In the absence of a strong Real Estate Regulation, most of the real estate projects in India are delayed for one reason or other. The prime reason for delays is non-payments of delay penalty owing to Force Majeure etc. In most of the cases, the developer doesn’t fear the delay penalty as it is not even considered. Even if some of them have to roll out delay penalty, it is hardly 1-3% of the money deposited by the homebuyer. Where on the earth can a business get easy access to capital at just 1-3%?
A rough calculation shows that Indian real estate consumer collectively wasted 300 million hours because of the delays in the delivery their houses and other issues faced in the absence of a strong real estate law. This infographic chart explains the rough calculation:
The number of hours per person includes doing rounds of developer office, courts, authorities and time spent discussing the issue online and offline.
This data is a rough calculation and the idea is to tell the sleeping governments that we have wasted so much of productive hours on real estate issues. Instead of wasting these hours for petty issues, these hours could have been used in the progressive development of this country.
We hope that the Politician would allow smooth passage of the Real Estate (Regulation and Development) Bill 2015.