NRI investments in housing set to almost double to $11.5 billion this year from 2013 level: Report

“It is believed that the new change in government has infused new sense of confidence about the prospects of Indian economy,” said Kanika Gupta Shori, COO and co-founder, Square Yards.


Also check out NRI Q&A: Is investing in land in India by NRIs a good and logical decision?


The Narendra Modi-led government has given a significant boost to the confidence of the non-resident Indians (NRIs), with their investment into the primary residential real estate market expected to almost double this year.

About $11.5 billion of investment by NRIs is expected to come in the new home or primary residential market across top 8 major cities in 2017, against $6 billion in 2013, according to a report by real estate transaction platform Square Yards.

“It is believed that the new change in government has infused new sense of confidence about the prospects of Indian economy,” said Kanika Gupta Shori, COO and co-founder, Square Yards.

Over 20% of NRI investment in Indian real estate comes from the United Arab Emirates (UAE), followed by other major NRI populated countries such as the USA and the Kingdom of Saudi Arabia. Other countries such as Canada, the UK, Singapore & Australia also source of substantial NRI capital inflow in Indian realty.

“A depreciating Rupee against the dollar and other currencies have added further impetus to the rise of momentum of NRI investment into the Indian real estate,” she said.

Read rest of the article on Economic Times Reality

NRI Q&A: Is investing in land in India by NRIs a good and logical decision?

Here is a question from an online forum answered by our editor.

Is investing in land in India by NRIs a good and logical decision?

I see some downfalls in it.But let somebody answer this question.

Let us break the question down into the key components: Is investing in land in India by NRIs a good and logical decision?

Investing in Land –  Like other investments in physical assets, the basic mantra holds – location, location, location.

  • A parcel of land Land in a tier-3 city, say in Sangli in Maharashtra may or may not generate the same return as in Mumbai.
  • Encroachments, squatting and land-grab are all too common. Therefore investing is land is inherently risky.

good and logical decision?

A “good” and “logical” investment takes into account risks (vs rewards). Higher the risk, greater the reward.

  • By this account, investing in Land is generally a good decision; as the old adage goes They don’t make land anymore
  • However, the regulatory system in India continues to be in a flux. And the legal system is bogged down with civil disputes, most of them involving land and property. Herein lies the risk

Bottomline: Investing in Land in India is not for the faint of heart. Invest wisely and with caution. Make sure you are able to safeguard the investment and stomach the risk.


ps: I have a personal story on investing in land and land-grab, that thankfully ended well… but will not bore you with the details.

Indore builders duped us: NRI couple

NDORE: An NRI couple from Scotland, who had purchased an apartment in Mangal Nagar, on Tuesday claimed that they had been duped by builders as they have still not got possession of the flat despite being promised so. The incident came to fore after the duo came to the city and approached in-charge DIG Harinarayan Chari Mishra at the public hearing.

In their complaint, Pushpalata Rohila, who worked as a manager at oil and gas industry and her husband Harsh Nama, an IT worker, said that they had purchased a flat in Classic City in Mangal Nagar from Swastik Infrastructure Company.

“We had been promised possession of the flat by November 15, 2015. The owners of the company – Ankit Shrivastav and Aman Sehgal – had also signed an agreement saying that they will pay Rs 10,000 as rent for the flat if the deadline of possession was breached by the builders,” said Harsh while speaking to TOI. He said that they also completed registry formalities for the flat and when they approached the owners again, they were told that they will be given the under-construction flat latest by December 15. 2016.

“Even after calling them several times, we got no response. We had purchased the flat by taking a loan and we are also paying interest on the loan. We have been deceived by the builders and have faced mental harassment,” he said.

“Everyone in my family including my sister-in-law who lives in scheme number 78 and my sister who also lives in city have faced problems because of these people. Since we were in Scotland, they had to approach the police and also builders for the possession,” said Harsh.

He said that after coming to India, he came to know that both the builders were allegedly absconding and there were other similar cases registered against them

“The police will take action in the matter at the earliest,” said in-charge DIG Harinarayan Chari Mishra
Article source TOI