UPRERA flags ‘assured returns’ schemes, urges caution among homebuyers

Lucknow: The UP Real Estate Regulatory Authority (UPRERA) has cautioned homebuyers against misleading promotional schemes such as “assured returns” and promises of fixed rental income before possession, stating that such offers lack legal validity. The advisory comes amid rising instances of developers using attractive incentives to lure buyers.UPRERA said that several promoters continue to advertise subvention plans, pre-EMI schemes, buyback guarantees and investment options promising fixed returns. Free gifts like cars, gold coins and foreign trips are also being used as marketing tools. The authority clarified that unless these commitments are part of a legally approved agreement under RERA, they are not enforceable.Citing provisions under the Real Estate Act, 2016, UPRERA warned that misleading advertisements and false assurances violate regulatory norms and can invite penalties. It stressed that buyers should rely only on verified project details available on the official portal and invest in registered projects.The authority also advised buyers to carefully review agreements, avoid cash transactions and not depend on verbal assurances. UPRERA chairman Sanjay Bhoosreddy reiterated that action will be taken against erring promoters and urged buyers to remain vigilant to protect their investments.