How To Get Home Loan in India For NRI | Home loan For NRI In India
India is still a developing country. thus, in search of a job, better employment opportunities, to expand business as well as for studies people are continue migrating from their native place. Thus, we can see our large number of the population moving towards abroad. However, if they are willing to take loan then they are require to go through with the following process. There is some rules and regulations for the NRIs to take a home loan in India. Therefore, you must know about How To Get Home Loan in India For NRI. In order to take the land in the country.
NRI Indians are those Indians who are domicile citizens of the India with an Indian passport. However, there is an another category of the Indians whose ancestry makes them a PIO (Person of Indian Origin), who are not citizens of India. Banks and Financial institutions provide exclusive banking and loan products based on specific requirement of NRIs. Also there are various leading banks which provide home loan schemes to the NRIs. Such as ICICI, HDFC, SBI, Axis or Kotak.
How To Get Home Loan in India For NRI:
Tenure of loans:
If you are a normal resident of the India then in this case you can easily apply for the loan for maximum tenure of 30 years with some banks. But in any case if you are NRI then the tenure for the home loan is restricted for you. However, it is only available with the range of the 5-15 years. Extension beyond the term of 15 years is solely at the discretion of the bank and in exceptional cases only.
Rate of Interest:
The rate of interest for the eligible NRI candidate is high as loan cover risk is involved too much. There is generally a margin of 0.25% -0.50% charged.
However, the documents required by the NRI home loans is different from resident home loans. The respective documents they are needed to bring with themselves in order to complete the loan process. the documents are copies of the passport, valid visa and work permit, contract of employment, work experience certificate, salary certificate and statements of NRE\NRO account. However, for all the candidates if they are residing in the Middle East, copy of employment card is also required.
Submission of documents:
Once you have completed the documentation process now you have to submit your documents in the India in order to get the home loan. As there are various branches located such as in the places like Dubai, Singapore, London etc. where you can apply for home loans. Few banks like ICICI, HDFC and Axis also extend the facility of online submission and status updating.
Repayment of loan:
However, the repayment of these loans can only be through the Non-resident External (NRE) or Non-resident Ordinary (NRO) accounts with remittance from abroad. Thus, no other funds can be used in this in order to repay the loan. Hence, the loan must be repaid in the terms of the Indian Rupees only (other currency is not accepted).
Change in status from NRI to Resident:
However, whenever there is a change in the status from NRI. In order to resident the loan is reworked. Moreover, according to the revised income and interest applicable is charged and the tenure is also revised.
Hence, these are the few procedure and methods through which NRI have to go through. In order to get the home loan in India. But the repayment of these loans must be done in Indian Rupees only.