How to Invest in the Indian real estate market – Commercial & Residential Properties?

Indian real estate is on a boom with more and more companies targeting the NRI’s who plan to stay for a considerable time each year in India following their retirement abroad. New projects are being tailored to make it easy for everyone to invest in real estate in India and the facilities offered are top drawer. The facilities and infrastructure are nothing short of premium real estate in the UK and the US.

Make an Investment in India’s Real Estate: www.NriInvestIndia.com/real-estate.html

FDI needs to develop before selling

Foreign Direct Investment can come into India for buying and selling real estate, but there are some conditions that they have to abide by. FDI is allowed in the real estate sector only for development of real estate from the ground up, which will involve construction and beautifying before they can sell it. This has made it difficult for real estate majors from outside India to come in for trading purposes only. There has to be some real time effort in development of the real estate as well.

FDI’s NRI’s and PIO’s

The facility is on offer for FDI’s, NRI’s – Non resident Indians and also People of India Origin (PIOs) as they are known. FDI’s can invest in the land, construct on the land and develop it before they can sell it. This is a new development for FDI investment in the real estate sector that was not allowed earlier. In the past, for any new proposal, government approval and sanction was required. But with the new laws coming into place for FDI investment in real estate, no prior permission is required from the government.

Eased up policies

Earlier, FDI’s had to take approval from the government and they were restricted to the housing sector projects only. But with the new policies in place, they can invest in building townships, commercial areas and housing complexes from the ground up. There is no basic rule about the plot size, but a minimum requirement is still in place. FDI investment in the real estate sector has to be for a minimum of 50,000 sq meters for construction purposes. If you buy land for development only, it has to be a minimum of 25 acres only.

The paper work and the earlier formalities have been eased up making it easier for investors to plough their money into Indian real estate. Before getting into the Indian real estate sector, check the market, take advice and suggestions from everywhere you can including close consultations with your relatives to get an idea of the prospect of the real estate plot you are interested in investing in.

Take government policy intro account

You should also take into account any government or municipal projects in the pipeline that can have a direct bearing on the cost of the finished construction. There are legal firms whom you need to consult as well as real estate consultants who can give you an upfront idea about the investment possibilities that are emerging at the moment. You can take advantage of the real estate boom only of you can stay invested for the long term.

You should be clear about your objectives and check various agencies depending in whether you are interested in commercial or residential real estate. The FDI investing in Indian real estate has to take into account all the parameters before plunging in. You should have a clear idea about the city, the growth prospects and also the kind of government that is in power to factor in all kinds of eventualities as well. The yields can only be calculated once you have all the information details at hand.

Please feel free to contact us if you want to buy a house in India. We act as a NRI broker who will help you to buy or sell a home in India. Basically getting you the best NRI property deal in India.