From 1st May onwards, every real estate agent has to register his or her name as per the Real Estate (Regulation and Development) Act (RERA). The law was amended and brought into action by the government for the fair practice in the real estate industry.
Under the RERA Act, the real estate agents who have registered themselves, as per the government rules, will be able to transact with the clients in a legal way. The statistical study says that the brokerage industry in this real estate segment alone has a turnover of $4 billion every year and growing. The study also depicts that there are 500,000 – 900,000 brokers as an estimated number in India. In fact, the number can be more also. Before the amendment of the act, the brokerage segment in the real estate industry was unregulated and totally unorganized. The channels had no specific rulebook to charge brokerage fee to the respective clients.