Which Projects Must Register Under RERA (Size Thresholds)

You've found a project you like — a boutique development of ten apartments on a modest plot, tucked into a growing pocket of the city. It's smaller and friendlier than the mega-townships nearby, and the pricing feels reasonable. But a question nags: is this project even required to be RERA-registered? Or is it small enough to fall outside the Act entirely, leaving you without the protections you've read about — the escrow account, the defined timelines, the structured complaint process?

This is one of the most practical questions a first-time buyer can ask, because RERA's protections only attach once a project is registered, and registration itself is only mandatory once a project crosses a defined size threshold. Get this wrong, and you might assume protections exist where they don't — or worse, miss project details a genuinely registered project was legally required to disclose. This guide walks through exactly how the threshold test works, where states can and do vary it, and how to check the answer yourself rather than taking anyone's word for it.

Why the Threshold Question Matters Before You Commit

RERA isn't a blanket law that governs every home sale in India. It specifically targets a defined category: "real estate projects" as the Act defines them, and only projects that meet certain conditions are legally required to register with the State Real Estate Regulatory Authority. Once registered, a promoter takes on binding obligations — the 70% escrow requirement, disclosure of layout plans and approvals, defined possession timelines, and buyer access to the RERA complaint mechanism if things go wrong.

If a project falls below the registration threshold, none of these obligations are legally mandatory for it. That doesn't automatically make it a bad deal — many small, well-run developments exist — but it does mean the buyer needs to do more independent homework, because the regulatory safety net simply isn't required to be there.

The Core Test: Section 3 of the RERA Act, 2016

Section 3 of the RERA Act sets out the baseline registration trigger. A real estate project must be registered with the State RERA authority if either of the following is true:

• The land proposed to be developed exceeds 500 square metres, OR
• The number of apartments proposed to be developed exceeds 8 (counting all apartments across all phases of the project)

Only one of these two conditions needs to be met for registration to become mandatory — it's an "either/or" test, not a "both must apply" test. A project on a smaller plot but with more than 8 units still crosses the threshold. Equally, a project with fewer than 8 units but on a larger plot than 500 sq m also crosses it.

Step-by-Step: Applying the Threshold Test Yourself

1. Get the plot area figure from the promoter's disclosed project documents, not just marketing brochures — this is the land area, not the built-up or saleable area.
2. Compare the plot area to 500 square metres. If it's larger, registration is very likely mandatory (subject to any state-specific variation — see below).
3. Count the total number of apartments/units across all phases, not just the phase currently being sold. RERA's threshold aggregates units across phases of the same project.
4. Compare the total unit count to 8. More than 8 units, even on a small plot, generally triggers mandatory registration.
5. Check whether your state has set a different threshold. Some states have used their rule-making power to lower these numbers, making registration mandatory for even smaller projects.
6. Look the project up directly on your State RERA portal using the registration number the promoter is required to display in advertisements and agreements for a registered project.
7. If you can't find a registration number and the project appears to cross the threshold, ask why. This is worth raising directly with the promoter and, if needed, the State RERA authority.

Registration Trigger at a Glance

Geographic Reality: States Can Set Stricter Thresholds

The 500 sq m / 8-apartment figures are the Central Act's baseline, but RERA gives State Governments rule-making authority, and several states have used it to lower these thresholds for their own jurisdictions. That means the exact number that triggers registration in one state is not guaranteed to be identical in another. A buyer relying purely on the Central Act figures, without checking their specific State RERA rules, can end up with the wrong answer.

This matters especially for plotted developments and mixed-use projects, which have become increasingly common in peri-urban growth corridors around Bengaluru, Hyderabad, and Pune. These developments often sit right around the threshold zone — a plotted layout with a modest number of individual plots can look "too small to matter" at first glance, but if it crosses the land-area or unit-count threshold (Central or state-adjusted), registration is not optional.

According to IBEF's coverage of the Indian real estate sector (Feb 2026), the market is projected to grow toward US$1 trillion by 2030 and already contributes roughly 7.3% of GDP — growth that includes a meaningful share of exactly these mid-size and plotted developments in expanding metro peripheries, which makes getting the threshold question right increasingly relevant for buyers in these corridors.

A Buyer's Mini Scenario: The Boutique Project Check

A buyer is considering a ten-unit boutique apartment building in a established neighbourhood. The plot looks modest — smaller than the sprawling township projects she's toured elsewhere — and the sales team hasn't mentioned RERA at all. Rather than assume it's exempt, she does the following:

1. She asks the promoter directly for the plot area and total unit count across all phases (not just this building, if there are others planned on adjoining land under the same project name).
2. She learns the unit count is 10 — above the 8-apartment threshold — even though the plot itself might be close to the 500 sq m mark.
3. Because either condition alone triggers registration, she asks for the RERA registration number and checks it on the State RERA portal before proceeding further.

This ten-minute check either confirms the project is properly registered (and she can review its filings) or reveals a gap worth raising before she pays anything.

Ongoing and Phased Projects: How Thresholds Aggregate

Two nuances often trip up buyers:

• Ongoing projects at RERA's commencement. Projects that were already under construction when RERA came into force, and did not yet have a completion certificate, were also required to register — RERA wasn't limited to brand-new launches only.
• Phased projects. When a promoter develops a project in multiple phases, RERA treats each phase as requiring its own registration, but the total unit count across all phases of what is effectively one project matters when assessing whether the project as a whole meets the threshold logic. A promoter cannot use phase-by-phase splitting to artificially stay under 8 units per phase while the overall development is much larger — buyers should look at the full master plan, not just the phase currently marketed.

Pro Tips for Buyers

• Never take "it's too small for RERA" at face value. Ask for the plot area and total unit count in writing, and do the threshold math yourself.
• Confirm your state's specific threshold rules, since state-level variations can be stricter than the Central Act's baseline figures.
• For plotted developments, check the whole layout's numbers, not just the plot you're personally buying, since the layout as a whole is what's assessed against the threshold.
• Always ask for the RERA registration number before signing anything, even for boutique or small-sounding projects.
• If a project is genuinely exempt, don't assume it's risky — but do plan on more independent diligence, since RERA's structured disclosures won't be mandatory.

Common Mistakes to Avoid

• Assuming "small development" automatically means "exempt everywhere." The threshold is a specific legal test, not a general impression of project size.
• Only counting units in the current phase, missing that the full multi-phase project may cross the threshold in aggregate.
• Ignoring state-specific rule variations and relying solely on the Central Act's 500 sq m / 8-apartment figures.
• Not verifying the registration number independently, and instead trusting a brochure's mention of "RERA compliant" without checking the State RERA portal.
• Treating registration status as a one-time question. For phased projects, later phases can trigger thresholds that earlier phases didn't — it's worth rechecking if a project expands.

How DrawMagic Fits Into This

DrawMagic's evolving buyer intelligence tools are designed to help you look up whether a project appears in the State RERA registry, bringing together public registration details that would otherwise require navigating separate state portals. This is strictly an information and organisation tool — DrawMagic does not certify whether a project meets or is exempt from the registration threshold, and it is not a substitute for the State RERA authority's own determination.

If you want to think through a specific project's numbers — plot area, unit count, phase structure — DrawMagic's private, voice-led buyer companion lets you talk through what you've learned and keep a running list of what still needs checking. For details on how your information is handled while using these tools, see DrawMagic's responsible AI page, and for a broader starting point on organising your due-diligence documents, visit DrawMagic's help resources.

Key Takeaways

• Section 3 of the RERA Act, 2016 requires registration if land exceeds 500 sq m OR the project has more than 8 apartments across all phases — either condition alone is enough to trigger it.
• States can set stricter (lower) thresholds under their rule-making powers, so the exact trigger can vary by location.
• Ongoing projects without a completion certificate at RERA's commencement were also required to register, not just new launches.
• Plotted developments and mixed-use projects are covered when they meet the threshold — relevant in peri-urban Bengaluru, Hyderabad, and Pune.
• Phased projects should be assessed on their aggregate unit count across all phases, not just the currently marketed phase.
• A project being "small" or "boutique" is not proof of exemption — always verify the actual plot area and unit count.
• Always confirm a project's registration number directly on the State RERA portal rather than relying on marketing claims.
• DrawMagic's buyer intelligence tools help organise public registry facts but do not certify or determine a project's registration status.

FAQ

If a project has fewer than 8 apartments, is it definitely exempt from RERA? Not necessarily. If the land area exceeds 500 sq m (or your state's specific threshold), registration can still be mandatory even with fewer than 8 units, since the test is either/or.

Can a promoter split a large project into small phases to avoid registration? The intent of aggregating unit counts across phases is to prevent exactly this kind of avoidance. Buyers should look at the full project's master plan and total unit count rather than only the immediate phase.

Where do I check my state's specific threshold rules? Your State RERA authority's official portal and its published rules under the Act are the right starting point; a property lawyer can help interpret them for your specific situation.

Does DrawMagic tell me whether a specific project is exempt? No. DrawMagic helps you organise publicly available registration information so you and, where needed, a qualified professional can assess it — it does not make legal determinations.

Curious whether a project you're evaluating is properly registered? Start with DrawMagic's buyer intelligence tools to organise the public facts, or talk it through with DrawMagic's buyer companion as you work through the numbers.