With the rupee falling, real estate has been one lucrative investment option for non-residential Indians (NRIs). Also, whether the market is hot or not, many NRIs like to have a home back here in India. The RBIs regulations on it are fairly easy as well and you do not have to take any prior permission from the authorities. The rules for such property transaction fall under the Foreign Exchange Management Act (FEMA).
With our incomparable legacy of 24 years in construction sector, we have inspired & invited foreign citizens of Indian origin to invest in their country of origin through our flawless project delivery module. We have been consistently providing quality lifestyle complied with a better living prospect. Our projects are an exquisite craftsmanship of intellectually & stylish architectural plan with innovative design which are reflected in number of our accomplished projects we have delivered so far.
An NRI or Person of Indian origin (POI) can own both residential as well as commercial properties in India and there is no restriction on the number of property you can buy. However, you cannot purchase any agricultural land, farmhouse and plantation property. You can have ownership of such property only if they’ve been gifted or inherited.
Also, the monetary transaction must be in Indian rupees (INR) and through normal banking channels using an NRI account.
Funding the purchase:
Leaders will be more than happy to fund your purchase provided you are eligible and the property papers are clean. It will be wise to get the papers verified by a lawyer before going ahead. Make sure to check the title papers of the property, especially if it is inherited or jointly held, and take a bank release in case it was at any point of time under mortgage. Also, take no dues certificate from the seller at the time of purchase to ensure there is no water, electricity or any other pending bills with the authorities. For new constructions, land titles should be clear and the builder should have taken approvals and permits from the civic authorities in terms of construction. Also, education qualification and profession play a role in deciding your loan eligibility.
According to RBI norms, a maximum of 80% of the value of property can be funded by a financial institution. Rest has to come from the NRI's personal resources. Indian financial institutions give rupee loans and so the same needs to be repaid in rupees only.
Passing the PoA:
If you are buying an under-construction property, your developer may ask for a power of attorney (PoA) favouring them. This is not unusual and would make documentation work slightly easier and quicker.A PoA can be given to execute any contracts, deeds as well as mortgage, lease or even sell. So make sure the kind of authority you are giving to the person through the PoA.