Ultimate Guide for NRI’s buying property in Bangalore, India
Investing in real estate in Bangalore is a smart move for NRIs looking to grow their wealth. The city, often dubbed India’s Silicon Valley, offers a thriving IT sector and strong infrastructure, which makes it a top choice for property investment.
If you’re an NRI looking to buy a property in Bangalore, we’ll share everything you need to know today. In this guide, we’ll share all the essential steps for navigating the property market in Bangalore.
Can NRIs buy property in India?
Yes, NRIs can buy property in India. You can buy residential, commercial, agricultural, and plantation properties.
The process is straightforward, with few restrictions. You can invest in almost any property except farmhouses and plantations. Just comply with the regulatory framework and perhaps get some expert advice.
Why choose Bangalore for Real Estate Investment?
If you’re familiar with the vibrant life of a metropolitan city, Bangalore is a prime choice for investing in real estate. It is a cosmopolitan hub with diversity, where people from various cultures and backgrounds meet.
The city is home to IT giants like Infosys, Accenture, Wipro, TCS, and IBM. Thus, there is significant growth in both the IT and manufacturing sectors.
Why should NRIs consider buying villas and apartments in Bangalore?
Here’s what to consider as an NRI buying property in India:
- Lots of Home Choices: Bangalore has everything from fancy villas to modern apartments.
- Tech and Business Areas: It’s full of tech parks and startups.
- Better Roads and Trains: There are new metro lines, roads, and soon, a new train system.
- All-in-One Areas: Townships with homes, shops, and parks all in one place.
- Price Appreciation: Property prices in Bangalore keep rising.
Luxury Residential Properties by Nambiar Builders Ideal for NRI Investment
Nambiar Builders is renowned for crafting luxury villas in Bangalore that are perfect for NRI investment, particularly with their standout developments: Nambiar Ellegenza and Nambiar Millenia.
Nambiar Ellegenza- Luxury Villas between Hosur Road and Sarjapur Road
It is ideally positioned between Hosur Road and Sarjapur Road. This location offers quick access to major IT hubs and business districts. It has proximity to top schools, hospitals, and shopping malls enhances daily convenience and quality of life.
Project Features
- Spacious Villas: Available with 3 to 5 bedrooms.
- Modern Design: Made by top architects with fancy fittings and sleek looks.
- Great Amenities: Includes a high-tech clubhouse, beautiful gardens, and play areas for kids.
Nambiar Millenia- Luxury Apartments and Flats off Sarjapur – Chandapura Road
It is situated off Sarjapur—Chandapura Road, close to major tech parks and commercial centers. At this location, you will have easy access to educational institutions, healthcare facilities, and retail complexes for luxury apartments in Bangalore.
Project Features
- Luxury Apartments: Modern and stylish, made for comfortable living.
- Contemporary Design: Each apartment has a modern look and detailed design.
- Amenities for All: Gym, swimming pool, and more for everyone to enjoy.
Requirements for the purchase of property by NRI in India
As an NRI buying property in India, you need to make sure you follow the specific requirements for a smooth transaction:
- Permissions: No special permission needed for NRIs to buy residential or commercial properties in India, except agricultural land.
- Ownership: NRIs can own property alone or jointly with other NRIs or resident Indians.
- Documents: Required documents include a visa, Indian passport, recent tax returns, work permit, and payslips. Also needed are NOC from society and title deeds.
- Power of Attorney: Essential if buying remotely, especially with a loan.
- Payment: Must be in Indian currency from NRE, NRO, or FCNR accounts.
- Loan: NRIs can secure property loans with varying terms.
- Taxes and Charges: Income and capital gains from property are taxable in India; additional charges include GST, stamp duty, and registration fees.
Step-by-Step Guide to Property Purchase in India by NRI’s
Buying property in India as an NRI can be a rewarding investment if you follow these structured steps:
Step 1: Determining Eligibility
NRIs can purchase residential or commercial properties in India, but there are restrictions on buying agricultural land, farmhouses, and plantation properties.
Step 2: Choose the Type of Property
Decide on the type of property you want—residential, commercial, or industrial. Each category has its own set of rules and necessary documentation.
Step 3: Acquire a PAN Card
You’ll need a Permanent Account Number (PAN) for all major financial transactions in India, including property purchases. If you don’t already have one, apply through the official income tax department portal.
Step 4: Pick the Right Financing Option
Decide whether to self-finance your purchase or apply for a housing loan. Indian financial institutions offer various loan options for NRIs.
Step 5: Choose a Reputable Real Estate Agent
Work with a reputable real estate agent with experience in dealing with NRIs. They can help you navigate local markets, legal requirements, and paperwork.
Step 6: Pick the Right Location and Property
Do thorough research to find a property that matches your budget and preferences. Consider factors like location, amenities, accessibility, and potential appreciation value.
Step 7: Verify Property Ownership
Make sure the property has clear titles and is free from legal disputes. It’s wise to hire a legal expert to check all property documents.
Step 8: Acquire the No Objection Certificate (NOC)
Obtain a NOC from the Income Tax Department, primarily if the property was previously owned by another NRI, to ensure all tax obligations have been met.
Step 9: Sale Agreement
Once verifications are complete, proceed with the sale agreement. This document outlines all purchase terms, including payment schedules and possession dates.
Step 10: Register the Property
Register your property at the local sub-registrar’s office with all the necessary documents signed by both parties.
Step 11: Acquire the Occupancy Certificate
For new constructions, secure an occupancy certificate from the local municipality. This certificate confirms the property’s compliance with building codes and safety regulations.
Step 12: Funding the Purchase
Finalize the purchase by arranging the funds. If you’re using a loan, submit the required documents to your bank to ensure everything is in order.
Conclusion
Investing in Bangalore’s real estate is a great opportunity for NRIs to diversify their portfolios and benefit from India’s dynamic market. Its strong economy, excellent infrastructure, high demand for properties, and government policies like relaxed FDI rules and RERA increase transparency and ease property purchases for NRIs.
FAQs
How can I buy property as an NRI?As an NRI, you can buy property in India by ensuring eligibility, choosing the property type, obtaining a PAN card, and completing the required legal documentation.
What is the tax on NRI buying property in India?NRIs pay stamp duty and registration fees at purchase, income tax on rental earnings, and capital gains tax on property sales.
What are the benefits an NRI gets when buying a property in India?Benefits include:
- Potential high returns.
- Rental income.
- Long-term financial security.
- Maintaining a connection with one’s home country.
NRIs need a PAN card, comply with FEMA guidelines, and follow the specific documentation process for property registration and taxation.
