Are Non-Resident Indian’s (NRI’s) allowed to purchase a Residential Property in Goa?
Non-Resident Indian’s and People of Indian Origin with Foreign Passport Holder can purchase of residential property in Goa/India. They are treated wholly as Indian Citizens and therefore don’t require permission to purchase from the Reserve Bank of India.
How do you define a foreign passport holder but of an Indian origin?
A foreign passport holder is deemed to be of Indian Origin if: 1) he held an Indian Passport at any time or ii) he or is father or paternal grandfather was a citizen of India by virtue of the Constitution of India or the Citizenship Act, 1955. However this does not apply to citizens of Pakistan , Bangladesh , Afghanistan , Bhutan , Sri Lanka or Nepal.
How should the purchase of residential immovable property be paid for by NRI’s under the general permission?
The purchase consideration should be met either out of inward remittance in foreign exchange through normal banking channels, or out of funds from NRE/FCNR accounts maintained with banks in India.
Do you have to inform Reserve Bank of India when selling property?
Yes. Reserve Bank has granted general permission for sale of such property. However, where the property is purchased by another NRI, funds towards the purchase consideration should either be remitted to India or paid out of balances in NRE/FCNR accounts.
What formalities have to be completed by NRI’s to purchase residential immovable property in India under the general permission?
They are required to file a declaration in form IPI 7 with the Central Office of Reserve Bank at Mumbai within a period of 90 days from the date of purchase of immovable property (Sale Deed) or final payment of purchase consideration along with a certified copy of the documentary evidence for the transaction and bank certificate for the money paid.
How do we ascertain the credibility of the Builder and the Project?
Since there are already existing projects, it will be easy to understand the working of the concerned builder especially if earlier Projects have been completed in time & possession of the Apartments/Villas. Detailed information can be gathered through the company website as well.
Through whom can we purchase an Apartment or Villa in the Project?
You can purchase an Apartment/Villa directly with us. A Website is hoisted which provides information regarding the various projects, site plans, etc and just an enquiry email will be a starting process from this link.
What would be the total cost of purchasing the Apartment/Villa?
The price will differ depending on the size, location and view of the Apartment, so only on enquiry one will know the exact price at the stipulated time, besides the cost of the apartment, there will be other incidental costs such as Maintenance charges, Registration charges, Local Taxes as applicable, etc. Details will be provided on request.
What are the legal steps before pursuing the Purchase?
Besides being impressed with the work of the Builder, the Purchaser must check all the title documents of the said property that the Builder is the sole owner of the same. Ensure that the Construction plans have been approved by the concerned authorities and that the all necessary Government Approvals have been obtained to build and sell the same.
What other drawings or plans of the Apartment am I required to see?
You can peruse drawings of the Electrical, Plumbing, Drainage and Water Supply from the Builder.
What other expenses will I incur?
The Purchaser has to bear the expenses pertaining to Registration and Stamp Duty as applicable. There may be additional Government Taxes as applicable, such as Service Tax, any deposit in the name of the Purchaser or any other.
How will the Apartment be handed over to us?
The Apartment will be handed over unfurnished. For Apartment Specifications kindly refer to website. If any further furnishings are required kindly speak to Sales Team for details and costs.
Is the price of the Apartment likely to increase?
The price as quoted may increase periodically depending on the market at the discretion of the Builder. Thus, the earlier you book the Apartment the better rate you will receive.
What happens if I decide to withdraw from the Agreement to purchase the Apartment or unable to pay the installments in time to the Builder and the Agreement stands cancelled?
The Builder on terminating or cancellation of agreement will retain some amount received till date which includes registration charges, legal fees of lawyer, etc. and repay the remaining only after finding a buyer for the same apartment. The agreement would have all the details.
On or after booking/purchasing an Apartment/Villa, whether there will be any price variation on escalation?
No, the price quoted for an apartment/villa, at the time of booking/purchasing will not change on escalation.
Can I rent my Apartment if I am not using it regularly?
Yes, you can rent the apartment.
Can NRI’s obtain loans for acquisition of a house/flat for residential purpose from financial institutions providing housing finance?
The Reserve Bank has granted general permission to certain financial institutions providing housing finance e.g. HDFC, ICICI, SBI and various other Banks and authorized dealers to grant housing loans to non-resident Indian Nationals for acquisition of a house/flat for self-occupation subject to certain conditions. Details will be provided upon request.
If I require more specific details regarding Reserve Bank of India?
Please visit www.rbi.org.in for the website of Reserve Bank of India , click on Foreign Exchange under ” Jan. 01, 2006 , Acquisition and Transfer of Immovable Property in India by a person resident outside India “. This section is under the FAQ. This site gives a detailed account for all types of Foreign Nationals purchasing Residential Properties in India.