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'Better to abolish Rera': Supreme Court questions real estate body's role

The Supreme Court orally criticised the functioning of the real estate regulator Rera, saying it appears to only benefit defaulting builders

CJI Surya Kant said that the states should reflect on the real purpose of an institution such as Rera. (Photo:PTI)

2 min read Last Updated : Feb 12 2026 | 3:57 PM IST

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The Supreme Court on Thursday observed that the Real Estate Regulatory Authority (Rera) should be abolished as it only helps defauliting buiders, and asked the states to reflect on the real purpose of such an institution, reported Bar and Bench.

A Bench comprising Chief Justice of India (CJI) Surya Kant and Justice Joymalya Bagchi made the oral observation while hearing an appeal against a Himachal Pradesh High Court order that had stayed a state government notification to relocate the state's Rera office from Shimla to Dharamshala.

"All states should now think of the people for whom the institution of Rera was created. Except for facilitating builders in default, it is not doing anything else. Better to just abolish this institution," CJI Kant said, as quoted by Bar and Bench.

The High Court had last year stayed the state government’s move to shift the Rera office, noting that the decision was taken "without even identifying an alternative office location". It also stated that the transfer of 18 outsourced employees to other boards and corporations, as per their request, "would render the functioning of Rera defunct".

The Supreme Court, however, set aside the High Court’s order and permitted the state government to shift the Rera office to Dharamshala, along with relocating the appellate tribunal.

"With a view to ensure that persons affected by Rera orders are not inconvenienced, the principal appellate is also moved to Dharamshala," the apex court said.

Rera, introduced in 2016, was designed to tackle project delays, enhance transparency and protect homebuyers. Until last year, each state and union territory had its own Rera website. However, in September 2025, the Ministry of Housing and Urban Affairs launched a unified Rera portal, bringing together data from across states and union territories.