NRI Investment
NRI Centre
Situated in the paradise of Chennai, we are the best fit to buy or invest in residential or commercial properties.
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NRI CENTRE
Situated in the paradise of Chennai, we are the best fit to buy or invest in residential or commercial properties.
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Investment in Royalton Developer for NRIs
Discerning reasons for NRI's to invest with Royalton Developers.
At Royalton Developer, freedom is valued the most. That is how we build the best luxurious homes there are. We take our own ownership and work together to achieve excellence. Royalton Developer is formed with an expert team of brilliant minds. We believe in working with equality with an attitude to learn everything and excel at everything may come across.
The NRI investment in the Indian real estate has its genesis in several socio-economic factors. From a sociological standpoint, the emotional bond of having a piece of what can be conveniently described as the best asset class has been driving them to the property market. From an economic perspective, no other asset class in any other country has historically given the kind of ROI that the Indian property market has offered to the expat Indians.
The recent slowdown and era of economic turbulences with fear of job losses was a learning lesson that it is better to invest in a property in the homeland where they can settle in times of crisis. The resilience of the Indian economy and financial institutions is an encouraging sign for the expat Indians.
The great 19th-century steel building industrialist Andrew Carnegie once said: "90 per cent of millionaires became so through owning real estate." Of course, not every real estate investment attracts the elite group of buyers who are well travelled and exposed to the global class, and hence aspire for the same in India. The NRIs prefer to invest in a property that has great aspiration value. All projects by Royalton Developer have appreciated at an average rate of 200% returns in 5 years from the date of commencement.
FAQs
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Faqs
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Under the General permission as available, the following categories can freely purchase immovable property (residential or commercial) in India.
1. Non Resident Indian (NRI) i.e. a citizen of India resident outside India
2. Person of Indian origin (POI) i.e.
• who at any time, held an Indian passport
• who or either of whose father or mother or whose grandfather or grandmother was a citizen of India by virtue of the Constitution of India or the Citizenship Act, 1955.
However, a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan will not be treated as POI.
NRI/PIO are not eligible to acquire agricultural land /plantation property/farm house in India under the general permission.
NRI/PIO are not eligible to acquire agricultural land /plantation property/farm house in India under the general permission.
On perusal of Master Circular No. 4/2013-14 dated 1st July 2013 it is observed that there is no restriction for acquiring any number of commercial and residential properties.
No. However Answer given in Query 7 may also be seen.
Foreign Nationals of Non Indian Original Resident are not permitted to acquire any immovable property in India unless such property is acquired by way of inheritance from a person who was resident in India. However, he / she can acquire or transfer immovable property in India, on lease, not exceeding five years. In such cases, there is no requirement of taking any permission of /or reporting to the Reserve Bank of India.
Foreign Nationals of Non Indian Origin, other than a citizen of Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran, Nepal or Bhutan, can acquire immovable property in India on becoming resident in India in terms of Section 2 (v) of the Foreign Exchange Management Act, 1999. In this connection, he has to satisfy inter alia the condition of period of stay in India and the onus to prove his/ her residential status is on the individual as per the extant FEMA provisions, if so required by any authority.
The type of visa granted should clearly indicate the intention to stay in India for an uncertain period to determine his residential status in terms of Section 2 (v) FEMA 1999. (Press Release dated February 1, 2009 issued by Government of India.)
However, the person concerned would have to obtain the approvals and fulfill the requirements, if any, prescribed by other authorities, such as, the concerned State Government, etc.
Foreign nationals of Non-Indian Origin who are citizens of Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran, Nepal or Bhutan can purchase immovable property in India only with the prior approval of the Reserve Bank of India.
1. A person resident outside India who has established a branch office or other place of business, excluding a liaison office, for carrying on in India any activity in accordance with the Foreign Exchange Management (establishment in India of Branch or office or other place of business) Regulations, 2000, may acquire any immovable property in India, which is necessary for or incidental to carrying on such activity, provided that all applicable laws, rules, regulation or directions for the time being in force are duly complied with, and the person files with the Reserve Bank of India a declaration in the form IPI not later than ninety days from the date of such acquisition.
2. Further, entities who have set up branch offices in India but are incorporated in Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran Nepal, Hong Kong, Macau and Bhutan would require prior approval of Reserve Bank of India to acquire any immovable property
3. However, if the foreign company has established a liaison office, it cannot acquire immovable property. In such cases, liaison offices, can take property by way of lease not exceeding 5 years.
Any NRI/ PIO may acquire any immovable property (other than agricultural land/plantation property/farm house) in India by way of gift from a person resident in India or a NRI or a PIO.
However, a foreign national of non-Indian origin, resident outside India cannot acquire any immovable property in India by way of gift without the prior approval of the Reserve Bank of India.
A NRI can acquire immovable property by way of inheritance (other than agricultural land/plantation property/farm house).
A PIO may acquire immovable property in India by way of inheritance from a person resident in India or a person resident outside India who had acquired such property in accordance with the provisions of the foreign exchange law in force or FEMA regulation, at the time of acquisition of such property, (other than agricultural land/plantation property/farm house).
However, a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan will not be treated as POI.
A foreign national of non-Indian origin is not permitted to acquire any immovable property in India unless such property is acquired by way of inheritance from a person who was resident in India.
A person resident outside India being an NRI or a PIO can inherit immovable property from a person resident in India and another person resident outside India, provided that the person from whom the property is inherited has acquired such property in accordance with the provisions of the Foreign Exchange Law in force or FEMA regulation, at the time of acquisition of the property,.
A person resident outside India being a foreign national of non-Indian origin can only inherit property from a person who was resident in India.
However, a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan will not be treated as PIO.
A NRI may transfer any immovable property in India to a person resident in India.
He may transfer any immovable property (other than agricultural land or plantation property or farm house) to an NRI or to a PIO.
A PIO can transfer any immovable property in India (other than agricultural land/farm house/plantation property) by way of sale to a person resident in India, an NRI or, with the prior approval of the Reserve Bank of India, a PIO.
He may transfer agricultural land/farm house/plantation property in India, by way of gift or inheritance to a person resident in India, who is a citizen of India, or to a person of Indian Origin resident outside India.
Foreign National of Non Indian Origin including a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan can sell property in India with prior approval of Reserve Bank of India to a person resident in India or an NRI or a PIO.
NRI / PIO can sale agricultural land/plantation property/farm house only to a person resident in India, who is citizen of India.
However, a foreign national of non-Indian origin resident outside India would need prior approval of the Reserve Bank of India to sell agricultural land/plantation property/ farm house in India.
Yes, NRI/PIO can gift his residential / Commercial property in India to a person resident in India or NRI or PIO but gift by a Foreign National of non-Indian origin needs prior approval of RBI.
NRI/PIO can gift but only to a person resident in India who is a citizen of India. However, Foreign National of non-Indian origin needs prior approval of RBI.
NRI/PIO can mortgage in favour of
1.Authorized Dealer/Housing Finance Institution in India without the approval of Reserve Bank.
2.Bank abroad– with prior approval of Reserve Bank.
However, a foreign national of non-Indian origin can mortgage a residential / commercial property only with prior approval of the Reserve Bank of India.
A foreign company which has established a Branch Office or other place of business in accordance with FERA/FEMA regulations has general permission to mortgage the property with an Authorized Dealer in India.
Payment can be made by NRI/PIO out of
1.Funds remitted to India through normal banking channels or
2.Funds held in NRE/FCNR (B) NRO account maintained in India No payment can be made either by traveller's cheque or by foreign currency notes or by other mode except those specifically mentioned above.
Yes such loans are permitted subject to the terms and conditions laid down in Schedules 1 and 2 to the Notification No. FEMA 5/2000 RB dated May 3, 2000 viz Foreign Exchange Management (Deposit) Regulations, 2000 as amended from time to time. Banks cannot grant fresh loans or renew existing loans in excess of Rs. 100 lakhs against NRE and FCNR (B) deposits, either to the depositors or to third parties.
The banks should also not undertake artificial slicing of the loan amount to circumvent the ceiling of Rs. 100 lakh. Such loans can be repaid in the following manner:
1.by way of inward remittance through normal banking channel or
2.by debit to the NRE / FCNR (B) / NRO account of the NRI/ PIO or
3.out of rental income from such property
4.by the borrower's close relatives, as defined in section 6 of the Companies Act, 1956, through their account in India by crediting the borrower's loan account.
Yes, NRI/PIO can avail of housing loan in Rupees from an Authorised Dealer or a Housing Finance Institution subject to certain terms and conditions laid down in Regulation 8 of Notification No. FEMA 4/2000-RB dated May 3, 2000 viz.
Foreign Exchange Management (Borrowing and lending in rupees) Regulations, 2000, as amended from time to time.
Authorized Dealers/ Housing Finance Institutions can also lend to the NRIs/ PIOs for the purpose of repairs / renovation / improvement of residential accommodation owned by them in India.
Such a loan can be repaid (a) by way of inward remittance through normal banking channel or (b) by debit to the NRE / FCNR (B) / NRO account of the NRI / PIO or (c) out of rental income from such property; or (d) by the borrower's close relatives, as defined in section 6 of the Companies Act, 1956, through their account in India by crediting the borrower's loan account.
Where an Authorized Dealer in India has granted loan (including Housing loan) to a non-resident Indian such loans may also be repaid by resident (relative as defined under Section 6 of the Companies Act, 1956), of the non-resident Indian by crediting the borrower's loan account through the bank account of such relative.
•The personal loan can be granted only for personal purposes including purchase of housing property in India.
•The loan shall be granted in accordance with the lender's staff welfare scheme/staff housing loan scheme and subject to other terms and conditions applicable to its staff resident in India.
•The lender shall ensure that the loan amount is not used for the purposes specified in sub clauses (i) to (iv) of clause (1) and clause (2) of Regulation 6 of Notification No. FEMA 4/2000 RB dated May 3, 2000.
•The lender shall credit the loan amount of the borrower's NRO account in India or shall ensure credit to such account by specific indication on the payment instrument.
•The loan agreement shall specify that the repayment of loan shall be by way of remittance from outside India or by debit to NRE/NRO/FCNR Account of the borrower and the lender shall not accept repayment by any other means.
An individual resident can also lend money to his close relative NRI/ PIO by way of crossed cheque /electronic transfer within the overall limit of USD 75,000 per financial year under the Liberalised Remittance Scheme, to meet the borrower's personal or business requirements in India, subject to conditions.
The loan should be interest free and have a maturity of minimum one year and cannot be remitted outside India.
