Delhi RERA 2025 Directions: A New Era of Compliance and Transparency

Introduction

In a significant push to strengthen compliance in the real estate sector, the Delhi Real Estate Regulatory Authority (Delhi RERA) has rolled out a set of binding directions targeting promoters and agents operating within the National Capital Territory. Recently brought into effect under Section 37 of the Real Estate (Regulation and Development) Act, 2016, these directions aim to close long-standing regulatory gaps around disclosure, financial discipline, and accountability.

Rather than functioning as routine clarifications, the directions mark a shift toward active regulatory enforcement. They are designed to address widespread non-compliance ranging from outdated project statuses to opaque financial reporting and are likely to shape the compliance landscape in the months ahead.

Key Highlights of the Directions

• 1. Quarterly Disclosure Mandate: Perhaps the most significant direction is the mandatory quarterly update requirement. Promoters of registered projects must now upload quarterly progress reports on the Authority’s portal covering physical construction status, sales data, and updated approvals.
  Why it matters: This aligns with the core objectives of the RERA Act providing homebuyers real-time, reliable access to project information. For promoters, this translates into a non-negotiable operational obligation.
• 2. Correction of Project Status: Projects that are completed or no longer active, but still reflected as “ongoing” on the Delhi RERA portal, must be immediately updated. Promoters are directed to upload Completion Certificates or seek formal closure of the project on the record.
  Why it matters: Inaccurate status disclosures can mislead prospective buyers, distort market signals, and trigger litigation. This move may also clean up the public project registry, which has seen inconsistencies.
• 3. Project-Specific Bank Account Disclosures: Promoters must disclose the bank account(s) maintained under Section 4(2)(l)(D) of the Act where 70% of funds collected from allottees are to be deposited for construction and land cost.
  Why it matters: Financial discipline is one of the pillars of the RERA framework. Misuse or non-reporting of escrow accounts is a known issue, and this directive signals stricter scrutiny ahead.
• 4. Renewal & Conduct of Real Estate Agents: Real estate agents are reminded to ensure their registration is current and renewed, and to conduct their dealings strictly in line with projects that are duly registered and updated under RERA.
  Why it matters: Agents play a critical intermediary role and are often the first point of contact for buyers. Delhi RERA is clearly pushing for better accountability and discipline in this segment.
• 5. Penal Consequences for Non-Compliance: The Directions specifically invoke Section 61, warning that failure to comply may attract financial penalties, cancellation of registration, or blacklisting.
  Why it matters: This is not a guideline, it is a regulatory instruction backed by statute. Promoters and agents would do well to treat it as such.

Author’s View: A Timely and Necessary Intervention

In my view, these directions are not just a formality they reflect the Delhi RERA’s growing assertiveness and intent to actively monitor and enforce compliance. The fact that they had to issue such a direction indicates persistent lapses in basic regulatory duties by several developers — including failure to update status, upload quarterly progress, or maintain proper banking protocols.

Importantly, this is also a signal to homebuyers that their rights to information, accountability, and project certainty are being taken seriously and to developers that regulatory fatigue will no longer be an excuse.

From a legal and business advisory standpoint, this presents a crucial opportunity:

• Developers should immediately audit their project listings and compliance history.
• Real estate agents must review their documentation practices and ensure alignment with updated project statuses.
• For counsel and consultants, this is the right time to offer compliance audits, regulatory representation, and documentation support.

Conclusion

The Delhi RERA Directions, 2025 are a compliance wake-up call. They mark a shift from passive registration to active regulatory monitoring, where disclosures are no longer optional formalities but part of the governance fabric. In a city where stalled projects and delayed possession have been bitter realities, this move if implemented seriously could help rebuild buyer trust and weed out bad actors from the system. The ball is now firmly in the promoters’ and agents’ court.

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