Manoj Basniwal

Chartered Accountant | Lawyer | Views are personal | Retweets are not endorsements

[Manoj Basniwal @BasniwalManoj]

In Real Estate sector, there are 3 steps:
1. Sale
2. Registration of Agreement &
3. Possession
Accordingly, the success/ growth of RE depend upon acheiving step 3, not on step 1 or 2. Sadly, we hear more about step 1 and 2 in news, reports & advertisement compared to step 3.

[Manoj Basniwal @BasniwalManoj]

@MehulThakkar_ In a way, the Developer is right.
If the Homebuyer doesn't meet the actual owner of the project (Developer) before booking/ buying the flat, he should not insist on meeting him when there are issues in Project (incl. delay).

[Manoj Basniwal @BasniwalManoj]

@IndianREI @VishalBhargava5 https://t.co/5xqHH0fhEK

[Manoj Basniwal @BasniwalManoj]

Assume promised default date of Possession to homebuyer as X.
Day X - files a complaint before RERA
X + 6 mths - RERA order in favour of homebuyer
Then appeal before REAT by developer (7-12 mths)
X + 17 mths - Insolvency starts against developer (REAT order stays as per IBC)
1/2

[Manoj Basniwal @BasniwalManoj]

@RoadsOfMumbai @VishalBhargava5 You can now check RERA website for Project sales status.
Not 100% accurate always but give you fair idea about movement of sales/ booking done by Developer.

[Manoj Basniwal @BasniwalManoj]

@VishalBhargava5 This trend/ pattern is already being followed by many. Atleast I know 3 families which have used this pattern. However, till now it is restricted to the locality (or Society) and not to specify house.
Also, many others have started/ talking about it.

[Manoj Basniwal @BasniwalManoj]

@316_anshul Well, then you would be surprised to know that the new "reputed" builder still doesn't own the project and is subject to outcome of Court's order. Hence, could not accept your booking.
Actually, you just got saved, in my view.

[Manoj Basniwal @BasniwalManoj]

@316_anshul Sir,
I am surprised you didn't check the Project details on the RERA site and its long history of litigation. If you had, you wouldn't have booked in the first place.
Further, if you had taken legal action it would be futile since, I assume, you haven't received Allotment letter.

[Manoj Basniwal @BasniwalManoj]

@adithekiller Haar gaye.

[Manoj Basniwal @BasniwalManoj]

@VishalBhargava5 I think buyer is from DB Ozone, Mira Road

[Manoj Basniwal @BasniwalManoj]

As shareholder/ investor:
Success (Value) of a #realestate company depends upon no. of ongoing projects rather than projects completed.

As #Homebuyer:
Success of a #realestate company depends upon no of projects completed with OC (in time) rather than currently ongoing projects.

[Manoj Basniwal @BasniwalManoj]

In last 4 months, 17 circulars including clarifications have been issued by #MahaRERA. Some of these circulars are on disclosure on flats booked/ sold, consent of allottees for extension of project/ change in promoter, quarterly updates, etc. More info for HBs.
@VishalBhargava5

[Manoj Basniwal @BasniwalManoj]

After 5 years of RERA,
It can be said that RERA is good for information disclosures to make informed decisions or negotiation but not for litigation and quick justice (Refund and/or Possession).

Hope, I am not the only one who thinks so.

[Finomenal @finomenal_in]

As per SEBI, there are only

1330 Investment Advisors
73 Research Analysts
361 Portfolio Managers

Maybe they need to take a look at social media channels like Twitter and Telegram

[Manoj Basniwal @BasniwalManoj]

For majority people, buying house/ flat of Rs. lakhs/ crores is an EMOTIONAL purchase. Buying it without getting complete but just by looking sample flat* & floor plans
Whereas buying 10 rs. green coriander is PRACTICAL purchase. Seeing it from all sides & twice, before buying it

[Manoj Basniwal @BasniwalManoj]

@harsh_shivhare Real Estate Appellate Tribunal

[Manoj Basniwal @BasniwalManoj]

Assume promised default date of Possession to homebuyer as X.
Day X - files a complaint before RERA
X + 6 mths - RERA order in favour of homebuyer
Then appeal before REAT by developer (7-12 mths)
X + 17 mths - Insolvency starts against developer (REAT order stays as per IBC)
1/2

[Manoj Basniwal @BasniwalManoj]

X + 27 mths(+) - Resolution or Liquidation of Developer.
X + 40 mths - Can HOPEFULLY to get his dream home
*Time-line is approx (take it as minimum) and doesn't include extension granted by RERA
What HBs wanted - House/ Flat
What HBs gets - Knowledge of law
2/2
@VishalBhargava5

[Manoj Basniwal @BasniwalManoj]

@neetishikha Wish you a speedy recovery 🙏

[Manoj Basniwal @BasniwalManoj]

Why companies come with IPO:
What I was taught in college:
- To expand existing business
- To venture into new business, etc.

What I see now:
- To reduce debt since overleverged
- To provide exist to shareholders
- To survive or avoid insolvency
- To take benefits of bull rally

[Manoj Basniwal @BasniwalManoj]

@VishalBhargava5 As per RERA, It's clear that builder should not ask more than 10% without entering into agreement. Therefore, as a prudent, homebuyers should enter into agreement only after paying 5-10%. If builder is not ready/ postponing it then its a good sign to exist.