Non Resident Indians(NRI) can take loans for building a house or for buying a plot or house in the country. The NRI Home Loan is available to Non-Resident Indians and for the purposes of home loans, all Housing Finance Comapnies, go by the definition of NRI as given by RBI. The definition states that, an Indian citizen who holds a valid Indian passport and who stays abroad for employment or carrying on business or vocation outside India or stays abroad under circumstances indicating an intention for an uncertain duration of stay abroad. NRIs cannot claim Tax Benefits on home loans in India as they have to pay tax in the nation where they work and earn. Moreover, you need to file tax returns to become eligible for home loans. If they pay tax in India for income earned in India, they can claim tax rebate for the home loan and enjoy the Tax Benefits.
Interest rates for NRI home loans do not vary much from that of the Indians living in this country. But the loans is sanctioned only for a shorter period. NRIs get 85% of cost of home as loan amount. The size of the loan depends upon the borrower's repayment capacity.
The home loan applicant may be issued up to 36 times of the gross monthly earnings as home loan.
The re-payment can be made as Equated Monthly Installments (EMI) through Non - Resident Ordinary account or the Non Resident External Account. For security, most banks insist that the first mortgage of the property should be in their name. If the property is under construction then adequate additional security is required such as guarantee of third party, either resident or non-resident.
For more information about, Home Loan for Non-Resident Indians, log onto our website, homeloanshub.com.
|
|
