Q) Can foreign citizens of Indian origin acquire commercial properties in India?
A) Yes. Under the general permission granted by Reserve Bank properties other than agricultural land/farm house/plantation property can be acquired by foreign citizens of Indian origin provided the purchase consideration is met either out of inward remittances in foreign exchange through normal banking channels or out of funds from the purchasers' NRE/FCNR accounts maintained with banks in India and a declaration is submitted to the Central Office of Reserve Bank in form IPI 7 within a period of 90 days from the date of purchase of the property/final payment of purchase consideration.
Q) Can they dispose of such properties?
A) Yes.
Q) Can sale proceeds of such property be remitted out of India?
A) Yes. Repatriation of original investment in respect of properties purchased by foreign citizens of Indian origin on or after 26th May 1993 will be allowed to be remitted up to the consideration amount originally remitted from abroad provided the property is sold after a period of three years from the date of the final purchase deed or from the date of payment of final installment of consideration amount, whichever is later. Applications for the purpose are required to be made to the Central Office of Reserve Bank within 90 days of the sale of property in form IPI 8.
Q) Can the properties (residential/commercial) be given on rent if not required for immediate use?
A) Yes. Reserve Bank has granted general permission for letting out of any immovable property in India. The rental income or proceeds of any investment
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