The Forum for People’s Collective Efforts has urged Prime Minister Narendra Modi to fundamentally restructure the Real Estate (Regulation and Development) Act, arguing that the same regulatory framework cannot effectively promote the sector and protect homebuyers at the same time.
New Delhi, November 2 — Homebuyers’ body Forum for People’s Collective Efforts (FPCE) has written to Prime Minister Narendra Modi, seeking a major overhaul of the Real Estate (Regulation and Development) Act, 2016, commonly known as RERA.
FPCE President Abhay Upadhyay argued that the current framework suffers from an inherent conflict because the same authority is expected to both promote real estate development and protect homebuyers.
The association said this conflict has weakened implementation of the law and prevented it from fully achieving its original objective of improving transparency and accountability in the sector.
FPCE said malpractices such as one-sided agreements, project delays, diversion of funds and non-execution of regulatory orders continue to affect buyers across the country.
It also flagged issues such as mechanical project registrations, repeated extensions in completion timelines and failure to enforce orders already passed by regulatory authorities.
The homebuyers’ body has therefore suggested removing the responsibility of real estate promotion and development from the law governing consumer protection.
According to its proposal, sector promotion could remain with the Ministry of Housing and Urban Affairs and relevant development agencies, while homebuyer protection should be placed under a separate legal framework.
FPCE has proposed renaming or re-enacting RERA as the “Real Estate Homebuyer Protection Act”.
It wants the law to focus on homebuyer protection, transparency, promoter accountability, prevention of malpractices and effective grievance redressal.
The association has also suggested that the revised homebuyer-protection law should be administered by the Department of Consumer Affairs.
FPCE further called for stronger accountability of regulatory authorities so that repeated failures to enforce statutory provisions or implement orders do not continue without scrutiny.
The group said the current system has failed to fully resolve problems involving delayed projects and blocked homebuyer funds.
It cited its own 192-page report, based on official records from RERA authorities in seven states, estimating that around ₹12.44 lakh crore of homebuyers’ money is trapped in delayed projects, affecting nearly 27.6 lakh families.
FPCE also noted that the Ministry of Housing and Urban Affairs has consulted stakeholders on amendments to RERA and held an internal deliberation on strengthening the framework on October 27, 2026.
