CRISIL SME Tracker: With RERA, only disciplined builders stand a chance

Setting up of the Real Estate Regulatory Authority (RERA) has improved financial, legal and operational discipline in the sector, a survey of small builders rated by CRISIL has revealed.

Builders have become cautious and are taking up a handful projects for execution at any given point of time. They now have dedicated staff focused on ensuring compliance with RERA rules, and have become more transparent on disclosures and communication to customers through brochures or their websites. Besides, they have introduced various clauses in agreements with customers — including unit carpet area, possession date, defect liability, default and delay implications, etc.

But the