NRI Buying Homes, Properties more Easliy

NRIs are now buying Properties, homes in their very own homeland in more relaxed way than ever for non resident status people abroad. Reasons are RBI relaxed and imroved norms for non resident indians to buy property in India.

1. Reserve Bank of India has spelled out clear norms for NRIs to invest in different kinds of property. NRIs holding Indian passport do not require prior permission of RBI to buy residential or commercial immovable property in India.


2. The purchase consideration may be paid either by remittance of funds from abroad through normal banking channels or out of NRE / FCNR / NRO account.
   
   
3. Money can be repatriated abroad if bought with the foreign exchange earned abroad. That too, only in the sale of two residential properties but any number of commercial properties.

NRI’s of Indian nationality do not require any permission for acquisition, transfer or disposal by way of gift of immovable property which is not a farmhouse or agricultural land or plantations property. Declaration on form IPI 7 for acquisition of commercial property for carrying on any industrial, commercial or trading activity by their proprietary / partnership firm in India is required to be filed with RBI within 90 days from date of purchase.

Mr. NAgarajan, editor of Indian Real Estate says, -

"There is huge demand for professional property management services from the NRI segment which has not been adequately met. “These days NRIs do not trust their relatives and want to outsource this function to professional companies to do the renting, leasing, taking care of the documents, maintenance etc. once this function is addressed, there will be a surge in NRI investments."

This corroborated by Amit Mavi, who markets properties by leading developer group, Unitech. “The NRIs prefer investing what they save in their home country. It is generally a long term investment and not a speculative one. This investment also acts as the vacation home for these NRIs when they come to India and also a home from a long term end user perspective.

Source: Economics Times