So, you’ve bought a property in a Real Estate Regulatory Authority (RERA) project. What’s next? Forming a society is a crucial step. But when should you do it, and what does it involve? Let’s break it down.
When Should a Society Be Formed?
Timing is everything. You shouldn’t wait forever to form a society. The right time to kick things off is after the builder has completed the possession process. Once residents start moving in, it’s time to start the formation process.
After Possession: What Happens Next?
Okay, possessions are happening. Now what? As residents, you have some initial responsibilities. You need to come together and start thinking about the society’s structure. This involves electing a committee to oversee the initial setup. What are their first tasks?
- Opening a bank account.
- Drafting bylaws.
- Registering the society.
These things need to happen before the society can be fully functional and take over management from the builder.
Setting Up the Society’s Finances
Money matters! A dedicated bank account is essential for the society. Here’s how to set one up:
- Gather the required documents: This usually includes the society’s registration certificate, bylaws, and the resolution to open an account.
- Visit a bank: Choose a bank that’s convenient for the members.
- Submit the documents: Fill out the application form and submit all the necessary paperwork.
Who has authority over the account? The society’s committee, of course! The committee members decide who can operate the account. This is usually the treasurer, secretary, or president.
Federation and Apex Body: Managing Common Areas
What happens when you have multiple buildings or phases in a RERA project? That’s where federations and apex bodies come in.
What are they?
- A federation is an organization formed by multiple societies within a large project.
- An apex body is a higher-level organization that oversees the federations.
What do they do?
Their main job is to maintain the common areas. This includes:
- Gardens
- Roads
- Clubhouses
- Swimming pools
Federations and apex bodies ensure these amenities are well-maintained for everyone. They collect a common area maintenance fund from all the residents. This fund covers the expenses.
These organizations are important because they ensure consistency and fairness in maintenance across the entire project. They also provide a platform for resolving disputes and making decisions that affect everyone.
Original Document Handover: The Final Step
The final step is the handover of original documents. This is a crucial step. The builder must hand over these documents to the society:
- Approved building plans
- Occupancy certificate
- Completion certificate
- Allotment letters
- Insurance policies
The handover process involves a formal meeting where the builder officially transfers the documents to the society’s committee. Make sure to create a detailed list of all documents. The committee should verify that all items are present and accounted for.
Conclusion
Forming a society in a RERA project involves several steps. It’s important to understand each stage, from knowing when to form the society, setting up finances, to the final handover of documents. Getting this right ensures a smooth transition and a well-managed community.
