Non-resident Indians (NRIs) from all over the world look forward to real estate investment in India. With the India Growth Story gaining momentum, more and more NRIs are buying properties in India. Maharashtra and Pune are a preferred choice of NRIs. While investing, they should know the rules of NRI investment.
Reserve Bank of India (RBI) has made the rules of NRI investment simple and hassle free. If you have an Indian passport, no prior permission is required for real estate investment in India. Foreign Exchange Management Act (FEMA) regulates property transactions in India.
All property transactions have to be done in Indian currency through Indian Banks. The NRI investor must have his NRI account in the authorized Indian bank. All the required paperwork has to be clear and verified by the lawyer.
NRI can purchase as many residential or commercial properties as he chooses. In case of agricultural properties or farmhouses, NRI can own them only in case of inheritance or as a gift.
One of the major rules of NRI investment is regarding Power of Attorney. If you have chosen any under construction property, the Power of Attorney needs to be given to the builder or to a relative or an associate you trust.
NRI avails of the same tax benefits as the Indian resident. Deduction of Rs. 1 lakh can be claimed under section 80 C on the Income Tax Act 1961. If the property is sold within three years of purchase, the earnings are taxable. If it is sold after three years, you have the option of investing in another property.
By following these simple and easy rules of NRI investment, the property buying process becomes smoother. Namrata Group has a number of prestigious projects in Talegaon, Hinjewadi, Tathawade which are perfect for NRI investment.