A Document Checklist for NRIs buying a property in Chennai
The time is ideal for NRIs planning to purchase a property in India. While India’s real estate industry has considered a price correction in the recent past, buying a property in India has become extra rewarding given the favorable forex rates.
Further, as an NRI you will not need any kind of permission to purchase immovable property. While you can purchase residential or industrial property, you can’t invest in agricultural plots, farmhouses or plantations.
Here are a set of documents an NRI requires for property purchase:
1. Indian Passport and/or PIO/OCI Card
NRIs will require an Indian passport to make investments in real estate in India. If you hold a foreign passport, you will need a Person of Indian Origin (PIO) or an Overseas Citizen of India (OCI) card.
One would require a PIO card if he/she is an overseas citizen whose father or grandfather was once a citizen of India. In simple, if he/she holds the passport of an overseas country, he/she requires a PIO card.
2. PAN Card
NRIs need a PAN card as they will be required to file income tax returns if they rent out the property. Besides, if the property is sold off later, the capital gains ensuing from the income should come under the purview of capital gains tax.
3. Registered Power of Attorney
If you are an NRI and don’t visit India frequently, it is ideal to get a Special Power of Attorney done. A Power of Attorney (POA) authorizes another person residing in India to complete the property transaction on your behalf. Start by identifying a person who will sign on your behalf for the execution of the sale, registration, possession, etc. Ideally a close family member or relative. Then sign the POA in the presence of a consulate officer or notary in your country of residence & get it attested by them.
4. Proof of Address
If you are an NRI, you will need to get the address proof of your current residence attested, using the Indian Embassy in your country of residence.
5. Property registration formalities for NRI
As per current property registration rules, the title deed must have the photograph, thumb impression, and buyer’s signature. In the absence of the home buyer at the time of registration, the Registered Power of Attorney can sign the file on your behalf. The registration of the POA needs to be done before the registration date.
What are the documents mandated for registering a property for an NRI?
Documents required at the time of registration:
- Indian Passport or OCI/PIO Card
- PAN Card
- Passport Size Photograph
- Address Proof
- Power of Attorney (if needed)
Apart from this, you can check with the builder during the registration for the details of the process & documentation.
To make sure your property purchase is hassle-free, you can choose a project & builder with real-estate experts with experience in handling NRIs. SPR City, Chennai’s Largest Integrated Township & home to Chennai’s tallest residential towers & India’s largest upcoming wholesale and retail market, offer exactly that. The project is also completely approved and comes with financing options.
Choose from residential apartments at SPR City, bungalows & duplex homes at The Madras Bungalows or shops & office spaces at The Market of India. Your buying procedure & processes will be smooth and hassle-free.
For more details, visit www.sprindia.com