One of the best investment opportunities for non-resident
Indians (NRIs) is property. And now is perhaps the best time to invest with the
Indian real estate market booming. Both the banks and the government are
offering a helping hand to NRIs by offering a NRI home loan at the same rates
as they apply to resident Indians. But getting home loans for an NRI in India
isn’t the easiest thing in the world. A
lot of documentation is required and the government has very strict regulations
for when it comes to NRI home loans. However, in recent times the Reserve Bank
of India has relaxed some of its policies, thereby making it easier for NRIs to
fulfil their dream of buying a home of their own in their country.
If you’ve been wanting to invest in property in your home
country, there cannot be a better time to do it. First off, most banks have the
same rate of interest on their home loans for NRIs as they do for
resident Indians. In a few cases the interest rates may be a little higher,
given that these loans have higher risk factors as compared to those given to
residents.
The prerequisites for a person applying for an NRI home loan
is that she/he should have worked in a foreign country for over a year. In the
case of self-employed people or for those who run their own businesses this
requirement is extended to three years. The rules for self-employed NRIs are
slightly stricter than those for salaried NRIs. It is easier for a salaried
person to get an NRI home loan, than it would be for a taxi driver or small
business owner.
The main documents that you need to have if you want to
apply for an NRI home loan are your passport, proof of residence, education
qualifications, your PIO card, work permit, your latest salary slips,
appointment letter of your current employer and bank statements of at least six
months. These are the basic requirements, banks may ask for added documentation
as proof but they are subjective to the banks.
The minimum income for the applicant to be eligible for an NRI home loan is different for
different banks but the on an average, one must have an income of 30,000 USD or
35,000 DHM (for people residing in the UAE).
If you’re an NRI, this is perhaps the best time for you to
invest in your country. So what are you waiting for?
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