Investment property: India

Updated 6 October 2026

India is a huge and varied property market: Mumbai, Delhi and the National Capital Region, Bengaluru, Hyderabad, Pune, Chennai and resort Goa.

But for a foreigner the key question is not the city but the right to buy: under the foreign exchange law not every foreigner may buy property in India, and status determines what can be bought and how to pay.

Who can buy property in India

Where people buy and why

• Mumbai - the country's most expensive market, flats let to finance company staff.
• Bengaluru, Hyderabad and Pune - IT hubs with steady rental demand from professionals.
• Delhi and Gurugram - the business and government centre, offices and family flats.
• Goa - villas and flats for tourist rentals and seaside living.

The city determines not only prices but also the state stamp duty rate, so we calculate costs for the specific address.

How to pay

A purchase is paid only through banking channels: by wire from abroad or from a non-resident account in India. Cash and traveller's cheques are not allowed. A correctly documented payment also matters for repatriating money after a future sale.

Purchase costs

• Stamp duty - 3% to 8% of the value, set by the state, lower for women buyers in some states.
• Registration fee - usually about 1%.
• GST on under-construction homes - at a reduced rate; ready homes with an occupancy certificate carry no GST.
• If the seller is a non-resident, the buyer must withhold tax on the seller's gain and pay it to the tax department.

How to check a property

• The project's registration with the state real estate regulator (RERA) - mandatory for new builds.
• The seller's title and a 30-year chain of documents, with no encumbrances or disputes.
• The building permit and occupancy certificate.
• Arrears of property tax and housing society charges.

Letting and selling

A non-resident's rent goes into the NRO account, and the tenant withholds tax of about 30% with surcharges. On sale, gains after two years of ownership are taxed at 12.5% without indexation, and shorter holdings at normal slab rates. Sale proceeds from up to two residential properties can be repatriated under the rules.

Property and residence

Buying property gives no right to live in India. Non-resident Indians have the OCI card with the right to live and work without a visa, while foreigners need a visa for work, business or family. Property then covers housing.

Common buyer mistakes

• A foreigner living abroad trying to buy a home - the deal would breach foreign exchange law.
• A non-resident buying agricultural land or a farmhouse.
• A new build not registered with the real estate regulator.
• Paying cash or from a third party's account.

What we do

We check whether your status allows you to buy, select a property, check the project, seller's title and documents, calculate stamp duty and taxes, arrange payment through the bank, handle registration, and then letting, taxes and repatriation on sale.

What we do

• Property shortlist for your investment goal
• Legal due diligence on the property
• End-to-end transaction support
• Ownership structuring (company, trust)
• Property management and letting

See also

Company formation · Business account · Personal account · Country taxes · All country programs

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