Is power of attorney needed while buying property in India?

Asked by: Maximilian Kuhic  |  Last update: October 11, 2023
Score: 4.6/5 (5 votes)

When buying a house, a person should choose a trustworthy power of attorney who can help them with the buying process. When looking to buy real estate in India, NRIs typically use the POA. Simply said, it is the authority (right) that a person (Principal) grants to an attorney (a legal representative).

Can NRI buy property in India without power of attorney?

Power of attorney: NRIs must provide a power of attorney in case they're not in India for executing the purchase transaction. Please note that you will need a special power of attorney which is registered and notarized and not a general power of attorney to execute a property transaction.

What is PoA in India for buying land?

This PoA must be stamped and registered in India within three months of its execution. A stamp duty would be payable, according to Section 2(17) read with Schedule-I of the Indian Stamp Act, 1899, when the deed is presented for registration in India. The deed should be sent by a registered post to an Indian address.

What documents are needed to buy property in India?

Legal Documents Required to Buy a Property by First-Time Home Buyers
  • 1) The Sale Deed. ...
  • 2) The Mother Deed. ...
  • 3) The Sale and Purchase Agreement. ...
  • 4) The Building Approval Plan. ...
  • 5) The Possession Letter. ...
  • 6) The Completion Certificate. ...
  • 7) The Khata Certificate. ...
  • 8) The Allotment Letter.

How much does power of attorney cost for property in India?

Stamp Duty for Power of Attorney

500/- is only applicable for registration. In case the General Power of Attorney (GPA) is given to a person other than a close relative for consideration, then stamp duty is chargeable as per the market value of the property concerned or the consideration value, whichever is higher.

Property on GPA (General Power of Attorney) - Is it safe? (Hindi)

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How can I get power of attorney from USA to India?

Steps for Creating a Power of Attorney
  1. STEP 1: Write the power of attorney on plain paper. Sign the power of attorney. ...
  2. STEP 3: FOR PROPERTY AND FINANCES. ...
  3. STEP 4:FEES Pay the fee at the Consulate. ...
  4. STEP 5: Once your power of attorney is attested by the Indian Consulate/Embassy you can send it to India.

How can I buy property in India with NRI power of attorney?

The POA may be signed by an NRI in India at the Sub-office. Registrar's The POA must, however, be printed on paper and stamped with a non-judicial stamp costing Rs 100. Additionally, two attorneys and two witnesses would both need to sign the deed. Each participant must have a valid ID with a picture.

Can I buy property in India as a US citizen?

A foreign national resident outside India cannot purchase immovable property in India. A Non-resident of India can purchase a property in India. NRI mostly prefers to purchase a property in India in the form of investment for their future security.

Can OCI card holders buy property in India?

As per the guidelines issued by Reserve Bank of India, an NRI or OCI card holder can invest in any residential or commercial property. The guidelines also state that one can buy any number of residential or commercial properties.

Can I buy my father's property in India?

According to the Hindu Succession Act, 1956, a son or a daughter has the first right as the Class I heirs over the self-acquired property of his or her father if he dies intestate (without leaving a will). As a coparcener, an individual also has the legal right to acquire his or her share in an ancestral property.

Can I sell property in India with power of attorney?

Is property sale through power of attorney legal? In 2011, the Supreme Court ruled that property sale through power of attorney (PoA) is illegal and only registered sale deeds provide any legal holding to property transactions.

What documents required for PoA in India?

Original and one copy of two witnesses' Valid passports with valid visa copies (BRP card) and copies of their proof of address. Original and one copy of Power of Attorney with one passport size photograph pasted on the last page of PoA near the place of executants' signature. Please keep original PoA separate.

What are the requirements for PoA in India?

Proof of the principal's identity, such as a passport, voter ID card or PAN card. Proof of the attorney's identity, such as a passport or voter ID card. Two witnesses will also need to provide proof of identity and sign the power of attorney document.

How much does a lawyer charge for power of attorney in India?

It will be called as "Power of Attorney for Consideration 0.5% (subject to a minimum of Rs. 1,000/-and maximum of Rs.

How NRI can buy property in India without going to India?

If you're not able to travel to India to complete your property purchase personally, you can still buy property in India as an NRI by giving power of attorney (PoA) to a representative. This entitles your representative to act on your behalf in legal matters such as completing the property purchase.

What is the procedure for NRI to buy property in India?

As an NRI, you can buy commercial or real estate properties in India. You must provide a Notarised PoA for property purchase. You are eligible to receive tax benefits on your real estate investments. You can avail of loans through NRE or NRO accounts and repay EMIs in INR.

Can US citizens have Aadhar card in India?

YES. An NRI (whether minor or adult) with a valid Indian Passport can apply for Aadhaar from any Aadhaar Kendra. If your passport has the name of your spouse, then it can be used as Proof of Address for them.

Can a US citizen inherit property in India?

A Non-Resident Indian or a Foreign national such as UK, US or Canadian citizens can inherit the property in India from anyone including their relatives. The NRI can inherit property in India even from another NRI, subject to certain conditions.

Can OCI sell property in India with power of attorney?

As per the Registration Act, 1908, whenever an NRI sells or purchases a house property, both parties must be present physically while registering the transaction. If the buyer or seller is not present to sign the documents, a trusted person can be appointed as the Power of Attorney.

Can OCI holder live permanently in India?

An OCI card holder does not need a visa to live or work in India. An OCI card holder can stay in India for life time. It is important for an OCI card holder to ensure that they hold valid passports from their home country.

Can I sell my house in India from USA?

Is it possible to sell property in India if you are a Non Resident Indian (NRI) currently living in the US? The answer is yes, but the real estate process can be cumbersome. Often selling Indian property isn't the hardest part. Getting the funds to the US is tricky, and the sale may have unanticipated tax implications.

Can I register property in India from USA?

NRIs can register property from abroad, as long as they carry out all of their transactions in Indian rupee through local banks.

How to register for power of attorney from abroad to India?

Documents required for Attestation of POA by Indian Embassy
  1. POA prepared documents along with copies.
  2. Original passport + copies of all non-blank pages including first and last page.
  3. Copy of Address proof in the country of your residence. ...
  4. Proof of legal status in the country of residence, such as visa etc.

What are the new rules for NRI in India?

If an individual is physically present in India for 182 days or more during the relevant FY, they will qualify as a resident. Alternatively, if they are physically present in India for 60 days or more during the relevant FY and 365 days or more in the preceding four FYs, they will also qualify as a resident.

How long is the Power of Attorney valid in India?

Also note here that a PoA has to be registered at the Sub-Registrar's Office to get a legal validity. Another important thing to note here is that a PoA remains valid only till the life of the principal. Within their lifetime also, one can revoke the PoA.