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Compliance

What is Pre-launch?

Pre-launch is the period before a real estate project is formally launched for sale, when a developer gauges demand and sometimes collects expressions of interest at an introductory price. In India, a project that needs RERA registration cannot be advertised or sold before it is registered.

Also known as Soft launch

Section 3 of the Real Estate (Regulation and Development) Act, 2016 bars a promoter from advertising, marketing, booking, selling or offering for sale any plot, apartment or building in a project that requires registration, without first registering it with the state RERA authority. Many state authorities have warned against “pre-launch” offers that collect money before registration.

In practice, what teams do before registration is limited to non-binding activity such as collecting names of people who want to be informed. After registration, a “launch” phase with introductory pricing, EOIs and priority unit selection is common. Agents and channel partners should check the project’s RERA number on the state portal before promoting it, and show that number in ads as the rules require.

Example

Checking before promoting (illustrative)

A Mumbai CP is offered a “pre-launch rate of ₹14,500 per sq ft” for a Thane tower. Before running ads, he searches the MahaRERA portal and finds no registration for that project. He holds his campaign, only notes interested buyers’ names, and starts promotion three weeks later when the RERA number is issued and printed in the developer’s material.

Figures are illustrative, not market rates.

Questions about Pre-launch

Is it legal to buy in a pre-launch project?

For a project that needs RERA registration, advertising and selling before registration is prohibited by Section 3 of the RERA Act, so money paid in an unregistered pre-launch has weaker protection. Check the project on the state RERA portal first. This is general information, not legal advice.

What is the difference between pre-launch and new launch?

Pre-launch is the period before formal launch, which for a RERA project should not involve advertising or selling before registration. A new launch is a registered project that has just opened for sale, often with introductory prices and early unit choice.

Sources

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