NRI Buyer's Guide: How to Invest in Nerul Real Estate from Abroad
Can NRIs Buy Property in Nerul?
Yes — under FEMA, NRIs and OCIs can freely purchase residential and commercial property in India. Only agricultural land, plantation property, and farmhouses are restricted.
Funding: NRE, NRO or FCNR?
Payments for property purchase must be made through banking channels — NRE or NRO account inward remittance, or via a home loan from an Indian bank. Cash and traveller's cheques are not permitted.
Documentation Checklist for NRIs
Passport (all pages), OCI card if applicable, PAN card (mandatory), overseas address proof, NRE/NRO bank statement (last 6 months), and a valid Indian mobile number for OTP verification.
The Power of Attorney (POA) Strategy
Since physical presence for registration is often impossible for NRIs, execute a Special Power of Attorney in favour of a trusted relative in India, notarised at the Indian consulate abroad, apostilled, and adjudicated at the sub-registrar office in Maharashtra.
Home Loans for NRIs
SBI, HDFC, ICICI, Axis and Kotak all offer NRI home loans up to 80% LTV. Interest rates are 20-40 basis points higher than resident rates. Tenure caps at 20 years or age 60, whichever is earlier.
Tax on Rental Income
Rental income from a Nerul property is taxable in India, with 30% TDS deducted at source. NRIs can claim credit in their home country under the applicable DTAA (Double Taxation Avoidance Agreement).
Repatriation of Sale Proceeds
Sale proceeds can be repatriated up to USD 1 million per financial year through the NRO account, after submitting Form 15CA/15CB to the bank and obtaining Chartered Accountant certification.
Best Nerul Sectors for NRI Investment
Sector 27 (Seawoods border), Sector 8 (luxury towers), Sector 21 (park-facing), and Sector 23 (NMIA infrastructure play) are the four sectors NRIs consistently prefer for the mix of appreciation, rental yield, and resale liquidity.
Frequently Asked Questions
Do I need to visit India to buy?
Not necessarily. With a valid Power of Attorney and video-attended registration (now permitted for select sub-registrars), the entire transaction can be executed remotely.
Is rental yield realistic for NRIs?
Yes — expect 3.2-3.8% gross yield, net of maintenance and property tax about 2.6-3.2%. Combined with 6-8% annual appreciation, total returns average 9-11% in INR terms.