NRI Investment in India

1 I Colliers International NRI Investment in India Can I invest in real estate in India? YES NO NO RESTRICTION YES Can I acquire agricultural land / plantation property / farm house? Is there any restriction on the number of residential / commercial properties I can purchase? Can I acquire immovable property by way of gift / inheritance? Can I sell / gift my residential / commercial property? Can I repatriate the sale proceeds from India? What can be the source of funding? Can I mortgage my property? YES (The property can only be commercial or residential in nature. Prior approval required from the RBI (Reserve Bank of India) for citizens of Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran, Nepal and Bhutan) YES (No prior approval is required from the RBI for loans from authorised dealers in India; approval is required if the loan is from a bank abroad) Properties can be purchased using inward remittances from anywhere outside of India or through funds maintained in NRI bank accounts in India. YES but with certain pre-conditions • Repatriated amount cannot exceed the amount y ou originally paid for purchase; • Repatriation of sale proceeds is restricted to a maximum of two properties; • Repatriating proceeds from residential investments in the form of dividends is not allowed; • Repatriation limit is US$1 million per nancial year. Investment by an NRI in India is always welcomed and the Reserve Bank of India has granted general permission to foreign citizens of Indian Origin (NRIs) whether resident in India or abroad, to purchase immovable property in India. According to this general permission, the NRI needs to le a Form IPI 7 declaration with the central oce of the Reserve Bank of India (RBI) within 90 days of the date of purchase of immovable property or nal payment of a purchase consideration along with a certied copy of the documents verifying the transaction and a bank certicate showing the consideration paid. There is no restriction on the number of properties an NRI can buy in India. Frequently Asked Questions

NRI Investment in India

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