NRIs Seeking Home Loans In India – A Checklist

by Anuj Puri

Shajai Jacob, CEO – GCC (Middle East) – ANAROCK Property Consultants

Just like resident Indians, NRIs can invest in any number of properties in India and are also eligible to avail of home loans for as many properties as they like.

Of course, while there is no cap on the number of properties for which an NRI can take home loans for, repayment capacity must always be factored in.

Over-leveraging is never a good idea and regardless of what viewpoint a bank takes, NRIs must do their own repayment capacity calculations.

In India, most banks and non-banking financial institutions offer home loans to NRIs. However, the tenure of the home loan may vary, and the rate of interest is usually higher for NRIs.

Loan Tenure and Rate of Interest

An NRI usually has to pay a higher rate of interest than resident Indians. The tenure for a home loan to an NRI usually ranges between 5 to 20 years – only in select cases can it go up to 30 years for salaried professionals.

Most banks determine the loan amount eligibility of NRI borrowers based on their income and credit history.

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Tier 2 And 3 Cities Are The New Draws For Over 25% Real Estate Investors In India

by Anuj Puri
  • Ahmedabad, Jaipur, Chandigarh, Nashik & Kochi top favourite among Tier 2 & 3 destinations
  • Bangalore 2nd-most preferred investment destination with 21% votes in favour, followed by Pune with 18%
  • For over 30% NRIs, Bangalore is the hot favourite investment hub
  • Low property prices coupled with improved infrastructure facilities in Tier 2 & 3 cities the primary investment magnets

Anuj Puri, Chairman – ANAROCK Property Consultants

The quintessential Indian’s yen for investing in real estate continues. The latest data vouchsafes the visible return of investor sentiment for real estate, and the enthusiasm is not limited to traditional property hotspots of the big cities.

ANAROCK’s recent second edition of its Consumer Sentiment Survey confirms that investors are equally – if not more – upbeat on the prospects that India’s Tier 2 & 3 cities offer.

Lack of affordability in the larger cities is the primary hurdle to the largest investor base, and property investors are now looking at smaller towns and cities.

However, their increasing bullishness on Tier 2 &

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India Real Estate Welcomes Modi 2.0

by Anuj Puri

Can the real estate industry’s strongest champion to date finish what he started?

Anuj Puri, Chairman – ANAROCK Property Consultants

Billions of Indians have given their verdict and the real estate sector has every reason to cheer. After all, the sector got the maximum policy-related attention during this government’s first tenure.

In retrospect, Modi’s victory in 2014 ushered in a new era of Indian real estate, unambiguously marked by his vision to set the ‘house’ in order.

He tightened the Centre’s grip on real estate – the favourite ‘laundromat’ for black money hoarders – and brought speculative activity to an all-time low even as big-bang schemes benefited genuine homebuyers and long-term investors.

His government gave a decisive impetus to all-around infrastructure development, major policy overhauls such as DeMo, RERA and GST, amended old Acts like Insolvency & Bankruptcy Code and the Benami Transactions (Prohibition) Act, and envisioned schemes like 100 Smart Cities, Housing for All by 2022, Make in India, AMRUT Cities etc.

Historically, no other government has done as much for the real estate sector. In just one tenure, Modi set the stage for Indian real estate to flourish in the long-term.

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Attractive Prices Lure 61% Hyderabad Homebuyers, 50% in NCR Respond to RERA Implementation – ANAROCK

by Arun Chitnis

Attractive Prices Lure 61% Hyderabad Homebuyers, 50% in NCR Respond to RERA Implementation – ANAROCK

  • Current avg. property prices in Hyderabad hover around INR 4,170 per sq. ft. – the lowest among all top 7 cities
  • In the last 5 yrs. the city’s average prices have risen by 15% – 3rd only to Pune & Bangalore that saw 25% and 16% appreciation respectively
  • Hyderabad micro markets with max. absorption in last one year was Pocharam, Bachupally, & Kondapur
  • 50% of buyers in NCR bought property due to effective RERA implementation while 58% of buyers in Kolkata were driven by lower home loan rates

E-commerce biggies may be toning down their offers, but discounts and freebies are still alive and kicking in real estate – and developers are going all out to lure buyers with attractive deals and discounts. Is it working?

As per the recent ANAROCK Consumer Sentiment Survey, as many as 50% buyers across the country bought homes due to attractive prices.

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Co-Living: The New Star of Indian Rental Housing

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

Co-living, like car-pooling and co-working, is the result of demand for more evolved rental housing solutions coming from millennials, students and young working professionals whose choices differ vastly from those of previous generations.

Currently, this new accommodation option is most popular with young and unmarried millennials aged anywhere between 20-30 years. Professionals who don’t live with their families in the city of work are also considering this option.

Co-living provides such individuals with a way to circumvent the isolation and loneliness that is often integral to a hectic, driven urban experience.

While the primary demand for co-living spaces currently comes from such tenants, the concept itself is a lot more ‘accommodating’. In fact, the future may very possibly see demand for co-living solutions coming single seniors, as well.

Cities such as Pune, Bengaluru, Gurgaon, and Mumbai first saw this new concept emerge in force, and it is now also taking root in smaller cities such as Lucknow and Jaipur – basically, in cities with a large student and millennial workforce population.

So, How Is Co-Living Different?

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Homing In On HSR Layout, Bangalore

by Prashant Thakur

Prashant Thakur, Head – Research, ANAROCK Property Consultants

Developed by the Bangalore Development Authority (BDA) decades ago, HSR Layout – home to upper-crust residents and even some ministers – is strategically located between major IT hubs including Electronic City, Outer Ring Road and Sarjapur Road.

Not surprisingly given these excellent location antecedents, HSR Layout has transformed into a major residential-cum-commercial hotspot of Bangalore.

This micro-market is largely defined by sizeable bungalows, small builder-floor apartments, wide roads, several small parks and well-established retail options. It is also one of the most self-sustained localities in the city.

A Unique Lifestyle Quotient

Its proximity and easy connectivity with major IT hubs make HSR Layout a preferred residential destination for IT professionals working in nearby Infotech hubs.

There is no dearth of rental options here which are more affordable than in HSR Layout’s neighbouring IT/ITeS-dominated markets.

Its well-planned layout includes parks, schools and hospitals at a convenient distance in every corner of the locality.

HSR Layout’s well-developed social and physical infrastructure also makes it a desirable residential option, both from a purchase and rental point of view.

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