We welcome NRIs to participate in real estate investments through investment opportunities with fruitful returns in residential and commercial projects, SEZs, and infrastructural facilities through our wide presence in PAN India.
Indian real estate developers offer high-quality construction, transparency in project details, and fair dealings, which attract NRI customers to invest in real estate. NRIs see their investments in the Indian real estate market as safe and rewarding. Additionally, they hold the same rights and status as any other property owner.
NRI investors can secure funds from banks and financial institutions to purchase property. Kunvarji has a dedicated NRI Desk that ensures hassle-free service provision for all your realty needs! Real estate investment has always been a profitable option for NRIs. The RBI has established favorable and hassle-free regulations to make it easier for NRIs to invest in the real estate sector. The market is more secure due to Real Estate Act (RERA).
In addition to the factors mentioned above, NRIs are attracted by the surge in luxury apartments, magnificent villas, and stunning commercial complexes developed by real estate companies.
NRIs, especially those planning to return to India, are investing in commercial and residential properties. There are no restrictions preventing NRIs from profiting from business ventures in India. With the Indian economy thriving amidst a real estate boom, NRIs are keen to invest their foreign currency in the growing property market, aiming to buy and sell properties for optimal capital appreciation.
The Indian real estate sector is designed to meet the needs of NRIs considering property investments in the country. Our team of experts, specializing in NRI real estate services, ensures you secure the best deals for your property requirements. Additionally, the Indian real estate market provides higher returns compared to other developed countries, making it an appealing investment option for NRIs.
A Non- Resident Indian (NRI):
(i) Purchase of Immovable Property: NRIs can purchase any immovable property in India except for agricultural land, plantation property, or farmhouses.
(ii) Transfer of immovable property: An NRI can transfer any immovable property in India to a resident Indian. Additionally, an NRI can transfer immovable property (excluding agricultural land, plantation property, or farmhouses) to an Indian citizen or a Person of Indian Origin (PIO) outside India.
(iii) Payment for Acquisition of Immovable Property: NRIs can pay for the acquisition of immovable property (excluding agricultural land, plantation property, or farmhouses) in the following ways:
Payments can be made using the method mentioned above only.
(iv) An NRI who has purchased the property under general permission is not required to file any documents with the Reserve Bank.
Person of Indian Origin (PIO):
(i) Purchase of immovable property: A PIO can acquire any immovable property (other than agricultural land/plantation property/farmhouse) in India.
(a) A PIO (Person of Indian Origin) may acquire immovable property (excluding agricultural land, plantation property, or farmhouses) in India as a gift from a person resident in India, an NRI, or another PIO.
(b) A PIO may acquire any immovable property in India by way of inheritance from a person resident in India or a person resident outside India who had acquired such property by the provisions of the foreign exchange law in force or FEMA regulations, at the time of acquisition of the property.
(iii) Transfer of immovable property: A PIO can transfer any immovable property in India (other than agricultural land/farmhouse/plantation property) by way of sale to a person resident in India. He may transfer agricultural land/farmhouse/plantation property in India by way of gift or sale to a person resident in India who is a citizen of India. He may also transfer residential or commercial property in India by way of gift to a person resident in India, to a person resident outside India who is a citizen of India, or to a Person of Indian Origin resident outside India.
(iv) Payment for Acquisition of Immovable Property: A PIO can make payment for the acquisition of immovable property in India (other than agricultural land/farmhouse/plantation property) by way of purchase out of funds received by inward remittance through normal banking channels or by debit to his NRE / FCNR(B) / NRO account.
(v) A PIO who has purchased residential/commercial property under general permission is not required to file any documents with the Reserve Bank. Acquisition of immovable property by a person resident outside India for carrying on a permitted activity A person resident outside India who has established a Branch, Office, or other place of business, excluding a Liaison Office, for carrying on in India any activity by the Foreign Exchange Management (Establishment in India of Branch or Office or other Place of Business) Regulations, 2000 may – acquire any immovable property in India, which is necessary for or incidental to carrying on such activity, provided that all applicable laws, rules, regulations or directions for the time being in force are duly complied with; and the person files with the Reserve Bank a declaration in the form IPI (Annex-2), not later than ninety days from the date of such acquisition; and transfer by way of mortgage to an Authorized Dealer as a security for any borrowing, the immovable property acquired in pursuance of clause (a) above.
Repatriation of sale proceeds of immovable property
(A) Immovable property acquired by way of purchase
(a) A person referred to in subsection (5) of Section 6 of the Foreign Exchange Management Act3, or his successor shall not, except with the prior permission of the Reserve Bank, repatriate outside India the sale proceeds of any immovable property referred to in that subsection.
(b) In the event of the sale of immovable property other than agricultural land/farmhouse/plantation property in India by a person resident outside India who is a citizen of India or a person of Indian origin, the Authorized Dealer may allow repatriation of the sale proceeds outside India, provided the following conditions are satisfied, namely:
(i) Immovable property was acquired by the seller following the provisions of the foreign exchange law in force at the time of acquisition by him or the provisions of these regulations.
(ii) The amount to be returned should not exceed. The amount paid for the acquisition of immovable property in foreign exchange received through normal banking channels, or the amount paid from funds held in a Foreign Currency Non-Resident (FCNR) account, or the foreign currency equivalent (as of the date of payment) of the amount paid from funds held in a Non-Resident External (NRE) account for the property acquisition.
(iii) In the case of residential property, the repatriation of sale proceeds is restricted to a maximum of two such properties.
Purchase of Immovable Property in India by a Foreign National of Non-Indian Origin resident outside India
(i) Foreign nationals of non-Indian origin or residing outside India are not allowed to acquire immovable property in India, except if the property is inherited from an Indian resident. However, they can acquire or transfer immovable property in India on the lease, not exceeding five years, without the prior permission of the Reserve Bank.
(ii) Foreign Nationals of non-Indian origin, other than a citizen of Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran, Nepal, or Bhutan, can acquire immovable property in India on becoming resident in India in terms of Section 2(v) of the Foreign Exchange Management Act 1999. In this connection, he has to satisfy the condition of the period of stay. The type of visa granted should indicate the intention to stay in India for an uncertain period to determine his residential status in section 2(v) FEMA, 1999. (Press Release dated February 1, 2009, issued by the Government of India, is enclosed as Annex-1).
(iii) Foreign nationals of non-Indian origin who have acquired immovable property in India by way of inheritance with the specific approval of the Reserve Bank or have purchased the immovable property with the specific approval of the Reserve Bank cannot transfer such property without the prior permission of the Reserve Bank. (Source: https://www.rbi.org.in/)
Disclaimer
All information provided is for knowledge purposes only. Investors are requested to re-verify all the information before making any decisions.