NRI Section

Definition:

NRI – Non-Resident Indian is a Citizen of India resident outside India. RBI defines NRI as “An Indian citizen who holds a valid Indian passport and who stays abroad for employment or for carrying on business or vocation outside India or stays abroad under circumstances indicating an intention for an uncertain duration of stay abroad is a NRI.”

 

PIO / OCI – Person of Indian origin / Overseas Citizen of India is an individual (not being a citizen of Pakistan or Bangladesh or Sir Lanka or Afghanistan or China or Iran or Nepal or Bhutan) who –

  • at any time, held an Indian Passport or
  • who or either of whose father or mother or whose grandfather or grandmother was a citizen of India by virtue of the Constitution of India or the Citizenship Act, 1955

 

 

Loan Purposes:

Home Loans or Loan Against Property are provided to NRIs for:

  • Purchase of a new / old house / flat
  • Purchase of a residential plot of land and / or Construction of a house thereon
  • Construction of a house on plot of land already owned
  • Extend /Renovate/Repair of a house or flat already owned by self
  • Term Loan against Property
  • Take-over of existing Housing Loan / Loan Against Property

 

 

Features / Loan Eligibility norms:

 

Profile Category –

  • Salaried Individuals: Any individual who is in service can be financed. Minimum work experience of 6 months, overseas is required
  • Self Employed Professionals (SEP): Doctors, Engineers, Scientists & Chartered Accountants are classified as Professionals only. Minimum professional work experience of 2 years, overseas is required.
  • Self-employed Non-professionals (Businessman): Only NRI Businessmen based in UAE, USA or UK are covered under this scheme. Minimum business continuity of 3 years, overseas is required.

 

Maximum loan

  • 85% of the cost of the property for Home Loans upto 20 lacs
  • 80% of the cost of the property for Home Loans above 20 lacs

 

Maximum Term – Upto 15 years  (In case of plot loans – 10 Years)

 

Minimum Income – For Salaried & SEP individual based in UAE it is AED 5,000 per month. For USA and other countries it is USD 3,000/- per month or equivalent

 

Age – The applicant in all the cases should be above 24 years of age at the time of loan commencement and up to the age of 60 Years (65 years in case of Self-employed), whichever is earlier at the time of loan maturity.

 

Credit History – Lenders also check your credit history from CIBIL (Credit Information Bureau India Ltd.) and from an authorized Credit Information Bureau in your country.

 

Applicant and Co- Applicant to the loan – Home Loans can be applied for either individually or jointly. Proposed owners of the property will have to be co-applicants. However, the co-applicants need not be co-owners

 

 

Interest Rates and other Charges:

NRIs are charged at same rates of Interest as Resident Individuals. Click here for Home Loan Rates

 

 

Documentation:

Generally the documents required to processing your loan application are almost similar across all the banks; however they may differ with various banks depending upon specific requirement etc.

Click for NRI Loan Documentation details.