Tips for NRIs Before Buying Property in Mumbai

With more than million of NRIs (Non-inhabitant Indian) and PIOs (Person Of Indian Origin) over the globe, overseas investment into Indian real estate has never been an issue. Majority of these people have invested have invested into the country in thought to their individual future plans.

Points for consideration for NRIs while purchasing property in India.

1. Which property can a NRI or PIO purchase? 

A NRI or Person of Indian Origin (PIO) can claim both residential and commercial properties in India and there is no limitation on the quantity of properties you can purchase. In any case, you can't buy any agriculture property, farm house and plantation property. You can have ownership for property just on the off chance that they have been gifted or inherited. 


2. Repatriation of the capital gain? 


NRI and PIO have been permitted to repatriate unique interest in equivalent foreign exchange in residential/commercial properties. However, the additions from such transactions must be re-invested resources in the real estate market in India.


3. How to pay for these properties?

The cash for purchase of property can be made either by method for assets dispatched to India from abroad through regular banking channels or through the balance in the Non Resident External (NRE), Non Resident Ordinary (NRO) or Foreign Currency Non Resident (FCNR) Account.


4. Availability of home loan? 

Loan to a NRI is available the same way they would be to an eligible resident, for reference below mentioned criterion is must for availing home loan.

• Least age of 18 years. 

• Valid Indian passport (for NRIs)/valid foreign passport (for People of Indian Origin -    PIOs). 

• Steady income source. 

• Employed abroad for not less than 2 years. 

• Valid job or work permit.


5. Can NRIs sell or transfer property?

A NRI can sell property in India to a person resident in India or to a NRI. A PIO can sell property in India to a person resident in India or to a NRI or a PIO yet in the wake of having an earlier approval from the Reserve Bank of India.

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