An NRI can borrow against the security of immovable property from an authorized Dealer subject to the following conditions:

1. a) the loan should be used for meeting personal requirements or for borrower’s own business purposes; and
2. b) loan should not be used for prohibited activities, namely;
3. i) business of chit fund, or
4. ii) Nidhi Company, or

iii) Agricultural or plantation activities or in real estate businesses, or construction of farm houses, or

1. iv) Trading in transferable development rights (TDRs),
2. c) The loan amount cannot be remitted outside India.
3. d) Repayment of loan shall be made out of remittances from abroad or by debit to NRE/FCNR/NRO/NRSR/NRNR account or out of the sale

proceeds of shares or securities or immovable property against which such loan was granted.

No. Under section 2(z)(e) of the Foreign exchange Management Act, 1999 transfer includes among others, purchase. Therefore, a foreign national of non-Indian origin resident outside India cannot acquire any immovable property in India by way of purchase. Neither can a name of a foreign national of non-Indian origin be added as a joint holder to a residential/commercial property purchased by NRI/PIO.

However, a foreign national of non-Indian origin including a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan may acquire only residential accommodation on lease, not exceeding five years for which he/she does not require prior permission of Reserve Bank of India.

Yes, A foreign national of non-Indian origin resident outside India can transfer, by way of sale, agricultural land/ plantation property/farm house acquired in India, but for that, he would need to seek prior approval from Reserve Bank.

Under the general permission available NRI/PIO may purchase residential/ commercial property in India only out of funds remitted to India through normal banking channels or funds held in his NRE/FCNR(B)/NRO account. No consideration shall be paid outside India.

Under the general permission available NRI/PIO may purchase residential/ commercial property in India only out of funds remitted to India through normal banking channels or funds held in his NRE/FCNR(B)/NRO account. No consideration shall be paid outside India.

Yes. Loan repayment in foreign currency is treated as equivalent to the foreign exchange received for the purchase of residential accommodation.

No lock-in period is applicable for the sale of such property.

Repatriation of sale proceeds of properties so acquired can not be done for more than two residential properties.

The sale proceeds of residential/commercial property received by way of gift by NRI/PIO can be credited.

On winding up of the business such property may be disposed of and such sale proceeds may be repatriated with prior approval of the Reserve Bank.

Such an amount may be remitted abroad provided such property was held for a period not less than ten years.

A person resident in India means a person residing in India for more than one hundred eighty-two days during the course of the preceding financial year and who has come to or stays in India either for taking up employment, carrying on business or vocation in India or for any other purpose, that would indicate his intention to stay in India for an uncertain period.

No, he does t require any approval from Reserve Bank however, approvals may be required in terms of regulations prescribed by other authorities and will have to be obtained.