Ever since RERA Act 2016 has been implemented, the builders have been instructed to sell the flat, apartment, or building based on the carpet area.
But, do you know that the term RERA Carpet Area has been protecting the homebuyers for years now?
Yes, it is true!
Builders have looted the homebuyers by selling them flats and apartments based on the Super Built-Up Area. After the RERA Act was introduced, all this loot has stopped.
In the below post, you will know the meaning of the RERA Carpet Area, its importance, and its connection with the RERA Act 2016. Moreover, I will also be adding useful Rera Carpet Area tips and tricks. So, do read the post till the end to find the tips!
Before finding the meaning of carpet area as per RERA, you must know the meaning of carpet area and how it is different from Super Built-up area and Built Area.
What is the Meaning of Carpet Area?
Investing in an apartment is a tough task. While you visit a real estate project, the builder or agent will tell you about how much area such a real estate project will cover.
But, the question arises- What type of area is he talking about?
Before Real Estate (Development and Regulation) Act, 2016 (RERA) was introduced, builders or agents sold apartments to the people based on the super built-up area. RERA has now officially directed the builders to sell based on the carpet area.
Carpet area means the net usable area covered by the apartment excluding the internal and external walls, terrace and balcony. However, the definition given by RERA is slightly different.
Rera Carpet Area Definition under RERA
The RERA Act has defined the term Carpet Area under Section 2(k) of Chapter 1 of the Act.
As per the definition, Carpet Area means the net usable floor area of an apartment, excluding the area covered by the external walls, areas under services shafts, exclusive balcony or verandah area and exclusive open terrace area, but includes the area covered by the internal partition walls of the apartment.
Explanation.— For this clause, the expression “exclusive balcony or verandah area” means the area of the balcony or verandah, as the case may be, which is appurtenant to the net usable floor area of an apartment, meant for the exclusive use of the allottee; and “exclusive open terrace area” means the area of open terrace which is appurtenant to the net usable floor area of an apartment, meant for the exclusive use of the allottee.
Differences between RERA Carpet Area and Net Usable Carpet Area
The RERA Carpet Area defines the carpet area as the net usable area of the apartment including the area of interior walls.
However, the general carpet area definition differs only in one aspect- It excludes the area of the interior walls.
Rera Carpet Area Example /Illustration
A buyer booked a 2-BHK Apartment in 2015 for a basic quoted price of ₹40,00,000 based on the Super Built Up area of 4000 sq. ft. at the rate of ₹1000 Sq. Ft.
After the implementation of RERA, it was found that the carpet area of the apartment was 1120 Sq. Ft and the Super Built Up Area was 3800 Sq. Ft. at the same rate. Hence, the builder was charging the buyer an extra sum of ₹2,00,000 and an area of 200 sq. ft.
There are multiple tough words that you must understand while buying an apartment or flat. Below is a small heading explaining the easy meaning of RERA tough words.
RERA Carpet Area Tough Words
Below is the meaning of the tough words like proportionate common areas, terrace area, balcony area, loading, per square foot rate, and many more.
|1||Common Areas||Areas developed by the builder in a real estate project for the common use of all the allottees. Eg. Staircases, lifts, gym, swimming pool, parks, footpath, etc.|
|2||Exclusive verandah or balcony area||Verandah or balcony area permanently affixed to the flat or apartment of the buyer|
|3||Exclusive open terrace area||Open terrace area permanently affixed to the flat or apartment of the buyer|
|4||Loading Factor||Proportionate factor expressed in per cent or otherwise indicating the usage of the common areas.|
|5||Per Square foot Rate||Rate used by the builder to sell the flats or apartments.|
Before finding the meaning of Carpet Area as per RERA, let me clear you the differences between Super Built-Up Area, Built-Up Area, and Carpet Area.
Differences between Super Built-up area, built-up area and carpet area
As the name suggests, the super built-up area means the area of the apartment including the area of internal and external walls, balcony and proportionate common areas.
While the built-up area means the area of the apartment including the area of internal and external walls and the balcony.
As mentioned above, carpet area means the net usable area covered by the apartment excluding the internal and external walls, terrace and balcony.
Easy formulas for Super Built-Up Area, Built-Up Area and Carpet Area
Super Built-Up Area= Built-Up Area + Proportionate Common Areas
Built-Up Area= Carpet Area + Area of the internal walls and external walls + terrace and balcony area.
Rera Carpet Area Calculation = The net usable area of the apartment (exclude internal wall, external walls, terrace and balcony area.
Super Built-Up Area, Built-Up Area and Carpet Area Differences in Table Form
|Area||What does it include?||What does it not include?|
|Super Built-Up Area||Built-Up Area and Proportionate Common Areas||NA|
|Built-Up Area||Carpet area and area of the external walls and terrace and balcony area||Proportionate Common Areas|
|Carpet Area||Net usable area of the apartment.||Proportionate common areas + Area of the external walls + verandah area + balcony area|
Compulsory Disclosure of Rera Carpet Area
Before RERA, it was easy for the builders to deceive the real estate government machinery and the buyers by not disclosing the carpet area of the apartments put for sale.
If a person ever asked for the carpet area of the apartment, he was denied by the builder.
But, RERA embodies a provision that discloses the carpet area compulsory.
As per Section 4(2)(h) of the RERA Act, every promoter applying for the registration of the real estate project shall enclose the carpet area of the apartments for sale.
This has made a huge impact and increased transparency in the real estate sector.
Penalty for Providing False Information to the RERA Authority by the Builder
If any builder chooses to provide false information to the RERA, he shall be punished by the Authority under Section 60 of the RERA Act.
As per Section 60 of the Act, if any promoter provides false information or contravenes the provisions of section 4, he shall be liable to a penalty which may extend up to five per cent of the estimated cost of the real estate project, as determined by the Authority.
You can get the Detailed Analysis of Section 60 of the Rera Act here.
How Rera Carpet Area will Help the Homebuyers?
As you go and buy an apartment from a builder after reading this post, you will make advanced decisions. These decisions differ in multiple aspects.
A builder will never tell you the carpet area when selling the apartment.
However, when you will ask about the RERA Carpet Area, the tables will turn and he will be alerted that you are a vigilant buyer. Thus, his all plans for making a fool out of you will fall.
But, can a builder change the carpet area after the booking of apartments has been made by the homebuyer? Let me answer this question below.
Is Change in the Carpet Area Possible?
Before RERA was implemented, it was easy for the builder to change the carpet area of the apartment as and when needed.
The local regulations of the concerned State provided that to change the carpet area, the builder has to apply for the permit of the local government authority.
For builders, obtaining the prior consent of the local government authorities is easier.
After RERA came into force, a builder can still change the carpet area if needed.
But, it is not that easy anymore!
As per Section 14 of the RERA Act, any builder can change the layout plan, sanctioned plan, and specifications of the apartment subject to taking the previous consent of the person agreeing to take some or more of that apartment.
So, now it depends upon the person whether a builder can alter or modify his choice of apartment or not.
Punishment to the builder for illegally changing the Rera Carpet Area
RERA Act provides strict penal provisions for the builders who contravene the provisions.
As per Section 61 of the Act, If any promoter contravenes any other provisions of this Act, other than that provided under section 3 or section 4, or the rules or regulations made thereunder, he shall be liable to a penalty which may extend up to five per cent of the estimated cost of the real estate project as determined by the Authority.
Frequently Asked Questions
What Carpet Area means?
The carpet area means the net usable area which an allottee can use after purchasing the flat. Such net usable area excludes the area covered by the balcony, verandah, exterior walls, open terrace area, and areas under the services shaft.
Remember that the carpet area includes the area covered by the interior walls.
What Super Built-Up Area means?
Super area or super built-up area means the built-up area plus the proportionate common areas.
In other words, the super area means the net usable area of the apartment plus the area of the balcony, verandah, areas under services shafts, open terrace area plus proportionate common areas.
What Built-up Area means?
Built-up area means the carpet area plus the areas covered by the services shafts, exterior walls, balcony, verandah, and open terrace area.
What is the difference between carpet area and super built-up area and built-up area?
Super built-up area includes the built-up area and carpet area plus proportionate common areas. The built-up area includes carpet area and areas of open terrace area, verandah, balcony and areas under services shafts. The carpet area is the net usable area of the apartment including the areas of the interior walls.
How do you calculate carpet area?
To calculate the carpet area, use the following simple formula-
Rera Carpet Area rule = Net Usable Area of the Apartment + Areas of the Interior Walls
Carpet Area= 10% x Super Built-up Area
Note: Do not add the areas of the following to the carpet area- Areas of the Exterior Walls, Verandah Area, Balcony Area, and Area under Services Shafts.
How do you calculate the super built-up area?
How do you calculate the super built-up area?
To calculate the Super Built-Up Area, use the following simple formula-
Super Built-Up Area= Built-Up Area + Area of the Proportionate common areas