Understanding RERA Carpet Area Calculation 2024

The Real Estate Regulatory Authority (RERA) is a regulatory body established in India that offers transparency and accountability within the dynamic real estate sector. RERA was introduced in 2016 under the RERA Act to protect innocent homebuyers and regulate the prices of properties in India. The law applies to all states under the Indian Constitution and looks after both residential and commercial real estate projects. Through this Blog, we will highlight RERA's key role and disclose the calculation of RERA Carpet Area. 

Here's Why RERA is Important 

Regulating the real estate sector: As already mentioned above, RERA is a superhero in charge of regulating the transparency and accountability of the real estate market. Buyers are at an advantage as they can get more authentic information about the prospective property they wish to purchase and can make an informed decision.  

Timely completion of projects: The RERA authority ensures that all new construction projects are registered by the developers. This makes them liable to meet stringent deadlines for project completion instead of delaying the project at one's whims and fancies.  

Dispute resolution: The main job of RERA is to ensure that the disputes between homebuyers/investors and developers are resolved quickly and effectively. RERA carefully attends to all issues related to false selling prices, delays, and quality issues in construction to protect the stakeholders. A structured and fair mechanism is in place to resolve all conflicts.    

Promoting Ethics: RERA is quick to enforce penalties on violations and even resort to cancellation of project registration in case of fraudulent acts. In severe cases, the builder can even be imprisoned for acting unethically. 

Practice Before RERA Implementation 

Before RERA Act 2016 was implemented, there was no standardization in calculating the carpet area of a space. Some developers included balconies and verandas in the calculation of carpet area, while others omitted it. This led to confusion and chaos, thereby misleading the homebuyers/investors. This resulted in a false inflation of property prices, creating trust issues in the Indian real estate sector. Let's understand the concept of built-up area and super built-up that prevailed earlier; 

Built-up area = area of walls + carpet area + balcony + terrance 

Super Built-up area = area of walls + carpet area + balcony + terrace + common areas (lobby, lift, clubhouse).   

Usable Carper Area vs. RERA Carpet Area 

The usable carpet area is the area available for the homebuyers to utilize fully, and it does not include the space accommodated by walls and ledges. On the other hand, the RERA carpet area is calculated by adding the thickness of the internal walls to the total usable carpet area- which is about + 5%. For example, if the carpet area of an apartment is 500 sq. ft. the RERA carpet area would be 525 sq. ft. (+5%). 

About RERA Carpet Area

RERA carpet area refers to the 'usable floor area' within the apartment/office walls. This excludes certain areas that you cannot use as living/working space. 

Calculating RERA Carpet Area 

So essentially, there are these three factors to keep in mind while calculating the REARA Carper Area: 

Net usable area: This is the total floor area within the apartment where one can walk.

Internal walls: The RERA carpet area includes the area occupied by the internal partition walls within your apartment. So, the thickness of walls separating rooms is factored into the usable space. 

Excluding area: The following are NOT acceptable while calculating RERA carpet area: external apartment walls, balconies, terraces, lobby area, staircase, basement, and car parking. 

For Example: 

Living room area: 10 ft. x 13 ft. = 130 sq. ft.

Bedroom area: 9 ft. x 10 ft. = 90 sq. ft.

Kitchen area: 6 ft. x 6 ft. = 36 sq. ft.

Total room area= 256 sq. ft.

Area of internal walls: 0.5 ft. (thickness) x 60 ft. (length) = 30 sq. ft.

Rera carpet area: 256 sq. ft. (total room area) + 30 sq. ft. (internal wall area) = 286 sq. ft.

RERA Carpet Area: Conclusion 

In conclusion, RERA has welcomed many positive changes to the Indian real estate sector. It has empowered homebuyers to voice their opinions by ensuring utmost transparency in dealings. The standardization for calculating the RERA carpet area is a welcoming change to the then-unorganized and chaotic home-buying process. So, before you sign the dotted lines and seal your 'dream home' deal, check all RERA compliances and documentation. 

To discover the leading builders in Mumbai, explore our blog for insights and recommendations.