Property stuff

swordfish_x

Good idea. I was just about to ask for an expat forum & I was beaten to it!

First question to all those expats:

Property buying - would enjoy hearing experiences, good and bad, about buying property in India. In particular purchasing an exisitng house either by direct sale or through an agent (although those who have built a home may have their share of stories). Most transactions in India can be fraught with 'danger', if not, they require a sense of humour. I wonder if this applies to a major purchase? Also, please feel free to share info regarding legalities of non-Indian nationals buying property. Do conditions vary from state to state?

jyotsna

Hi there,

I think you must be an Indian citizen to buy property, or have an Indian citizen buying with you.

Jyotsna

indiamike

I have to admit that I am also kind of cloudy on the whole buying property thing and I would really have to sit down and read all of the FEMA documents (Foreign Exchange Management Act).

From what I understand is that if a foreigner comes to India and takes on employment, he will become an Indian resident from the first day. Enabling him/her to purchase any immovable property except for agricultural property and farmhouses.

However you would not be able to buy multiple properties unless your profession requires it.

There are some strict laws against reselling it also.

However, if your single you can find someone to marry then your all set.

Mike

pooch

The law has changed since around 2 years now , perhaps even more. A foreigner can buy a property provided it is utilised as his/her domicile which also means you can't buy a property on a tourist visa. Any money brought in to buy that property can be taken back out without any red tape upon sale (resale) of the same property.

As for the dangers of buying a property and falling prey to false/fake documents or the property being sold 10 times over to 10 different people or a 100 "original documents" issued to 100 different individuals etc, the backwaters may pose a bit of a problem. The major cities by now should have no problem whatsoever. I bought and sold a flat in Chennai in the space of 8 months. There is something called EC (encumbrance certificate) that you (buyer) should apply for at the local registrar's office . It's all computerised and you normally get it within a week. The computerisation also eliminates probabilities of fraud.

Watson

Hi there,

while I’m not sure about buying property I do know that renting as a foreigner can be incredibly expensive. I have some good friends living in Delhi who work for the German Goethe Institute. They live in the Defense colony area which is quite posh, however they apparently pay around 10 times what a Indian national would on rent AND they had to pay all the rent in advance for I think a total of 4 years (the time they are staying there) If they move out before that time is up they receive no refund.

kokopelli

best and cheapest way in india:

find an indian friend which you trust for 100%
buy a piece of land under his name and on a part of this land, build a house for his family on it, build your own house on the other piece of the land and live in peace together.

cheers.

charlotte

NO NO NO NO NO
DO NOT buy any property or land with an Indian person no matter how good friends you are with them. This is not a slur against Indian people but a bad idea to trust even your best friend where money is concerned. We know people who have done this and very much regretted it.
One couple spent most of their capital buying a hotel in India with a very trusted Indian friends name on the "deeds" or whatever they are called and when a dispute arose the friend told them to leave "his" hotel and he took over the whole place. This is going through the legal system but is taking years - meanwhile they are almost destitute, living off the good will of other people over there.
I also know of 2 more instances where this has happened and one of the people who has gained a property is the persons lawyer!!
At the same time we also know people who have had no problems buying property in their own name and living in India.

kokopelli - I have a nice piece of land in Spain I could share with you - it is not too expensive!!!!

Tomi

I echo Charlotte's comment, based on what I heard from several people doing the same thing in Thailand. It's safer to marry a local, and in Thailand it is the only way to be "accepted" into the business world. Even then, in-laws will take advantage of you and some divorces have been provoked this way, leaving you destitute.

I heard all this from three couples: a Frenchman, an Irishman, and a German, and their Thai or Sino-Thai wives. All three happily married and owning property in Thailand, but they were full of horror stories of other people --the wives just as adamant on this issue as their European husbands.

Ekta

Buying property on someone's name is stupid anywhere in the world.

A good thing to do would be to call the Knight Frank, CB Richard Ellis, Cushman and Wakefield or Colliers International Offices in Bombay and get a free consultation over the phone.

I do know that there has been some change over the issue and that foreigners may now own property in India.