The real estate industry is entering a new era with the implementation of the RERA Carpet Area regulation, marking a significant shift in how properties are priced and sold. For years, homebuyers have faced confusion and uncertainty due to the practice of selling properties based on Super Built-up Area, often leading to misunderstandings about the actual size of their homes. However, this is now changing as the RERA Carpet Area becomes the new standard for transparency and fairness in the real estate market.

The Beginning of the RERA Carpet Area Era

In cities like Mumbai, Delhi, Bangalore, and Hyderabad, the trend of selling properties based on the RERA Carpet Area has already gained momentum, bringing clarity and trust to the property-buying process. Ahmedabad is now following suit, with the announcement by CREDAI Ahmedabad President Dhruv Patel and his team that all future property sales will adhere to the RERA Carpet Area guidelines. This means that buyers in Ahmedabad will now purchase properties based on the actual usable space, as defined by RERA, putting an end to the ambiguity surrounding Super Built-up Area.

Mandatory Inclusion of RERA Carpet Area in Marketing

A significant part of this shift is the mandatory requirement to include the RERA Carpet Area in all marketing communications. This step ensures that transparency in the real estate market is upheld, allowing homebuyers to have a clear understanding of the actual space they are purchasing. By standardizing trade and business practices, developers will now have to present accurate information, further enhancing the credibility of the real estate sector.

This requirement means that the selling price of properties is now based on the RERA Carpet Area, making it easier for buyers to compare offerings between different developers. With this transparency, trust between sellers and customers will increase, fostering stronger relationships and more confident investment decisions.

What is RERA Carpet Area?

According to Section 2(k) of the Real Estate Regulation and Development Act (RERA), 2016, the RERA Carpet Area refers to the net usable floor area of an apartment, including areas such as:

• The area covered by internal partition walls.

• The area under service shafts.

• The area of a private balcony or verandah.

• The area of a private open terrace, if applicable.

In contrast, external walls and common areas such as lobbies and staircases are not included in the RERA Carpet Area calculation. This means that buyers are now only paying for the space they will actually use within their homes, making it a more accurate reflection of the apartment's true value.

How to Calculate RERA Carpet Area?

Calculating the RERA Carpet Area is simple and straightforward. Typically, the carpet area of a property is around 70% of the built-up area. For instance, if the built-up area of an apartment is 1,500 square feet, the RERA Carpet Area would be approximately 1,050 square feet. This calculation provides a clear picture of the actual usable space within the property, helping buyers make informed decisions about their investments.

The Impact on Property Prices

The move towards selling properties based on RERA Carpet Area is expected to have a significant impact on property prices. Developers will now price homes more transparently, based on the actual usable space and the quality of construction, rather than inflating prices based on Super Built-up Area. This shift will likely lead to more competitive pricing, as buyers will be able to directly compare properties based on their RERA Carpet Area, without being misled by inflated Super Built-up Area figures.

Moreover, the pricing of properties will also be influenced by the quality of construction and the amenities provided by developers. Just as in other industries where product pricing is determined by quality and specifications, the real estate market is moving towards a similar model. Buyers will now be able to assess properties based on the RERA Carpet Area and the overall quality of the development, leading to more informed and fair transactions.

Why This Matters for Homebuyers

For homebuyers, the introduction of the RERA Carpet Area is a game-changer. It eliminates the confusion and mistrust associated with Super Built-up Area, giving buyers a clear understanding of what they are paying for. This transparency ensures that buyers are no longer caught in the "mirage" of inflated property sizes and misleading pricing.

As cities across India adopt this model, the real estate market is becoming more standardized and reliable. Buyers can now expect to receive properties that meet the exact specifications listed under RERA guidelines, making the home-buying process smoother and more predictable.

Conclusion

The shift to RERA Carpet Area in Ahmedabad marks the beginning of a new era in real estate. With increased transparency, fair pricing, and greater trust between developers and buyers, the real estate market is set to become more buyer-friendly. As the practice of selling properties based on Super Built-up Area fades into history, homebuyers can now look forward to making more informed and confident decisions when investing in their dream homes.

At the heart of this change is the desire to create a real estate market that prioritizes transparency, fairness, and trust—values that will shape the future of property buying across the country. Whether you're a first-time homebuyer or an experienced investor, the RERA Carpet Area regulation is a welcome change that brings clarity and peace of mind to your real estate journey.