What Every NRI Must Know Before Buying Property in India | Explained by Legal Expert - KHA Advocates

India has always been an attractive destination for Non-Resident Indians (NRIs) looking to invest in property—whether it’s a flat in the heart of Mumbai, a villa in Goa, or a retirement home in their hometown. With a booming real estate market and emotional ties to the homeland, it’s no surprise that thousands of NRIs buy properties in India every year.

But here’s the catch: buying property in India as an NRI involves legal complexities that must be carefully handled to avoid risks like title disputes, fraud, or procedural delays. The good news? With the right legal team and planning, you can invest in Indian real estate without even flying down.

This guide walks you through everything NRIs must know before buying property in India—especially about Power of Attorney, Sale Deed registration remotely, and how to ensure a safe and legally compliant transaction.

Who Can Buy Property in India as an NRI?

As per FEMA (Foreign Exchange Management Act) regulations, NRIs and PIOs (Persons of Indian Origin) can buy:

• Residential properties (flats, houses, plots)

• Commercial properties

However, agricultural land, plantation property, or farmhouses cannot be purchased by NRIs without special permission from the RBI.

Must-Have Documents Before You Proceed

To start the process, make sure you have the following ready:

• Indian Passport or OCI Card

• PAN Card (mandatory for property transactions)

• Address Proof (local and overseas)

• Recent photographs

• NRE/NRO Bank Account for financial transactions

• Power of Attorney (if you cannot travel to India)

Power of Attorney (PoA): Your Legal Key When You’re Abroad

If you are not physically present in India to oversee the purchase, the Power of Attorney (PoA) is your best legal solution. It allows a trusted person—usually a relative, friend, or lawyer—to act on your behalf.

Types of PoA You Can Use:

• General Power of Attorney: Broad powers for managing or selling property.

• Special Power of Attorney: Limited to specific acts like signing a sale deed, submitting documents, etc.

How to Execute a PoA from Abroad:

1. Draft the PoA: Work with an Indian legal expert to draft a PoA customized to your transaction.

2. Notarize and Apostille it in your country of residence (as per Hague Convention rules).

3. Send it to India via post or courier.

4. Adjudicate the PoA at the local Sub-Registrar Office in India within 90 days of receipt.

Legal Tip: Always specify exact powers and property details to prevent misuse.

Can NRIs Register Property in India Without Visiting?

Yes. NRIs can register the Sale Deed remotely through their attorney holder, provided the PoA includes registration rights.

Here’s how it works:

1. Execute a registered Sale Agreement.

2. PoA-holder attends the Sub-Registrar Office for Sale Deed registration.

3. All payments (including stamp duty and registration charges) are made from the NRI’s NRE/NRO account.

This process ensures complete compliance while saving you travel expenses and time.

Legal Checks Before You Buy

Title Verification

Ensure the property title is clear, marketable, and free from encumbrances. Your legal team should:

• Verify ownership documents

• Check the mutation records

• Review past Sale Deeds

• Conduct searches in the Registrar’s Office

Builder or Seller Due Diligence

If you’re buying from a developer, check:

• RERA registration

• Land ownership documents

• Approvals from local authorities

For resale properties:

• Identity and ownership of the seller

• Encumbrance Certificate for last 30 years

• Dues (property tax, society dues, utility bills)

Stamp Duty & Tax Compliance

NRIs must pay applicable stamp duty and registration charges, and ensure:

• TDS (Tax Deducted at Source) is deducted as per Indian Income Tax Act

• PAN is linked and updated

• Capital Gains implications are understood

We assist NRIs in full tax compliance and documentation from start to finish.

Online Property Services Now Available for NRIs

Indian states like Maharashtra, West Bengal, Karnataka, and Delhi have digitized large parts of the property registration and land records system.

Services you can access online:

• Property title search

• Sale Agreement drafting

• PoA processing

• Online submission of documents

• Mutation application

With the right law firm, everything from property search to final registration can be done virtually.

Real Case Example: How KHA ADVOCATES Helped an NRI Buy a Flat in Kolkata Without Visiting India

few of our NRI client from the UK, US, Australia wanted to purchase a resale flats in New Town, Rajarhat, Salt Lake, Kolkata. they executed a Special Power of Attorney, got it apostilled, and sent it to us. We verified the title, negotiated with the seller, executed the Sale Agreement, paid stamp duty, and registered the deed—all within 45 days.

He didn’t have to step foot in India—and yet, the entire transaction was legally compliant and fully secure.

Want to Buy Property in India Without Hassles?

At KHA ADVOCATES, we specialize in end-to-end property legal services for NRIs, including:

• Power of Attorney drafting and adjudication

• Property title search & verification

• Sale Deed preparation & registration

• Mutation and name transfer

• Property tax and legal due diligence

Whether you’re buying a new home, resale property, or investing in a commercial space, our NRI Property Legal Team ensures a smooth and legally secure transaction—without you having to travel to India.

📞 Let’s Talk

If you’re an NRI planning to buy property in India, don’t take chances. Talk to our legal experts, Book Consultation today.

✅ Call Now: +91-94777-58885

🌐 Visit: www.khaadvocates.com

📧 Email: contact@khaadvocates.in

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This article is published by KHA ADVOCATES—India’s leading NRI Property Legal Advisors.