Can the NRI avail Housing Loans against Security of Immovable Property?
Yes Authorised dealers and hosing financial institutions in India approved by the National Hosing Banks may grant housing loans to NRIs/PIOs for acquisition of immovable property in India subject to the following condition: The quantum of loan, margin money and the repayment period will be at par with those applicable to housing loans being granted to residents. • The loans shall be fully secured by creating equitable mortgage of the property proposed to be acquired, and if necessary, be lien on borrowers other assets in India. • The loan amount shall not be credited to NRE/FCNR/NRNR account of the non-resident borrower. • Repayment of loan may be made by the borrower in installments comprising principal, interest and other charges by remittances form abroad through normal banking channels or out of funds held in his NRE/FCNR/NRO/ NRNR accounts in India .
