In a bid to enhance transparency and consumer protection, the Maharashtra Real Estate Regulatory Authority (MahaRERA) has issued a new circular mandating that all housing project advertisements prominently display the project's registration details. This directive, effective from April 8, 2025, comes in response to growing concerns from homebuyers about inadequate information disclosure in real estate advertisements.
New Requirements for Housing Advertisements
The circular stipulates that developers must prominently display the following details in all housing advertisements:
These details must appear in a font size that is equal to or larger than the project's contact information and must be positioned in the top right quadrant of the advertisement. The information should be displayed in clearly visible colours to ensure legibility.
The circular applies to all forms of advertising, including newspapers, leaflets, electronic media, hoardings, social media, and messaging platforms. This move aims to ensure that homebuyers have easy access to critical information and can verify the legitimacy of the projects they are considering.
Penalties for Non-Compliance
Failure to comply with these guidelines will result in penalties ranging from Rs. 10,000 to Rs. 50,000. If corrections are not made within 10 days after the penalty is imposed, further action will be taken under the Real Estate (Regulation and Development) Act 2016. MahaRERA officials noted that earlier, the registration details were often placed in non-prominent areas with small font sizes, which hindered homebuyers' ability to verify whether a project was registered under MahaRERA.
Enhancing Transparency and Consumer Protection
The new directive aims to bolster transparency in the real estate sector and safeguard the interests of homebuyers by making important project information more accessible. Homebuyers have long expressed frustration over the lack of visible registration details in project advertisements, particularly in large boards and ads for new developments.
According to Section 11(2) of the Real Estate (Regulation and Development) Act, 2016, all promoters must include the registration number obtained from the authority and the MahaRERA website address in every advertisement. Additionally, Rule 14(2) of the Maharashtra Real Estate (Regulation and Development) Rules, 2017, requires registered real estate agents to include both the agent registration number and the project registration number in all advertisements.
Reactions from Homebuyers and Developers
Homebuyers have welcomed the new directive, saying that the visibility of MahaRERA numbers in advertisements will help them make more informed decisions. However, some critics argue that these regulations should have been enforced earlier, given that over 40,000 projects are already registered under MahaRERA.
Developers are now expected to adjust their advertising practices to meet the new guidelines, ensuring that all necessary registration details are visible and easily accessible to prospective buyers.
Conclusion
MahaRERA’s new regulation aims to protect homebuyers by ensuring that they have easy access to essential project information before making any purchasing decisions. By mandating the prominent display of registration details in advertisements, the state government is taking significant steps toward improving transparency and accountability in the real estate sector.