What RERA Carpet Area Means and How is it Calculated
Introduction
Investment in an apartment or any real estate property can be a daunting task because a lot of research work is needed to be done. Calculating the area before shifting or buying one real estate property is one of the most important things to consider. Previously, a total of three types of sites were calculated. Those are the Carpet area, built-up Area, and super built-up Area. Any of these three areas was mentioned while buying a real estate property. But due to these multiple options, developers, builders, and even property buyers often got stuck in various fraudulent activities, which led them to lots of property-related issues. Due to those fraudulent activities, usually, property buyers get fewer apartment areas than previously mentioned in the details of a property.
To get rid of this kind of issue in the future, the Real Estate (Regulation and Development) Act, 2016 (RERA) came up with a provision that stated that all builders have to quote the total price of any apartment based on the RERA carpet area. Also, this statement mentioned that there is no value in a super built-up area. Well, since then, the RERA carpet area has become mandatory. The RERA carpet area has been protecting all homebuyers for years now.
But for new homebuyers, these kinds of terms are not so understandable. So, to make all understand this, we have added details regarding the RERA carpet area, how it is calculated, what its importance is, etc.
Make sure to go through the detailed context, so there is no such problem in finding the actual area of any apartment.
What is the RERA carpet area?
According to the Real Estate Regulatory Authority, the carpet area is an apartment’s net usable floor area along with the internal walls. But this area will exclude the size of external walls, service shafts, exclusive balcony or verandah area, and complete open terrace. Exclusive indicates the site of the open deck is intended for the exclusive use of the allottee. This is the leading carpet area any builder or developer has to follow.
If the property is under construction, there may be a difference between the mentioned carpet area and the original one after construction. It can be increased or decreased. If there is any change, homebuyers will get a refund. The builder will refund the excess amount with annual interest if there is a decrease. Also, the amount has to be refunded within 45 days. If the area increases, a homebuyer has to pay the excess amount; however, an upper limit of the growth has been capped at 3% by RERA.
What is the general carpet area?
The general term for carpet area is where a carpet can be laid. According to construction technology, it is a net usable area of an apartment, which excludes areas covered by external walls, areas under service shafts, exclusive balconies or verandah areas, and complete open terraces.
There are many words in the RERA or general carpet area. Here is the list of essential phrases you should understand.
| Common Areas | Areas are designed by the builder in a real estate project for the common use of all the residents. The common area includes places like staircases, lifts, gyms, swimming pools, parks, footpaths, etc. |
| Exclusive verandah or balcony area | Verandah or balcony area permanently attached to the flat or apartment of the homebuyer. |
| Exclusive open terrace area | Open terrace area permanently connected to the flat or apartment of the buyer |
| Loading Factor | Proportionate factor is calculated in per cent or otherwise implying the usage of the shared areas. |
| Per Square foot Rate | Rate used by the builder to sell the flats or apartments. |
What is the difference between the RERA Carpet and general Carpet Area?
As we previously mentioned, the details of the terms. The difference is the thickness of the internal walls. As per the RERA carpet area, the inner wall is also composed, but in the case of the general carpet area, interior walls are not included. It may be just a 5% difference between these two areas. The RERA carpet area will be more significant.
- A brief description of the built-up and super built-up areas is given for your convenience. Before the RERA carpet area was implemented, any price was fixed according to the build-up area or the excellent built-up area.
Built-up Area: It is an area of a premise counted from the external boundary wall veneers. It contains the carpet area and the wall thickness. It also comprises other apartment areas such as the dry balcony, terrace, flower beds, etc.
Here is the formula for estimating the built-up area:
Built-up area = Carpet area + area of walls
Super build-up area: It is an area of premises that is a saleable area. This area includes a carpet area, terrace area, walls, lifts, stairs, and balconies. Also, some builders have a garden area, pool area, or clubhouse area. The loading factor on the carpet area is utilized to count the super built-up area.
RERA signifies that a super built-up area consists of carpet, built-up, and common areas like stairs, lifts, lobbies, etc.
Here is the formula for calculating super built-up area:
Super built-up area = Built-up area + common areas
What consequences are visible in the RERA carpet area?
Since the RERA carpet area was introduced to the real estate industry, many changes have occurred. Here are those.
- Transparency of the real estate market increased more than in previous.
- Trade and business practices are standardized.
- It became easier for any builders or developers to build trust and assurance.
- Marketing brochures of any real estate property became apparent to homebuyers.
- The sale cost is now based on the RERA carpet area only.
- Any disagreement will result in an adjustment of reference of the sale price
How to calculate the RERA carpet area
RERA Carpet area is easy to gauge because the carpet area is 70% of the built-up area in most cases. As an example, if the total build area is 2000 sq. Ft, the carpet area will be 70% or 2000 sq. Ft, i.e., 1400 sq. Ft.
You must learn a few things while measuring the RERA carpet area.
- Always take help from a professional technical assessor.
- Make sure to ask legal and technical assessors of a property to check for specifications before going for a home loan.
- Always check with other property prices. Builders may be giving a higher price based on the RERA carpet area. You can negotiate in this case only if you have an idea of the property price.
Provisions under RERA
Here are the must-know provisions under RERA
- Sale of Real Estate (building) in Carpet Area – Unit of Measurement
- Assurance of money (minimum 70%) realized from Allottees in a separate assigned bank account for the distinct project – Financial Regulation under RERA
- Conveyance of only Carpet Area to the Allottees. Common Area to the Association of Allottees
- Project Land shall be handed to the Association of Allottees.
- Agreement for sale is compulsory to be accomplished, and Registration of such contract for sale.
- Format for Agreement for sale is reported. Compulsory to observe the same design without cutting the requirements of the Act, Rules – Sec 13 and Rule 8 A
- Nonadherence and disobedience penalties are up to 10% of the evaluated cost of the Real Estate Project – an expensive affair.
How can you save money after knowing the RERA carpet area?
The Real Estate Regulatory Authority has brought transparency to the real estate industry so that homebuyers can get real value for money. Every real estate project since 2016 has to be registered under the Real Estate Regulatory Authority. As all projects are under the RERA guidance, a builder has to quote money per the RERA carpet area. So homebuyers do not need to spend extra money by any chance.
An interested homebuyer has to pay additional property tax throughout their life. While purchasing a property, one must be attentive to understand if the area is sufficiently covered. Another important factor is there may be a few circumstances where a builder or developer quotes a higher super built-up area that is non-existent.
What can be done in case of any dispute?
If any homebuyer gets stuck in any dispute or injustice, it is possible to reach out to RERA. There is a way to file a complaint against a promoter, builder, or developer. This complaint can be filed on the state RERA website, or homebuyers can also apply to the RERA office. Within 60 days, the complaint will be exposed.
What can be the penalty against developers or builders for false information?
If a builder or a developer furnishes any incorrect statement regarding the area of an apartment or the cost of a flat, it will lead to a fine. Under Section 61 of the RERA Act 2016, if a developer provides any incorrect information or other such violation, he will be responsible for producing a forfeiture of 5% of the estimation of the project.
How to file a RERA complaint online
If there is any dispute regarding the RERA carpet area, the homebuyer can file a complaint online. Here is how you can file a complaint about a RERA dispute.
- First, visit the state website of the Real Estate Regulatory Authority.
- Now, visit the link of the complaint registration option.
- After visiting the compliant registration option, you will be automatically redirected to the page where you need to fill in the details about the complaint you want to file.
- Also, you need to fill in the details of yourself as a property buyer. Later, the real estate developer or builder’s details must be filled in the form.
- Detailed information like Aadhar number, address, contact details, etc., is required in the next step.
- In the last step, you need to pay a complaint registration fee of INR 1000. The payment can be made through a debit card, credit card, net banking, etc.
The state-wise RERA website
- Maharastra: https://maharerait.mahaonline.gov.in/
- Delhi: https://www.rerafiling.com/rera-delhi.php
- Karnataka: https://rera.karnataka.gov.in/home?language=en
- Telangana: http://rera.telangana.gov.in/
- Haryana: https://haryanarera.gov.in/
- Uttar Pradesh: https://www.up-rera.in/
- Tamil Nadu: https://www.rera.tn.gov.in/
Bottom Line
Before buying any real estate property, it is essential to check the RERA carpet area in advance. Also, a real estate developer, builder, or promoter is responsible for sharing detailed information regarding the RERA Carpet area. So, check the information and make your dream house or any other property legal enough to avoid future disputes.
Frequently Asked Questions (FAQs)
- How is carpet area calculated?
Carpet area = area of bedroom + living room + balconies + toilets – the thickness of the inner walls.
- What is not included in the RERA carpet area?
According to the RERA, carpet area is described as ‘the net usable floor area of an apartment, except the area covered by the external walls, areas under services shafts, exclusive balcony or verandah area and open terrace area.
- What is the difference between carpet area and RERA carpet area?
The carpet area usually indicates anything inside the outer walls of an apartment, excluding the balconies, verandah, wall thickness, or open terraces and shafts. According to RERA, the carpet area will contain the area covered by the apartment’s internal walls and the net functional floor area.
- What is a Saleable area as per RERA?
The saleable area is the total built-up area of your flat (explained above) plus your proportionate share of the standard amenities in your building complex.
- What is MOFA carpet?
MOFA carpet area is the whole area of the floor along with the balcony.
- What is the difference between the terrace and the balcony?
Terraces are flat areas on the side or roof of a building, while balconies are raised platforms that are always connected to a room.
- How to calculate RERA Carpet Area?
Usually, the carpet area is 70 percent of the built-up area. You can only gauge the carpet area if you know the built-up area.
