Economic, Commercial and Intellectual Property Laws · Real Estate Regulation and Development Law

Real Estate Regulatory Authority and Its Functions under RERA

Updated 11 October 2026 · Fact-checked

The Real Estate Regulatory Authority is a body corporate set up by the appropriate Government under section 20 of RERA, 2016. It registers and regulates projects and agents (section 34), recommends measures to promote the sector (section 32), and issues binding directions (section 37). The Central Advisory Council advises the Central Government (sections 41-42).

Understand Real Estate Regulatory Authority and Its Functions

RERA, 2016 does not leave real estate to private bargaining alone. It creates a regulator for each State or Union territory. That regulator is the Real Estate Regulatory Authority (the Authority). Its job is to protect buyers, keep promoters and agents accountable, and help the sector grow.

Under section 20, the appropriate Government must establish the Authority by notification within one year of the Act coming into force. The Authority is a body corporate with perpetual succession and a common seal. It can acquire, hold and dispose of movable and immovable property, contract, and sue or be sued in its own name. Two or more States or Union territories may set up one single Authority. A State may also set up more than one Authority. Until an Authority is established, the Government designates an existing authority or an officer, preferably the Secretary of the housing department, to act as the Authority. Pending cases then transfer to the new Authority and continue from the stage they had reached.

The Authority has three kinds of work. The first is regulatory work under section 34: registering and regulating projects and agents, publishing records, and ensuring compliance. The second is promotional work under section 32: making recommendations to the Government. The third is advocacy work under section 33: giving opinions on policy and spreading awareness. To enforce all this, section 37 lets it issue directions that bind promoters, allottees and real estate agents.

At the national level sits the Central Advisory Council (sections 41 and 42). It is set up by the Central Government by notification. The Union Minister in charge of Housing is its ex officio Chairperson. It advises the Central Government. It does not regulate individual projects.

To answer questions well, keep the layers apart: who sets up the Authority (section 20), what it must do (section 34), what it recommends (section 32), what it can order (section 37), and what the Council does (sections 41-42).

Key rules to remember

Establishment of the Authority (section 20): Appropriate Government + notification + within 1 year of commencement → Real Estate Regulatory Authority; Body corporate, perpetual succession, common seal. It can hold property, contract, and sue or be sued.
Core functions (section 34): Register and regulate projects and agents; publish website records; maintain defaulter databases; fix standard fees by regulations; ensure compliance; Section 34(c) covers names and photographs of defaulting promoters (revoked or penalised). Section 34(d) covers registered agents, including those rejected or revoked.
Promotion of the sector (section 32): The Authority makes recommendations to the appropriate Government or competent authority on items (a) to (j); It recommends only. Examples: single window clearance, grievance redressal against competent authorities, affordable housing finance, grading of projects and promoters, conciliation of disputes, digitisation of land records with title guarantee.
Advocacy (section 33): Reference by Government → Authority gives opinion within 60 days → opinion not binding; The Authority must also promote advocacy, awareness and training on real estate laws and policies.
Directions (section 37): Authority may issue directions to promoters, allottees or real estate agents → binding on all concerned; The purpose is to discharge its functions under the Act, rules or regulations.
Central Advisory Council (sections 41-42): Established by the Central Government by notification; Chairperson: Union Housing Minister (ex officio); advises the Central Government; Members include ministry representatives, five State Government and five Authority representatives by rotation, and not more than ten members for industry, consumers, agents, labourers, NGOs and academic bodies.

How to solve Real Estate Regulatory Authority and Its Functions questions

Use this method for any question on the Authority, its functions or the Council.

1Identify what is asked: establishment, regulatory functions, promotional functions, advocacy, directions, or the Central Advisory Council.
2Name the body correctly: the Authority works at State or Union territory level; the Council works at the Central level.
3State the provision first, with the section number: section 20, 32, 33, 34, 37, 41 or 42.
4List the points in the section. For section 32, group them (approvals and grievances, finance and housing, quality and grading, disputes and land records).
5Apply the rule to the facts. Check whether the body is recommending, advising or directing. Recommendations and opinions are not binding. Directions under section 37 are.
6Conclude clearly in one line, for example: the Authority can or cannot do the act, and under which section.

Quickest way: Section-wise recall grid

When to use it: Use this when a question asks you to list functions or identify which body does something and you have little time.

Write the five anchors: 20 establish, 32 promote, 33 advocate, 34 regulate, 37 direct.
Add 41 and 42 for the Council: composition and functions.
For a list question, write the section heading, then the points in the order of the section.
End with one sentence stating whether the power is binding or advisory.

Common mistakes in Real Estate Regulatory Authority and Its Functions

Treating section 32 recommendations as binding orders.
The word functions suggests the Authority can enforce them.
Fix: Under section 32 the Authority only makes recommendations to the appropriate Government or competent authority. Binding power comes from section 37 directions.
Confusing the Authority with the Central Advisory Council.
Both are bodies under RERA and both give advice.
Fix: The Authority is set up by the appropriate Government and regulates. The Council is set up by the Central Government and advises it on implementation, policy and consumer protection.
Saying the Authority's opinion under section 33 binds the Government.
Students assume a statutory regulator's view must be followed.
Fix: Section 33(2) says the opinion is not binding on the Government. The Authority must give it within sixty days of the reference.
Mixing up section 34 functions with section 32 functions.
Both sections are titled functions.
Fix: Section 34 is the day-to-day regulatory list (register, publish, database, fees, compliance). Section 32 is the promotion list of recommendations.
Saying only one Authority per State is allowed, or that the Authority is a government department with no legal identity.
Students skip the provisos and sub-section (2) of section 20.
Fix: The appropriate Government may set up more than one Authority in a State or one Authority for two or more States or Union territories. The Authority is a body corporate that can sue and be sued.
Naming the Council's Chairperson wrongly.
Students guess a Finance or Law Minister.
Fix: The Minister in charge of the Central Ministry dealing with Housing is the ex officio Chairperson.

Worked examples

Example 1

Explain how the Real Estate Regulatory Authority is established under RERA, 2016 and state its legal character.

Show the solution

Provision: section 20(1) requires the appropriate Government to establish the Authority by notification within one year from the date the Act came into force.
Flexibility: two or more States or Union territories may set up a single Authority. A State or Union territory may also set up more than one Authority.
Interim arrangement: until an Authority is established, the appropriate Government designates by order an existing Regulatory Authority or an officer, preferably the Secretary of the housing department. Once the Authority is established, pending applications, complaints and cases transfer to it and are heard from the stage of transfer.
Legal character under section 20(2): it is a body corporate with perpetual succession and a common seal. It can acquire, hold and dispose of movable and immovable property, contract, and sue or be sued by its name.

Answer: The Authority is established by the appropriate Government by notification within one year of commencement. It is a body corporate with perpetual succession and a common seal, able to hold property, contract, and sue or be sued (section 20).

Example 2

The State Government asks the Real Estate Regulatory Authority for its opinion on a proposed housing policy. Later, the Authority recommends a single window system for project approvals, but the Government does not adopt it. Another time, the Authority directs a promoter to comply with the Act. Examine which of these acts are binding.

Show the solution

Opinion on policy: section 33(1) allows the Government to refer a policy to the Authority. The Authority must give its opinion within sixty days. Under section 33(2) the opinion is not binding on the Government.
Single window recommendation: section 32(b) lets the Authority make recommendations on a single window system for time-bound approvals and clearances. Section 32 speaks only of recommendations to the appropriate Government or competent authority. The Government is therefore not bound to adopt it.
Direction to the promoter: section 37 allows the Authority to issue directions to promoters, allottees or real estate agents as it considers necessary to discharge its functions. These directions are binding on all concerned. Section 34(f) also requires it to ensure compliance by promoters.
Conclusion: only the direction is binding.

Answer: The opinion (section 33) and the single window recommendation (section 32(b)) are not binding on the Government. The direction to the promoter is binding under section 37.

Exam tips

Learn section 32 as a list of ten items (a) to (j). Writing four to six of them with correct wording usually earns the points.
Always attach section numbers: 20, 32, 33, 34, 37, 41, 42.
In case-style questions, decide first whether the act is a recommendation, an opinion or a direction. Then state whether it binds.
For the Council, write Chairperson, composition and functions in separate short paragraphs.
Close each answer with a one-line conclusion naming the section.

Practice questions from Real Estate Regulation and Development Law

Real Estate Regulatory Authority and Its Functions in other exams

The same ground in other exams, if you are preparing for more than one or want another angle on it.

Real Estate Regulatory Authority and Its Functions: frequently asked questions

What are the functions of the Real Estate Regulatory Authority under section 34?

Section 34 includes registering and regulating real estate projects and agents, publishing project records on a website, and maintaining databases of defaulting promoters and of agents. It also covers fixing standard fees through regulations and ensuring compliance with the Act, regulations, orders and directions.

How does the Authority promote the real estate sector under section 32?

It makes recommendations to the appropriate Government or competent authority. These cover protection of allottees, promoters and agents, a single window system, grievance redressal, investment and affordable housing, sustainable construction, grading of projects and promoters, conciliation of disputes, and digitisation of land records.

Who heads the Central Advisory Council under RERA?

The Union Minister in charge of the Ministry dealing with Housing is the ex officio Chairperson. The Council is established by the Central Government by notification under section 41.

What does the Central Advisory Council do?

Under section 42 it advises and recommends to the Central Government on implementation of the Act, major policy questions, protection of consumer interest and growth of the real estate sector. The Central Government may specify rules to give effect to its recommendations.

Are the Authority's directions binding?

Yes. Under section 37 the Authority may issue directions to promoters, allottees or real estate agents to discharge its functions. Those directions are binding on all concerned.