At Ocus Group, our mission is to assist you in fulfilling every requirement you have, whether it's purchasing, making payments, receiving project updates, or obtaining possession of your property. Our dedicated NRI Service team will navigate you through each step of the process, offering vital information on essential documentation and addressing any concerns you may have regarding your property.
NRI FAQ'S
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Do Non-Resident Indian nationals require permission from the Reserve Bank of India to acquire residential/commercial property in India?
No permission is required by non-resident Indian nationals to acquire immovable property in India.
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Are foreign nationals of Indian origin allowed to purchase immovable property in India?
Yes, foreign nationals of Indian origin, whether resident in India or abroad, have been granted general permission to purchase immovable property in India.
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What should be the method of payment for purchasing residential immovable property in India by foreign nationals of Indian origin?
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.
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Are there any formalities to be completed by foreign nationals of Indian origin for purchasing residential immovable property in India?
They are required to file a declaration in Form IPI 7 with the Central Office of the Reserve Bank of India in Mumbai within 90 days from the date of purchase of immovable property or final payment of purchase consideration along with a certified copy of the document evidencing the transaction and bank certificate regarding the consideration paid.
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Can such property be sold without the permission of the Reserve Bank of India?
Yes. The Reserve Bank of India has granted general permission for the sale of such property. However, where the property is purchased by another foreign citizen of Indian origin, funds towards the purchase consideration should either be remitted to India or paid out of balances in NRE/FCNR accounts.
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Can the rental income from such property be remitted outside India?
No. Such income cannot be remitted abroad and will have to be credited to the ordinary non-resident rupee account of the owner of the property. Restricted remittances are, however, now permitted.
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Can such property be sold without the permission of the Reserve Bank of India?
Yes. However, such property can be sold to other foreign nationals of Indian origin provided funds towards the purchase consideration are either remitted to India or paid out of balances in NRE/FCNR account.
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Can the sale proceeds of such property if and when sold be remitted out of India?
In respect of residential properties purchased on or after May 26, 1993, the Reserve Bank of India considers applications for repatriation of sale proceeds up to the consideration amount remitted in foreign exchange for the acquisition of the property for two such properties. The balance amount of sale proceeds, if any or sale proceeds in respect of properties purchased before May 26, 1993, will have to be credited to the ordinary non-resident rupee account of the owner of the property. The Reserve Bank of India also considers repatriation of sale proceeds up to the consideration amount remitted in foreign exchange for the acquisition of commercial properties.
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What are the conditions required to be fulfilled for the repatriation of sale proceeds?
Applications for repatriation of sale proceeds are considered provided the sale takes place after three years from the date of the final purchase deed or from the date of payment of the final consideration amount, whichever is later.
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What is the procedure for seeking such repatriation?
Application for necessary permission for remittance of sale proceeds should be made in Form IPI 8 to the Central Office of the Reserve Bank of India in Mumbai within 90 days of the sale of the property.
