5 Points Nris Should Consider While Investing In India

By Author: Akshay Argade
Total Articles: 38
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As per FEMA (Foreign Exchange Management Act), NRIs are equally eligible to invest and buy real estate properties in India as that of resident Indians. In fact NRI investments is one of the major source of fund in the real estate business of India. However, lately there are lots of reports coming in that NRIs are getting duped investing in Indian properties. But that can certainly not restrict their investments. There are several reasons why NRIs invest in Indian real estate. The most prefered reason is buying home for old age.

Here are some points for NRIs that requires considering while investing in Indian real estate. Let's check out:

1. Be clear about the purpose of investment- To say this, while considering buying property, it should be clear that what is the purpose of investment. In case it is for the residential purpose, clear out the approximate time after which it is going to get used. This will tell which place will be beneficial to invest, developed or developing. If the property is for reselling for the purpose of profit, then buying in posh areas, business centres or closer to upcoming infrastructures ...
... will be more profitable as NRIs have high purchasing capacity due to difference in currency valuation.

2. Background of the builder/developer- This holds true for both resident and non-resident Indians. Background check of the builder is a must. It is advisable specially for the NRIs to go only with the big names. Even if one has to consider smaller ones, check their history in complying with laws, punctuality in project implementation and possession, etc. Absolute newbies are better to be avoided.

3. Permits and authorizations- Before making any kinds of payments, make sure to ask for the copies of all permits and authorization documents of the properties. Starting from the copy of plan to work permits, everything. For the very same reason, it is advisable for the NRIs to not put in money in the pre-launch or soft launch properties.

4. Keep up-to-date with government policies- NRIs should stay abreast with the goverment policies and its changes regarding the NRI investments. At present NRIs are not allowed to invest in forest lands, agricultural land and plantations. Apart from these, there are certain clause regarding the leasehold, freehold, etc. that require careful understanding.

5. Appoint an able tax consultant- This is because being a NRI, one falls under number of taxes while investing in India. Therefore, it is important to know what are the taxes applicable and how much burden it is going to be or no. Withholding taxes, TDS at the time of a purchase, rental taxes and property taxes are some of the taxes that should be well understood before any investment.

NRI complex in Nerul, Navi Mumbai is a residential society that has been constructed and facilitated keeping in the mind the requirements and lifestyle of the NRIs. To invest in the properties in the NRI complex, contact Akshay Argade today. Akshay Argade has been established in 2012 by a management graduate who envision 'to provide the best, to the best'.