NRI Corner

At Shriram Properties, we understand your need for comfort and privacy, and promise to deliver you exclusive, comfortable homes that are bound to exceed your expectations. We offer very meticulously designed homes that come furnished with the best features homeowners like you often look out for. Our homes come with additional luxury and eco-friendly amenities to give you a better quality of life.

  • FAQs

    Who is an NRI?

    By the RBI definition an NRI (Non Resident Indian) is a person residing outside India, who is a citizen of India or is a person of Indian origin.

    Who is a PIO?

    By the RBI definition a PIO (Person of Indian Origin) means an individual (not being a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan) who (i) at any time, held an Indian Passport or (ii) 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 (57 of 1955)); or (c) the person is a spouse of an Indian citizen or a person referred to in sub-clause (a) or (b).

    Is permission required to acquire immovable property in India?

    No. NRIs and PIOs can acquire immovable residential or commercial property in India without any permission.

    What is the process to pay for the acquired immovable property?

    NRIs and PIOs should either acquire immovable property through inward remittances in foreign exchange or through the NRE/FCNR bank accounts maintained with banks in India.

    Is there any restriction on the number of properties that can be purchased?

    No. NRIs and PIOs can acquire any number of residential or commercial property. RBI places restriction only on agricultural land and farmhouses.

    Can the acquired immovable property be rented out?

    Yes. NRIs and PIOs are allowed to rent out the acquired immovable property without any restrictions. The rent amount can also be remitted outside India without any permission.

    What are the tax implications for NRIs and PIOs on the purchase, sale or rent of the acquired property?

    There aren’t any tax implications for NRIs and PIOs on the purchase of immovable properties in India but any income earned from renting or selling the property is taxable.

    Can the acquired immovable property be gifted to relatives/charitable trusts/organizations in India or abroad?

    Yes. The RBI allows NRIs and PIOs to gift the immovable property to an Indian citizen or a PIO.

    Can the proceeds of the sale be remitted out of India?

    Yes. The proceeds of the sale are remitted out of India to the home country of the NRI and PIO up to the amount originally remitted from abroad to purchase the property. The property can be sold only after three years of acquisition.

    What are the RBI guidelines for loans to NRIs and PIOs?

    The loan amount shall not exceed 85% of the cost of the acquired immovable property. Rest of the loan amount can be financed by the NRI and PIO through NRE/FCNR bank accounts in India. Repayment of the loan amount must also be done through the same.

    Can an NRI give a resident of India power of attorney to complete the loan formalities on their behalf?

    Yes. NRIs and PIOs can give power of attorney to a resident of India to complete the loan formalities on their behalf seeing as how the NRI and PIO wouldn’t be in India for a period long enough to complete the formalities themselves.

  • RBI DIRECTIVES

    NRIs and Persons of Indian Origin (POI) can acquire immovable property in India other than agricultural property, plantation or a farmhouse. The Reserve Bank of India (RBI) states NRIs and PIO purchasing immovable property in India, can pay for the acquisition by funds received in India through normal banking channels by way of inward remittance from outside the country.

    The guidelines provided are:

    The home loan amount should not exceed 85% of the cost of the dwelling unit, as the remaining amount that is 15% needs to be provided as an own contribution towards the cost of unit financed.

    The cost of the dwelling unit which is own contribution, less the loan amount, can be met from direct remittances from abroad through normal banking channels, the Non-Resident (External) [NR(E)] Account and /or Non-Resident (Ordinary) [NR (O)] account in India. However, repayment of the loan, comprising of the principal and interest including all the charges are to be remitted to the HFC from abroad through normal banking channels, the Non-Resident (External) [NR(E)] Account and /or Non-Resident (Ordinary) [NR (O)] account in India.

    The repayment option for NRIs is they can pay through the funds held in any non-resident account maintained in accordance with the provisions of the Foreign Exchange Management Act, 1999, and the regulations made by the RBI from time to time.

  • Documents required