrival of the real estate law has opened up an entirely new segment of insurance companies that could do a business of Rs 10,000 crore. The Act mandates that developers get title insurance for their projects. This is quite a benefitting scenario as far as buyers are concerned.
Project managers in demand
The real estate law is all about timely completion of work. To go right, developers are now hiring project managers. Project management has become a key area for developers to focus on given that these can help streamline communication channels, outline the scope of the project, determine the timeline for delivery, ensure optimal management of vendors and quality control in the procurement and construction process.
More jobs for practicising CAs, lawyers
Chartered accountants would now never have time to rest. From the start of a real estate project to its end, developers would need help of CAs for project registrations, to map the project status, to chalk out extension requests or withdrawal requests, to certify cost of construction or stage of construction, to audit as well as appear before the Appellate Tribunal or other competent authorities. Same goes for lawyers, too.