As any person knows, it is important to build up a portfolio of assets as time passes. Unlike liabilities, assets not only provide you with financial stability but also give you a second stream of income with considerably less work input. This is especially important for NRIs, as it helps them have something to fall back to in the future, while they can also reap the benefits of their investment if they choose to move base to the nation after their stint outside.
The potential streams of investment for an NRI are many, but the topic of discussion here is real estate. A real estate investment is a solid one, as the value cannot depreciate by a large sum in any case. The act of buying some property in the right place can really be beneficial to your portfolio, no matter where you are based out of. India is currently attracting many suitors in the field, making it a hot destination for potential investors.
Low Prices
The real estate market of the country is rather slow, compared to its foreign counterparts. The price rise rate in India has been high in the past, so it has the added benefit of increased liquidity. The number of projects being started in the top eight cities of the nation is also on the rise, with almost a fourth of the sum having been increased in the last year alone. All of these factors combine to the effect that the investor can get quick returns, which are also better than the foreign real estate markets.
Tax Exemption
If an NRI buys some property in India, he can still manage to save tax like his domestic counterparts. There is also the added benefit that Non-Resident Indians can apply for a deduction on home loans, on the principal repayment and interest component aspects of the loan. Another quirk is that if the property is sold within two years of the date of purchase, the profit gained from the process is not considered as income, so is exempted from the income tax bracket.
Rental Income
One of the best things about buying property in the nation for NRIs, they can get rental income from their property without any extra-legal hassles- just like a domestic citizen. The tenant has to deduct thirty percent TDS from the amount, but the rest can be repatriated easily by the investor. If you feel like selling the home, the money from that can also be easily repatriated under the FEMA.
However, it can be difficult for any NRI to rent out their property, as they may even be required to visit their home periodically to check for any problems. With the use of the management services of Nestaway, like the NRI property management Pune service, any NRI can rent out their home with no hassle The owner has complete visibility and house protection, and there is never a broker or family member required for the process. List Rental property for free with Nestaway, and obtain that additional income source you wanted!
