Announcement

Announcement Module
Collapse
No announcement yet.

New US Citizen, buying property in India - Urgent

Page Title Module
Move Remove Collapse
X
Conversation Detail Module
Collapse
  • Filter
  • Time
  • Show
Clear All
new posts

  • New US Citizen, buying property in India - Urgent

    Greetings,

    I'm a new naturalized US Citizen (as of Feb 07, to be precised) and I'm buying a property in India for which I need some help. My questions as as below:

    1) I've applied for my US Passport but not yet for my OCI, can I still buy property in India (since I dont have OCI yet)?

    2) I'm giving a GPOA (general power of attorney) to my brother to purchase the property in my name. Do I must go to Indian Consulate to get it notarized or can I get it notarized from any Notary Public in the US? Technically being a US citizen I should be going to a US Notary Public. Has anyone done this before, does the consulate do any sort of "franking" on it which shows they've collected a stamp duty?

    3) The property is in Chennai so can someone confirm if GPOA can be done on a simple paper and get it notarized or do I must get it on a stamp paper (which I believe is obsolete after all the scams) or on a franked paper which shows that a stamp duty has been paid. My bother thinks that it cannot be done on a plain paper but builder's office seems to think that a stamp paper/franking is not required.

    Can someone pls confirm all this, perhaps someone from the state of TN?

    Thanks in advance.

    PS: this is not a agriculture land, doing a booking for a residential flat.

  • #2
    Since you once held Indian citizenship, you are considered a Person of Indian Origin and can therefore buy non-agricultural property in India. OCI/PIO cards are NOT a requirement for a Person of Indian Origin classification.

    Comment


    • #3
      Originally posted by usnj01 View Post
      Greetings,

      I'm a new naturalized US Citizen (as of Feb 07, to be precised) and I'm buying a property in India for which I need some help. My questions as as below:

      1) I've applied for my US Passport but not yet for my OCI, can I still buy property in India (since I dont have OCI yet)?

      2) I'm giving a GPOA (general power of attorney) to my brother to purchase the property in my name.
      -------- it is to book a residential flat on your name. you should find out from your brother or lawyer in your city if the Power of attorney signed on Indian stamp paper is enough? if that works with registrar in your city then let him buy stamp paper on your name , he will get the power of attorney Typed on stamp paper and then he can send it to you for your signature and then Indian notary can stamp that. FYI in many states the general power of attorney must be registered before Registrar in India. in North India many relative cheted NRI or PIO and now the Registrar needs registered POA with the signature of person who gives POA and the person who gets POA and two witness signatures and photographs of all on POA. if it is just booking of Flat then why you cant directly book the flat and send the CHECK from your NRE account??

      Do I must go to Indian Consulate to get it notarized or can I get it notarized from any Notary Public in the US? Technically being a US citizen I should be going to a US Notary Public. Has anyone done this before, does the consulate do any sort of "franking" on it which shows they've collected a stamp duty?
      ----------------- You can get it notarized from Indian consulate and stamp duty will be paid in India on the instrument.
      3) The property is in Chennai so can someone confirm if GPOA can be done on a simple paper and get it notarized or do I must get it on a stamp paper (which I believe is obsolete after all the scams) or on a franked paper which shows that a stamp duty has been paid. My bother thinks that it cannot be done on a plain paper but builder's office seems to think that a stamp paper/franking is not required.
      -----------------Stamp paper is better or ask any lawyer in your city who deals in Property registration. you can find info from a lawyer or Agent who sit or work near Registrar or Sub Registrar office.
      Can someone pls confirm all this, perhaps someone from the state of TN?

      Thanks in advance.

      PS: this is not a agriculture land, doing a booking for a residential flat.
      POA is only needed for registration of the flat on your name. I don't think that for booking of flat you need to give POA. When you book a flat you must pay from NRE account and the agreement has to be signed by builder. agreement with builder should be prepared by your lawyer or read by your lawyer because builders have only clause that are in builder interest.

      NRI/OCI buying Property in India
      Please check the following links for more detailed discussion...
      http://www.r2iclubforums.com/forums/...d-revenue-land
      http://www.immihelp.com/forum/showthread.php?t=25255
      http://www.r2iclubforums.com/forums/...an-Real-Estate
      http://www.r2iclubforums.com/forums/...-land-in-India
      Last edited by ginnu; 26th February 2011, 12:01 AM.
      Remember, I am strictly a layperson without any legal training. Please, if in doubt, be sure to use the services of a professional lawyer whom you trust.

      Comment


      • #4
        [QUOTE=ginnu;2273769]. When you book a flat you must pay from NRE account

        Can you explain why?

        Thanks all for your replies.

        Comment


        • #5
          [QUOTE=usnj01;2273851]
          Originally posted by ginnu View Post
          . When you book a flat you must pay from NRE account

          Can you explain why?
          ---------If you are buying the property through your NRE accounts, then you could repatriate your sale proceeds and rental income to your foreign account after deduction of Income Tax and Capital Gains on the Sale proceeds as applicable.

          question:How should purchase considerations for the residential immovable property be paid by foreign citizens of Indian origin under the general permission?

          Ans: The purchase consideration should be met either out of inward remittances in foreign exchange through normal banking channels or out of funds from NRE/FCNR accounts maintained with banks in India.

          *****FYI once flat or Property is registered on your name then you need to send the Copy of Registration and proof of Payment that was paid from NRE account (keep the copy of Check) to RBI MUMBAI with some form (I think P7). you can read the threads I have posted enough info in past.

          Thanks all for your replies.
          Indian Citizen – Foreign Passport Holder - PIO Card– Property buying eligibility:

          If you are an overseas passport holder like a US Passport or a British Passport Holder, then you need to have a PIO Card/OCI Card, or a Person of Indian Origin Card. Even, if you have your fathers or mothers’ passport or birth certificate or any other proof of their being Indian Citizen, then it is ok. It is essential although, to carry that proof with you.


          If you are an NRI/PIO, you should ideally remit funds from your bank to the Indian bank where your NRE Account is set up to buy a property. If you buy the property through the NRE account, then the source of funds is not required to be disclosed usually to any one as this is your inwards remittance. Please remit at least INR 500,000/- to 10,00,000/- in your bank accounts to India prior to your leaving your country where you are based. This will act as placing the down payment of at least 10% with the builder/property owners, if you are buying a property of around Rs 1 Crore, this amount can be proportionately increased if you are looking at high value properties.

          Power of Attorney (POA)

          If you are settled outside India and come once if a couple of years, then for all practical purposes, you should give a specific power of attorney to some one here in India, so that in your absence, things like registration, possession, execution of agreement for sale, agreement of leave and license etc, can be taken care of with ease.
          Remember, I am strictly a layperson without any legal training. Please, if in doubt, be sure to use the services of a professional lawyer whom you trust.

          Comment


          • #6
            You can buy property in India as you are already a Indian citizen, you need to do some paper work as you specify above it will already given to your brother. And now is best time to buy property in India as real estate market is down and you can buy it on better prices.
            Get | Guidelines by Lawyer.

            Comment


            • #7
              After selling a property in India, can I deposit the money in the NRE account?

              Can I withdraw money from an NRE account in USD in the US?
              If Yes, then is there is any limit? Say uptill 10K USD without notifying RBI/IT in India & IRS in US,
              Upto 20K USD after informing RBI/IT in India & IRS in US?
              Upto 75K USD after paying required taxes in India & the US?

              Can any relative deposit INR in my NRE account which I can withdraw in USD in the US?

              -Still
              2/22/13:N400 sent TX
              2/26/13:N400 deliv.
              3/01/13:Chk cash, case# recd., NOA Sent
              3/02/13:FPN sent
              3/05/13:Chk cash(Self)
              3/07/13:NOA,FPN rcd. (PD:2/26)
              3/08/13:FP Done(Walkin, Orig. FP Apt.:3/19)
              3/13/13:Int. Schd. queue
              4/13/13:YL Rcd. (Spouse DL, Dt:4/09)
              4/26/13:YL Rcd. (DL,traffic tics. docs.)
              5/13/13:Int.Schd.
              5/17/13:Int.Letter Recd.
              6/20/13:Int.(Pass)
              6/24/13:Oath Schd. Q
              6/23/13:Oath Schd.
              7/02/13:Oath Letter recd.(7/12)
              7/12/13:USC
              7/13/13:PP App.
              7/19/13:PP Recd.

              Comment


              • #8
                Originally posted by StillPatient View Post
                After selling a property in India, can I deposit the money in the NRE account?
                ------It will go to NRO account
                Can I withdraw money from an NRE account in USD in the US?
                ------If you bought the property by sending money from US and then paid from NRE account check then money can be deposited in NRE account and NRE account is RUPEE account and not USD account. For USD account you can open FCNR account. In FCNR account you send USD and get USD

                If Yes, then is there is any limit? Say uptill 10K USD without notifying RBI/IT in India & IRS in US,
                Upto 20K USD after informing RBI/IT in India & IRS in US?
                Upto 75K USD after paying required taxes in India & the US?

                ------Pick up the phone and talk to your Bank in India or CPA in US or CA in India

                Can any relative deposit INR in my NRE account which I can withdraw in USD in the US?
                ----------------------- Your relative cannot deposit Indian Rupees in your or any NRE account but they can deposit in NRO account And from NRO account your bank can send converting Rupees to USD by Outward remittance -Still
                ------------------------------
                Remember, I am strictly a layperson without any legal training. Please, if in doubt, be sure to use the services of a professional lawyer whom you trust.

                Comment

                Working...
                X