What is the 70 pc and 30 pc rule of RERA and why homebuyers and investors should know it

RERA's 70:30 rule mandates developers deposit 70% of buyer funds into an escrow account for construction and land costs, with the remaining 30% for project expenses. This financial discipline protects homebuyers' investments and ensures timely project completion by preventing fund diversion.

What is the 70 pc and 30 pc rule of RERA and why homebuyers and investors should know it
RERA's 70:30 rule mandates developers deposit 70% of buyer funds into an escrow account for construction and land costs, with the remaining 30% for project expenses. This financial discipline protects homebuyers' investments and ensures timely project completion by preventing fund diversion.