NRI-Overview

Dear NRI Investor,
If you are looking to invest in property in India you are on the right place. Most welcome to Anathi Builders and Developers Pvt Ltd. - South India's
largest and most sought after residential property developer for all segment of people. Over the last couple of decades several Indians have made
good investment decisions and become owners of best net worth of their property. We invite you to join!

NRI INVESTMENT PLANING IN INDIA

The Indian Rupee has continued to slide against the US dollar. From INR 52 for each US dollar about a year ago, it has depreciated to around INR 59. Nevertheless, this indicates that your 1 US dollar is equivalent to almost INR 63 in India. Hence, when you convert your dollars to Indian Rupees to buy a property, you need that much less dollars to make your investment. Real Estate prices have been steadily increasing in India. Although everyone has been waiting for that imminent correction to take place, it has not yet happened. India faces the issue of a large population, which has resulted in space constraints. Further, lots of projects have got stuck in a logjam due to delay in getting approvals and clearances. However, even as the price graph moves upwards, we are nowhere close to the sky high prices seen in the year 2008 before the Lehman debacle. Thus, there is plenty of room to earn a neat return on your investment. The government is in the process of passing the Real Estate bill. This bill, once enacted, will see significant reforms in the real estate sector in India, which, in turn, will improve the investment climate for this sector. Don’t miss this opportunity. Buy a property in your home country today.

ELIGIBILITY

If you are a person residing outside India but hold an Indian passport or are a Person of Indian Origin (PIO), then you are permitted by the RBI to buy real estate in India. The permission is applicable only for residential and commercial properties and excludes agricultural land/plantation property/farm house. Also, you can own any number of properties in the country. Financing the purchase The funding of the purchase of the particular land is governed by provisions of FEMA and guidelines identified by RBI. The financing can only happen through inward remittances received from overseas via a normal banking channel or through funds maintained in a non-resident account (NRE/FCNR/NRO). No consideration is allowed to be paid outside India. Availing home loans in India Planning to invest in real estate? You can avail of home loans in India, subject to the terms and conditions laid down in the Foreign Exchange Management (Deposit) Regulations, 2000, as amended from time to time. However, banks cannot grant you new loans or renew existing loans in excess of INR 1 crore against NRE and FCNR deposits, either to the depositors or to third parties. Servicing the loan You can service and repay the loan through inward remittances through normal banking channel or through direct debit from your NRE / FCNR / NRO account or out of rental income received from such property. It can also be paid by your close relatives (as defined by the law) through their accounts in India.

RBI GUIDELINES

Reserve Bank of India (RBI) Guidelines on NRI Investment in properties in India PERMISSION FOR PURCHASE OF RESIDENTIAL PROPERTY / COMMERCIAL PROPERTY. NRIs holding Indian passports—No permission required. NRIs holding foreign passports—Intimation to RBI via forms IPI - 7 within 90 days of purchase of property or final payment of consideration. Funds through NRE/NRO accounts. SALE OF PROPERTY Property held by NRIs in India can be sold. No permission is required from the Reserve Bank of India. REPATRIATION OF SALE PROCEEDS Repatriation of proceeds from sale of residential property purchased on or after 26th May 1993 is allowed. The RBI will consider repatriation of the consideration amount remitted in foreign exchange for the acquisition of 2 properties. The sale has to have taken place after 3 years from the date of final purchase deed or from the date of final payment. Application of repatriation (IPI-8) has to be done within 90 days of the sale of the property. INCOME FROM PROPERTY NRIs can let out immovable property in India. The rental income from the investment has to be credited to the NRO account. Subject to changes from time to time E. & O.E

HOME LOANS

NRIs can avail financing assistance in the form of housing loans, for purchasing residential properties in India. The applicant must be an Indian passport holder. Eligibility Criteria: Age: You must be minimum 21 years old. Maximum age limit is 60 years or retirement age (whichever is earlier) at the time of loan maturity. Residential status: If salaried applicant, you should have been abroad for a minimum period of 1 year. If self-employed applicant, you should have been abroad for a minimum period of 3 years. Income For a loan tenure between 11–15 years, minimum qualification to be Diploma / Graduate with minimum 3 years of employment abroad or professional qualification with 1 year of employment abroad. There is a minimum income per annum required depending on the country of residence. The security for the loan would be the equitable mortgage of the property financed. This is created by the deposit of the original title deeds of the property with the HFI. Local guarantors will also be required in the case of a few institutions. Copies of the following documents have to be submitted along with the application for the loan to the institution. Employment contract Latest salary slip Latest work permit Visa stamped on the passport Power of Attorney to a local individual Receipt of payments made for purchase of the property Agreement of Sale Interest rates and EMIs are subject to change without notice. Check with the financial institutions for prevailing interest rates.

PAYMENTS WITHIN INDIA

Please prepare a cheque in favour of "Anathi Builders and Developers Pvt Ltd" Post / courier / hand deliver the cheque to our corporate office: Anathi Builders and Developers Pvt Ltd. # 1143, 2nd floor, India Overseas Bank building, BEML 3ed stage, Rajarajeswari nagar, Bangalore 560 098. INDIA Note: Cheques deposited directly in our bank account cannot be acknowledged and we cannot be held responsible for direct payments into our account.

OVERSEAS PAYMENTS

How to make payments from abroad: Please make the payment in the applicable foreign currency Credit for the amount received will be given at the rate at which the bank credits the amount to our account. Make all payments favouring: Anathi Builders and Developers Pvt Ltd. When you make the payments in the currency applicable, the financial institutions will send us the cheques for direct remittance to our account To facilitate easy tracking and quick acknowledgements, follow the instructions below for payments in US Dollars, Pounds and Euro: PAYMENTS IN US DOLLARS PAYMENTS IN POUNDS PAYMENTS IN EURO

PROPERTY MANAGEMENT SERVICE

To begin with thank you for your continued patronage towards Anathi builders and developers Pvt Ltd. This section helps you take the first step towards renting/leasing out your existing Property. Simply give us a little brief on yourself & your property in the form below & our team will assist in finding you a tenant...

FAQ’S


1) Who is a Non-resident Indian (NRI)?
A Non Resident Indian (NRI) is an individual who is an Indian Citizen but has migrated to another country permanently or temporarily for the purpose of Employment, Education etc. Other terms, commonly used for an NRI are Overseas Indian, Expatriate or Indian Expatriate.

2) Who is a Person of Indian Origin (PIO)?
Any person who was born an Indian Citizen, but over time has chosen the citizenship of another country is considered a Person of Indian Origin (PIO).

3) Are Non Resident Indians (NRIs) & Foreign Citizen of Indian origin (PIOs) allowed to acquire or dispose immovable property in India?
Yes! The Reserve Bank of India has clearly granted permission to all Non Resident Indian's (NRIs) & Foreign Citizens of Indian origin (PIOs) to acquire & dispose immovable property in India, be it Residential or Commercial Property. However the RBI has a restriction on the purchase of Agricultural Land/Plantation Property or Farmhouses in India.

4) What are the requirements for the purchase of Agricultural Land/Plantation property or Farmhouses in India by NRIs and PIOs?
Any NRI or PIO interested in the purchase of Agricultural Land/Plantation Property or Farmhouses in India would have to send a formal request for the same to The Chief General Manager, Reserve Bank of India, Central Office Exchange Control Department, Foreign Investment Division (III), Mumbai 400 001.

5) What method should an NRI or PIO use in order to purchase a property in India?
An NRI or PIO can purchase a property either through an inward remittance in foreign exchange through normal banking channels or through the funds available in the NRE/NRO/FCNR accounts maintained in India by the Investor.

6) Do you require the permission of the RBI to transfer immovable property in India?
No! NRIs and PIOs do not require the permission of the RBI in order to transfer immovable property to any Indian Citizen, NRI or PIO.

7) Can the properties (Residential/Commercial) be given on rent if not required for immediate use?
Yes! There is no clause by the RBI, which restricts an NRI or PIO to rent the properties acquired by them. The amount received from rentals can also be repatriated back to the country they are residing in, without any restriction

8) Can sale proceeds of immovable property be remitted out of India?
Yes! The sale proceeds of immovable property can be remitted out of India to the home country of the NRI or PIO, up to the maximum limit of the consideration amount originally remitted from abroad to purchase the property. However, the property has to be sold after a period of three years, from the date of the final purchase deed or from the date of payment of final installments of consideration amount, whichever is later.

Additionally, the following points also need to be adhered to in this respect:
i. The immovable property was acquired by the seller in accordance with the provisions of the Exchange Control Rules/Regulations/Laws in force at the time of acquisition, or the provisions of the Regulations framed under the Foreign Exchange Management Act, 1999
ii. The amount to be repatriated does not exceed: the amount paid for acquisition of the immovable property in foreign exchange received through normal banking channels or out of funds held in foreign currency non-resident account(s) or the foreign currency equivalent, as on the date of payment, of the amount paid where such payment was made from the funds held in non-resident external account(s) for acquisition of the property; and in case of residential property, the repatriation of sale proceeds is restricted to not more than two such properties.
iii. Finally, application for the purpose of repatriation is required to be made to the Central Office of Reserve Bank within 90 days of the sales of property in Form IPI 8.

9) Can an NRI give a Power of Attorney to a person in India for completion of loan formalities on their behalf?
Yes! NRIs can definitely appoint a Power of Attorney to complete all loan formalities towards the purchase of a property in India, considering the fact that an NRI wouldn't be in India for long periods. The stringent formalities followed by Indian banks, only means that the appointment of a Power of Attorney would be ideal.

10) What are the conditions if the power of attorney is being executed outside India?
It is advised that the Power of Attorney is preferably a Resident of India. Having said that, there would be certain procedures which have to be followed in order to execute the same:
i. The execution of the power of attorney must be done on a stamp paper or plain paper, as the case may be in the country where the power of attorney is being executed.
ii. The signatures of the executants have to be attested by an official of the Indian Embassy, Indian Consulate or Trade Commissioner, in the country where the executants reside.
iii. The signature of the attorney should be verified in India by a Notary, his employer or his banker on a separate piece of paper which should be submitted to SHFL together with the Power of Attorney.

11) Is there a limit to the number of investments an NRI can make in acquiring Residential/Commercial Properties in India?
The Reserve Bank of India has not fixed any restrictions on the purchase of Residential/Commercial properties for both Non Resident Indians (NRIs), as well as Foreign Citizens of Indian Origin (PIOs). However, the RBI has a restriction in the purchase of Agricultural Land/Plantation Property or Farmhouses in India.

12) What are the facilities provided by Anathi Builders and Developers Pvt Ltd. for an NRI Investor?
We at Anathi Builders and Developers Pvt Ltd. have setup a team of qualified individuals specially trained on Foreign Investment policies, pertaining to Property. This team works round the clock, 24*7, so irrespective of your geo location you are just a call away. We have also set up a 24 hour hotline number, so if you prefer calling in rather than writing to us, our friendly representative would be more than happy to help you out with your query. This team is also updated on each property development at Prestige, so they would be able to assist NRI customers on project statuses, payment schedules, loan assistance, and so on.

13) Does company arrange for site visits, if the NRI customer wants to take a look at their property, upon their visit to India?
Yes! The company could arrange site visits for the customer upon their arrival in India. However, company has developed an eVisit platform that allows customers to drive to their Anathi Property, right from their browser. Upon clicking the eVisit link, the customer is virtually driven to the Anathi Property, so sitting in any part of the world, a customer still gets to see and experience all the development around their Anathi Property, helping in taking an informed decision. The eVisit link can be found on every project page or can be accessed from the footer menu of the site. In addition, the company regularly updates the Development Photographs section within each property, allowing customers sitting in any part of the world, to track the development progress of their Anathi’s respective property.

14) Does Anathi Builders and Developers Pvt Ltd. help in the renting or leasing of properties for NRIs?
Yes! The company we believe in associating with our customer for the long term, we have a dedicated team of professionals who help assist all our Property Owners in renting or leasing their property. Fill out the Rent your Property form found to your left in the menu (within this NRI Section) and get started with the process immediately!

15) Is it possible for NRIs/PIOs to acquire or dispose off Residential/Commercial Property by way of gift?
Yes! The Reserve Bank of India has not applied any restrictions on NRIs or PIOs to acquire or dispose residential/commercial property, by way of gifts to other Indian citizens, NRIs or PIOs, unless the immovable property is an Agricultural Land/ Plantation Property or Farmhouse.

16) Can NRIs purchase a house or flat for residential purpose through the help of Financial Institutes in India?
Yes! The RBI has granted permission to financial houses to provide loans to NRIs for the acquisition of house/flats for self occupation, subject to banking terms and conditions. Although, the repayment of the loan needs to be completed within a 15 year period, through inward remittances or out of the funds held by the investors in their respective NRE/NRO or FCNR Accounts.

17) Can an NRI purchase a Prestige Property by means of borrowing money from a close relative outside India?
Yes! An NRI can purchase a Prestige Property by means of borrowing money from a close relative outside India. However, the sum borrowed should not be in excess of US$250,000 or its equivalent, subject to the conditios that:

i.The minimum maturity period of the loan is one year;
ii. The loan is free of interest; and
iii. The amount of loan is received by inward remittance in free foreign exchange through normal banking channels or by debit to the NRE/FCNR account of the NRI.

According to the RBI guidelines a Close relative' means relative, as defined in Section 6 of the Companies Act, 1956 which is as under:
A person shall be deemed to be a relative of another if, and only if:
I. They are members of a Hindu undivided family; or
ii.They are husband and wife; or
iii. The one is related to the other in the manner indicated in Schedule IA.

18) How much loan can an NRI or PIO get?
An NRI or PIO can get a Home Loan of up to 85% of the Total Consideration Value of the property.

19) Are there any Tax implications for NRIs on the purchase, sale and renting of Anathi Builders and Developers Pvt Ltd Properties?
There aren’t any tax implications for NRIs for the purchase of properties in India, however any income earned from rental of a residential property would be taxable under House Property, in the Income Tax Act of 1961. Income earned out of rental of a commercial property would be taxable under Business Income in the Income Tax Act of 1961 & Income earned from the sale of a property is taxable under Capital Gains of the Income Tax Act of 1961.