In the article below, we shall learn about RERA carpet area meaning, how it is calculated, and the significant points of difference between RERA carpet and actual carpet area. This information will help avoid confusion and make an informed decision.

What is a Carpet Area?

Before we understand carpet area as per RERA, it is essential to know what carpet area means. In simple words, carpet area means the actual usable areas or that area of the property that the carpet can cover to place the furniture. This area does not include the walls or any other external common areas like lifts, staircases, and lobbies; it, however, does include balconies and utility areas. It is, thus, the most important metric or a key point for property evaluation.

What is RERA carpet Area?

Since we are now clear on the concept of carpet area, let us move on to understanding the RERA carpet area. The RERA (Development and Regulation) Act, 2016 (RERA) defines the term Carpet Area under Section 2(k) of Chapter 1 of the Act in a slightly different manner than the carpet area meaning.

According to the definition, RERA carpet area is “the net usable floor area of an apartment, excluding the area covered by the external walls, areas under services shafts, exclusive balcony or verandah area and exclusive open terrace area, but includes the area covered by the internal partition walls of the apartment”.

Carpet area as per RERA is a valuable metric but varies from the usable carpet area of an apartment. In simple words, the definition clearly states that the carpet area excludes external walls, service areas and balconies and open terraces. This definition also differs from the definition according to the Maharashtra Ownership Flat Act (MOFA) carpet area.

RERA Carpet Area Calculator

As per the definition in the RERA Act of 2016, the RERA area calculation can be done as follows: RERA Carpet Area = Net Usable Area of the Apartment (excluding external walls, terrace, balcony, and verandah) + Internal Partition Wall Areas.

RERA area calculation is easy as the carpet area is usually 70% of the built-up area. Suppose the built-up area of an apartment is 1500 sq. ft., then the RERA carpet would be approximately 1050 sq. ft.

Importance and Impact of RERA Carpet Area

Before the RERA Act of 2016 was introduced, property builders or agents sold units based on the super built-up area, which helped them reduce the property’s per sq. ft. cost and take advantage of the lack of clarity on space calculation. With the RERA Act, the builders and agents are now mandated to sell flats based on the carpet area.

Thus, the concept of carpet area as per RERA resulted in the following:

  • Mandatory requirement to include the RERA carpet area in the marketing communication for clarity.
  • Transparency of the real estate market
  • Standardised trade and business practices
  • Building trust and confidence in the seller
  • The sale price is based on the RERA carpet area.
  • Considering any adjustments arising from a change in the RERA carpet area.

To explain the last adjustment point, consider a homebuyer booking a flat in an under-construction property. If the carpet area is reduced during the construction, the builder must refund the excess amount with the prescribed interest rate of SBI’s highest MCLR + 2% to the homebuyer within 45 days.

Difference between RERA Carpet and Actual Carpet Area

The key difference between RERA carpet and actual carpet area also called net usable area, is that the latter excludes the area under the internal walls. Hence, the prescribed RERA carpet area will always be more than the actual one. There is approximately a 5% difference in both these carpet areas due to this reason. For example, if the carpet area of an apartment is 900 sq. ft., its RERA carpet area would be around 945 sq. ft.


Buying a home is a challenging task. When homebuyers view a real estate project or an apartment, the builder typically informs them about the area of the desired flat covers. Being one of Mumbai’s most admired real estate companies, Piramal Realty ensures transparency in explaining the real estate jargon for homebuyers. So, looking for contemporary residential spaces with high-quality standards and safety becomes easy for home buyers.

Disclaimer- This article is based on the information publicly available for general use as well as reference links mentioned herein. We do not claim any responsibility regarding the genuineness of the same. The information provided herein does not, and is not intended to, constitute legal advice; instead, it is for general informational purposes only. We expressly disclaim /disown any liability, which may arise due to any decision taken by any person/s basis the article hereof. Readers should obtain separate advice with respect to any particular information provided herein.