Investing flats in Mangalore
NRIs have always been opportunistic in terms of investment avenues and returns. Real estate is one of the sectors which always grabs the attention of non-residents. Another thing that dominates an NRI’s mind is that he might want to return home after some years, and the very next thought after that is the purchase of property here.
NRIs have always been keen on investing their money in India. Buying a property in one’s home country will always have its own advantages. Occasions like wedding, anniversary or a misfortune may want them to visit their homeland to keep the Indian connection alive.
You Have to Know
Who is a Non-resident Indian (NRI)?
An Indian Citizen who stays abroad for employment/carrying on business or vacation outside India or stays abroad under circumstances indicating an intention for an uncertain duration of stay abroad is a non-resident.
Do non-resident Indian citizen require permission of Reserve Bank to acquire residential/commercial property in India?
Non-resident Indian citizen doesn’t require permission of Reserve Bank to acquire residential/commercial property in India.
Do foreign citizens of Indian Origin require permission of Reserve Bank to purchase immovable property in India for their residential purpose?
Reserve Bank has granted general permission to foreign citizens of Indian Origin, whether resident in India or abroad, to purchase immovable property in India for their bonafide residential purpose. They are, therefore, not required to obtain permission of Reserve Bank.
What should be the method of payment for purchasing residential immovable property in India by foreign nationals of Indian origin under the general permission?
The purchase consideration should be met either out of inward remittances in foreign exchange through normal banking channels or out of funds from NRE/FCNR accounts maintained with banks in India.
Can foreign citizens of Indian origin acquire or dispose of residential property by way of gifting it?
Yes. The Reserve Bank of India has granted general permission to foreign citizens of Indian origin to acquire or dispose of properties up to two houses by way of gift from or to a relative who may be an Indian citizen or a person of Indian origin whether resident in India or not, provided gift tax has been paid.
Can NRIs obtain loans for acquisition of a house/flat for residential purpose from financial institutions providing housing finance?
The Reserve Bank of India has granted general permission to certain financial institutions providing housing finance. Many banks offering t housing loans to non-resident Indian nationals for acquisition of a house/flat for self-occupation subject to certain conditions.
Is there any restriction on the number of residential/commercial property that an NRI/PIO can purchase under the general permission available?
There is no restriction on the number of residential/commercial property that an NRI/PIO can purchase under the general permission available.
General Documents required for NRI to avail loan
Passport size photos - 6
Pan card copy
Passport all pages -xerox copy (With previous and current visa stamped page and exit -entry page)
Permanent address proof (Passport/ Telephone bill / Bank passbook /Adhar card / Voter Id / Driving license). (Any one of this)
Valid Contract Copy / Offer Letter /Joining Letter (Any One)
Driving License / Utility bills / Residence proof / Phone bills(Abroad)
Residence Permit Id / Country Id
Salary certificate original
Latest Pay Slips – 3 months original/Copy
Overseas bank A/C. statement which reflects credit of salary, Savings etc. Original - 6 Months
Local Bank NRE/NRO. A/C. statement -latest 6 months
W 2 Form (If any) tax related forms (depend On country) Last 2 years latest
Bank account needed.(can be open new )
Existing loan statement India or Overseas (If any) (Housing/Car/Education/Mortgage/Personal/Consumer Loan)
Power of Attorney (In Bank Format) Signed by Applicants/Co-applicants and attested by the Indian Embassy/Notary Public required. (If the Applicant/Co-Applicant not available in India)
After sanctioning the loan 6 cheques required from NRE/NRO account for security cheques and other
(SIGNATURE REQUIRED FOR ALL DOCUMENTS COPIES)