Burgeoning IT industry, increase in the number of high net worth individuals and increasing connectivity are few reasons that are empowering Bangalore’s real estate segment. All the IT folks of the city, who have migrated here from abroad, are seeking for residential property in turn setting a stable growth of demand & supply in the realty sector. Another major aspect that is turning the face of realty factor of Silicon city is the NRI interest.
There are many NRIs who aren’t just showing interest however keen to invest in real estate Bangalore, turning it an investment-friendly market. Well, Non Residential Indians have always been rapt about investing in Indian property, strong currency of their country and affordability being the reason. However this time metropolitan city as Bangalore is the focus. For all those NRIs, first time making an investment overseas here are few quick tips before they seal the deal.
As compared to local buyers NRI buyers aren’t spoil for choices and need to adhere to many commandments by the Government. As a matter of fact non residential Indians aren’t permissible for buying any agricultural land. Consequently the legality and the nature of the property under question are the primary things buyers need to get themselves acquainted with. Not being familiar with nature of property can lend the buyer in a tight spot such as, if the property is build on an agricultural land then the government holds the authority to consider it illegal.
For NRI citizens sitting miles away, the whole procedure of buying a property in another country and specifically documentation isn’t a piece of cake. There are few needs as PAN (permanent account number) that the buyer is required to fulfill before deciding upon an investment. If the NRI is heading for an apartment then it makes sense to get themselves noticed about credentials as IOD (intimation of disapproval), title deed, Commencement Certificate and other legal documents.
NRI citizen can only deal with a developer or seller who is authorized by the government of India as states by the Foreign Exchange Management Act. Thus it becomes imperative for the foreign buyer to be cognizant of the seller’s authentication, track record, reputation and legal history. Further before making the final financial transaction, ownership of the property is with whom or does it hold any legal dispute are the question, getting the answer to which is imperative for an investor.
In case the NRI wants to give the residential property on rent, then he has to file tax in India as his income from India would be liable for taxation here. Also there would be maintenance amount on the account of electricity bills, property tax and water charges to be paid monthly or yearly.
Well it’s certain that an NRI needs to go the extra mile in the lieu of local buyer to stay away from any hustle, accordingly it’s always advised to take help from a lawyer or trusted broker to make a safe and sound decision.