Before getting involved into the topic, there is a common question which arises to many NRI’s “Whether I could sell a property in India or not?” The answer is Yes, of course an NRI can sell any residential or commercial property in India.
An NRI can sell his/her property to
- Person resident in India
- Person of Origin
In India there are no limitations on the number of properties that an NRI can own. Without RBI permission, an NRI can own any residential or commercial property except agricultural land, plantation land or a farm house. Selling a real estate property is not a big task. But there are certain things to take care while selling a property.
- Means of remitting funds back to country of residence.
Selling Guide for an NRI
- Before selling your property, know the current market value of the property in your locality.
- Thoroughly check for the USP of your property to sell it for an attractive rate.
- Find an expert in realty domain who could research on your property and give him the power of attorney.
- File all the necessary documents for selling your property and ensure all your debts on the property are cleared. Seek a professional who could handle the paper work.
If you own a property allotted by a housing society, then the letter of allotment is important.
- Sale deed from the previous owner.
- Copy of occupation certificate.
- For properties like villas, apartment & row houses NOC from housing society is mandatory.
- Encumbrance certificate of the property.
- Property Advertisement– Apart from word of mouth, you can also opt for a professional property advertisement which increases the viewership.
- A chartered accountant can assist in tax related issues and file income tax returns. NRI who owns a property for more than three years can attract capital gains tax. In this case a chartered accountant or a professional tax consultant could help you.
- Once when you found a promising buyer who accepts with the quoted price, you could close the deal. If you could not come to India, you can give power of attorney to a resident in India who could finish the deal on your behalf and transfer the fund to your NRO account.