Is it a Good Time for NRIs To Invest in the Indian Real Estate Market?
Since December 2019, countries went on nationwide lockdowns due to COVID-19.
It was such a rickety time when the economy collapsed, and people lost money because nothing was deemed trustworthy. After the lockdowns were lifted in the first quarter of 2021, real estate investments were the only ones to flourish.
The Indian real estate market offers numerous opportunities to NRIs. There has been a resurgence in NRI interest in the Indian property market due to the Indian government’s efforts to introduce more transparency and accountability into the real estate sector.
What makes India the best investment destiny for NRI?
1. Indian Real Estate is Stable:
Stability factor of Indian real estate has made it a favourite investment opportunity for NRIs. Sales were hindered to some extent due to Covid-19 in 2020. However, the real estate sector is again thriving to its greater extent. Builders are launching new projects and buyers are returning to market.
2. Your Retirement Companion:
A personal space can also be a means of spending your retirement years in your real home, the one you call your own. Others might consider it an investment property in a developing nation, like India, that has a boom and surge to increase their assets.
3. India Allows Joint Ownership for NRIs:
Non-resident Indians can buy properties on a shared basis after meeting the requirements and provision in line with government policies. Two NRIs can become joint holders of property. But they aren’t allowed to share the ownership with a resident Indian.
4. Indian Currency:
One major reason has been the rise of the Rupee against the Dollar, which is often paving a certain way for the NRIs who are anticipating owning the properties in India.
Combining all these factors makes India the most logical and lucrative place to invest in real estate. According to reports, NRIs invested more in India’s real estate market in FY21, up from $13.1 billion in FY20. This blog will highlight why you should
consider investing in the sector of the Indian real estate market in case you have still missed it.
Why NRIs Invest in Real Estate Properties?
NRIs tend to invest in real estate as one of the most popular investment areas. Investing in Indian real estate has become very easy since the real-estate market regulations have been revised to make it easier for anyone with an Indian passport to do so.
According to a report, NRI investments in the Indian real estate market at $13.3 billion in FY21, compared to an earlier estimate of $13.1 billion. NRIs are investing in the Indian real estate market because of the depreciating rupee value and the improved regulatory environment.
In metropolitan cities as well as tier-II cities, rental income from residential and commercial properties has grown well. The Indian real estate market looks promising in all these respects.
Under the government of India’s ‘Make in India’ initiative, various industries are being encouraged to become more indigenous. In the whole event that this becomes a reality, it will result in an expansion of the Indian real estate market to new locations.
12 Reasons Why it is Best Time For NRI to Invest
Generally, NRI investment in real estate market is considered beneficial after the RERA and GST periods. Increased NRI investment in the real estate in India can be attributed to a variety of factors, including the following:
1. Buyers Risk is Significantly Reduced:
As a result of RERA, buyer risks have been significantly reduced. Besides enhancing customer sentiments, this has also offered NRIs a secure investment option.
2. Commercial Segments Offer Discounts:
The residential and commercial segments offer exclusive discounts to NRIs. Consequently, India is a more attractive investment destination.
3. Properties Have Become More Appealing:
Due to the emergence of Real Estate Investment Trusts (REITs), investment in office properties has become more appealing for NRIs.
4. Prices of Properties Have Dropped Significantly:
After demonetization, the price of properties in India has dropped significantly. These factors-combined with government policies such as RERA and the GST structure that have made the market more equitable-have made Indian investment prospects excellent.
5. Transparency and Accountability in Real Estate Sector:
In India, in response to government policies and new rules, the real estate sector is now more accountable and transparent, making it more customer-friendly.
6. Reduced Returns on Investment:
Residential prices have fallen as a result of the recent slowdown in the real estate sector, resulting in reduced returns on investment. Investing in Indian real estate is a good idea at this time for NRIs.
7. Investing in Real Estate is Profitable:
In India, today’s market situation makes investment in luxury residential and commercial properties profitable for NRIs, resulting in capital appreciation and high rental yields.
8. More Options are Arising:
NRI investors now have more options to buy in India than they were able to buy a few years ago, thanks to the strengthening dollar.
9. Rising Demand in Commercial Properties:
An additional alluring factor that attracts NRIs to invest in Indian real estate is the rising demand for commercial and institutional properties.
10. Investing in Real Estate is Easier:
Investment properties in India fall into a variety of categories. Investing in real estate has now become easier for NRIs, as well as shopping units in malls, logistic space, and office space, among others.
11. Co-working is Becoming Popular:
Co-working has been gaining popularity in metropolises, making it a viable investment opportunity for NRIs.
12. Economic Prosperity:
Economic prosperity can be assured in India due to the stable political environment and strong government policies and support. NRIs are investing in Indian real estate at an increasing rate; any investment is considered safe in India.
Conclusion
NRI real estate investment in India is driven by emotional connections between NRIs and their mothers. This is certainly an opportune time for NRIs to invest in real estate on the Indian sub-continent, with the RBI facilitating the purchase of immovable properties.
Several factors, such as attractive prices, governmental policies, and future appreciation prospects, make Indian real estate investment appealing to NRIs. Over the last few decades, the services industry has grown significantly in the nation, and there is room for further growth.
With multifaceted approach for finding the best property to purchasing it and moving in, we offer seamless methods to help you make the right investment in this sector. So contact us now for your secure investment in Indian Real Estate.
