RERA Project Verification: What to Check Before Paying a Booking Amount
Reviewed by CA Nikhil Gupta · Last reviewed 30 August 2026 · Reflects the Real Estate (Regulation and Development) Act, 2016 and related State/UT RERA rules understood to be in force as of the review date; procedure and timelines vary by State/UT authority — verify current requirements on the applicable RERA portal before acting.
A pre-booking due-diligence workflow covering project registration, promoter history, approvals, title disclosures, timelines, litigation and payment accounts.
For broader context, see the Investing, Loans and Personal Finance Hub.
2-minute answer: Before paying any booking amount, look up the project — not just the promoter’s name — by its exact registered project name and registration number on your State or Union Territory’s RERA website, and read its Section 4 disclosures (approvals, sanctioned plans, land title, pending litigation). Pay only into the promoter’s own bank account named in the agreement, never a broker’s or agent’s personal account. Registration confirms the project is on record and disclosing as required; it does not certify clear title, construction quality or a guaranteed completion date.
The objective is to convert a high-value property decision into a record that can be independently checked before payment, possession or dispute.
Verify the project directly on the State/UT RERA portal, not from a brochure or broker screenshot.
Section 4 filings disclose approvals, sanctioned plans, land title and any ongoing litigation.
70% of allottee money must sit in a separate, use-restricted account under Section 4(2)(l)(D).
Registration confirms disclosure and process — not title, quality or a completion date.
What the buyer should understand
- Search the project by its exact registered project name AND registration number on the State/UT RERA website — a similarly named sister project or an earlier phase is not the same registration.
- Read the Section 4 disclosures filed against that specific registration: promoter track record, sanctioned layout and building plans, land title report, and any pending litigation on the project land.
- Confirm the promoter’s separate project account: under Section 4(2)(l)(D) of the RERA Act, 2016, 70% of amounts collected from allottees must be deposited in a dedicated bank account and withdrawn only against the construction/land-cost proportion certified jointly by an architect, an engineer and a practising chartered accountant.
- Never transfer a booking amount to a broker’s, agent’s or other unrelated party’s personal account — pay only the entity named as promoter in the RERA registration, into the account identified in the agreement or receipt.
- Cross-check the advertised possession date against the RERA-registered completion date — the two can differ, and only the registered date carries statutory consequences for delay.
- Registration confirms disclosure and regulatory process; it does not certify title, construction quality or guarantee timely completion — those need separate legal, engineering and payment-trail verification.
The 70% separate-account requirement is set out in Section 4(2)(l)(D) of the Real Estate (Regulation and Development) Act, 2016 (full Act, PDF).
For the connected rule, example or next step, see Builder Delay: RERA Complaint Evidence File for Homebuyers.
The five-point review
| Check | What to examine |
|---|---|
| Project or property | Exact phase, unit, seller/promoter and authority. |
| Legal record | Title, RERA, approval, agreement or tenancy record. |
| Money | Price, taxes, demands, loan and payment trail. |
| Physical status | Construction, possession, defects, utilities or occupancy. |
| Remedy | Correction, possession, refund, compensation or escalation. |
Practical example
A buyer sees a valid RERA number in an advertisement and transfers ₹5 lakh to a broker's personal account. The project may be registered, but the payee and refund terms are unsupported.
How to apply the framework
Fix the project, phase, unit and legal actor
Identify the promoter or seller, exact registered project phase, unit, competent authority, lender and payee. Similar project names, sister companies and neighbouring phases are common sources of error. A document for another tower or phase does not validate the buyer's unit.
Reconcile public records with the contract
Compare the relevant State RERA portal, sanctioned plans, local approvals, agreement, payment schedule, tax invoices, lender records and possession documents. Save the versions relied upon. RERA registration is an important transparency control, but it is not a title certificate and does not replace independent legal, engineering, tax or valuation work.
Keep every payment and representation traceable
Pay through banking channels to the correct legal entity, obtain receipts and maintain a cumulative payment ledger. Preserve brochures, emails, messages, demand letters and written promises. Do not rely on a broker or relationship manager to reconstruct the transaction after personnel change or dispute.
Apply current tax and lending forms
Tax and loan processes can change during a long project. For property TDS, the applicable form depends on the transaction date, seller status and governing Act; the legacy Form 26QB process should not be copied into post-1 April 2026 transactions that fall under Form 141 Schedule B. For home-loan insurance, the actual issued policy wording and schedule—not the sales pitch—control cover and claims.
Choose the remedy only after defining the objective
Possession, refund, interest, compensation, cancellation, loan restructuring and project completion can require different evidence and forums. RERA procedure, stamp duty, registration, tenancy, approvals and local property law vary by State and authority. Insolvency and lender security can also affect recovery. Obtain qualified advice before parallel or irreversible proceedings.
Implementation checkpoint
Before treating a milestone as complete, verify the live outcome: registered agreement, credited payment, accepted TDS statement, lender disbursement, revised amortisation, valid occupancy or completion approval, documented possession, repaired defect, society handover or registered complaint. Record the acknowledgement number, date, next deadline and unresolved mismatch.
Action checklist
- Download current official records.
- Match records with the agreement.
- Verify every payment and payee.
- Preserve photographs and communications.
- Define the exact relief or decision.
- Obtain State-specific legal and technical review.
Evidence to keep
- RERA/title/approval records
- Agreement, allotment and schedules
- Demand, invoice and payment trail
- Photographs, inspections and communications
- Complaint, handover or settlement acknowledgements
Warning signs
- Cash or personal-account demand
- Brochure conflicts with contract
- Approval cannot be verified
- Verbal-only promise
- One phase or unit confused with another
Finin2min takeaway
In property, the strongest protection is a consistent trail from public approval to contract, payment, construction, loan and possession.
Frequently Asked Questions
Source and review trail
Use the current official instrument, portal or regulator publication before acting. This panel separates the category authority from page-specific references.
- Primary category
- Property, Real Estate & RERA
- Official starting point
- mohua.gov.in