The government has liberalised investment norms for NRIs to invest in real estate in India. At the same time there is a need of adhering to ground realities before plunging into investment. We provide some of the frequently answered questions answered recently by the Reserve Bank of India.
Who can purchase immovable property in India?
Under the general permission available, the following categories can freely purchase immovable property in India:
i) Non-Resident Indian (NRI)- that is a citizen of India residing outside India
ii) Person of Indian Origin (PIO)- that is an individual (not being a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan), who 1. at any time, held an Indian passport, or 2. either whose father or grandfather was a citizen of India by virtue of the Constitution of India or the Citizenship Act, 1955 (57 of 1955).
The general permission, however, covers only purchase of residential and commercial property and not purchase of agricultural land / plantation property / farm
