As an NRI real estate investor, if you are looking to invest in residential plots in Coimbatore, it is a good way to diversify your investment portfolio. India’s real estate industry especially in metro cities has drawn NRI real estate investors over the years because of its strong infrastructure, economic growth, retirement income avenues, and good investment rewards.
Investing in real estate can become difficult due to market and economic developments and you need to exercise diligence before investing in real estate. Coimbatore is the ideal location for NRIs looking to purchase real estate in India. We have included some insightful information and helpful hints in our comprehensive guide to help NRIs make wise choices when purchasing real estate in 2025 in metro cities of south India.
NRI investors for real estate have the opportunity to purchase various types of properties in India, subject to certain guidelines and conditions:
NRIs are allowed to purchase residential properties such as houses, apartments, villas, bungalows, and farmhouses, whether for personal use or for investment purposes. There is no limit on the number of residential properties NRIs can acquire in India.
NRI real estate investments can also extend to commercial properties i.e. office spaces, retail outlets, warehouses, and industrial units. These properties can be rented out for income generation or used for business operations.
NRI investors are not permitted to buy agricultural land in India, except under certain circumstances. They can inherit agricultural land, and in certain cases, the Reserve Bank of India (RBI) may grant permission for the purchase of agricultural land.
NRI investors for real estate can purchase plantation properties, such as tea or coffee estates, only by obtaining prior approval from the Reserve Bank of India (RBI).
Following are the documents that the NRIs need to furnish:
Do NRIs need to pay tax for a property sale in India?
The standard TDS on property sales for NRIs is 20%. If the property is sold before completing two years from the date of purchase, a higher TDS rate will apply.
Are NRI investors eligible for housing loans in India?
Yes, NRIs are eligible for housing loans in India. Eligibility criteria may vary between lenders. A steady income, a good credit history, and necessary documents like passports, ID proof, foreign address proof, and income proof are good to go to apply for loans.
What are the legitimate requirements for NRI investors buying property in India?
NRIs must adhere to the rules set by the Reserve Bank of India (RBI) and the Foreign Exchange Management Act (FEMA). They should have a PAN card and an NRI status certificate, and the property purchase complies with Indian land laws.
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