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Real Estate in India

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By Betsy Burlingame

Last updated on Dec 24, 2023

Summary: An expat looking to buy a home in India should begin by researching the local real estate market and familiarizing themselves with the different types of properties available. They should also consider their budget and the type of amenities they are looking for in a home. When searching for a home to buy in India, expats should look for properties that are in good condition and have all the necessary amenities. These amenities typically include a kitchen, bathroom, living room, bedrooms, and a balcony or terrace. Expats should also consider the location of the property and the surrounding neighborhood. Foreigners are allowed to purchase property in India, but there are certain restrictions in place. For example, foreign nationals are not allowed to purchase agricultural land, plantation land, or farmhouses. Additionally, foreign nationals are not allowed to purchase more than two residential properties in India.

How do I find a place to live in India?

We asked expats how they chose their neighborhood and found a place to live. They answered:

"We actually paid someone before we came to set up our home. But, in my husband's business that is something that we do. Locate and set up housing for foreigners in India. So, we base it on location to malls, stores, and other places we find expats like to frequent. We also, consider the place of employment along with cost," remarked one foreigner who made the move to Ahmedabad, India.

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What is a typical expat home or apartment like in India?

"We live in a flat. Which works perfect for us. A few other expats live in flats as well but for the most part they live in bungalows. But one thing we all have in common is we all live in gated secured communities," remarked one member in Ahmedabad, India.

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What is the average cost of housing in India?

If you are thinking about moving to India, cost of living in probably a key consideration. Expats commented about the cost of housing:

"The cost of housing in India varies widely depending on the region and type of accommodation, however the average cost of housing in India is relatively lower than many other countries. The cost of buying or renting a house or flat in a city often tends to be higher than what you would find in a small town or village. Additionally, housing costs can also be influenced by a variety of factors such as the size, age and condition of the property, the location, local amenities, and the market demand," explained one person living in India.

"I have not been in the US in nearly 2 years so I do not know is housing is more expensive. But, I do know housing cost here are on the rise. Most expats I know pay at least $1,000 per month for rent. But our flat is a bit smaller (there is only 3 of us) but still is 4 bedrooms and we pay a little more than $500. The best part is we are in a great location. I take the smaller flat vs. the big bungalow for the location any day," said one expat in Ahmedabad, India.

"Property rental here is expensive, we pay nearly $2,000 a month for our 3 bed, 3 bath apartment. Undoubtedly, expats pay more than locals and rental amounts are increasing quite quickly due to an influx of expats. Agents tell us that suitable properties are increasingly hard to find," remarked one member in Pune.

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Should I buy or rent a home in India?

If you have not spent a lot of time in India, you should rent before even thinking about buying. We asked expats there about the buy vs. rent decision:

"Buying a home in India can be a great investment, as properties tend to appreciate quite quickly. However, it is important to consider several factors before making the decision, including your budget, the length of time you plan to stay in India, and the type of neighborhood you would like to live in. It may be more cost-efficient to rent a home in India if you are only looking for a temporary residence with low overhead costs. However, if you intend to make India your permanent residence, investing in a home may be the better option. Ultimately, the best decision will depend on your particular situation and needs," remarked one foreigner who made the move to India.

What do I need to know when buying property in India?

When we asked expats what advice they would give a foreigner before buying a property in India, they said:

"Before purchasing property in India, it is important to understand the legal regulations related to the purchase of real estate in the country. Investigate the title deed, registration documents and any other legal encumbrances to ensure there are no problems with the property. Conduct due diligence and ensure that you have all the necessary papers from the seller. It is also essential to be aware of the local laws and regulations in the area, as well as applicable taxes. Additionally, it may be worth investing in legal and tax advice for when making a purchase," said one foreigner living in India.

Are foreigners allowed to own property in India?

When we asked expats what advice they would give a foreigner before buying a property in India, they said...

"Yes, foreigners are allowed to own property in India. However, there are certain restrictions and regulations that must be followed. Foreigners are only allowed to purchase residential or commercial property in India, and they must obtain prior approval from the Reserve Bank of India before doing so. Additionally, the property must be purchased in foreign exchange that has been remitted to India through normal banking channels. Furthermore, the property must be registered with the local authorities and the foreign exchange must be repatriated outside India after the sale of the property," said one in India.

What appliances are typically included in a rental?

We asked foreigners in India what appliances are typically included in a rental, and, if there is anything else included or not included that a newcomer would not expect. Replies included:

"In India, rental properties typically come with standard appliances like a refrigerator, stove, and microwave. Washing machines are also often included, while air conditioners and water heaters may be provided depending on the property. Additionally, amenities like ironing boards and cable/internet connections may be available in some units," explained one foreigner living in India.

Additional Information about Searching for a Home in India:

We asked foreigners in India what appliances are typically included in a rental, and, if there is anything else included or not included that a newcomer would not expect. Replies included...

"Expats typically search for homes in India by using online real estate portals, such as MagicBricks, 99acres, and Housing.com, to browse listings of available properties. They can also contact local real estate agents to help them find a suitable home. Additionally, expats can search for homes in India by attending open houses and visiting neighborhoods to get a better feel for the area," remarked one foreigner who made the move to India.

About the Author

Betsy Burlingame Betsy Burlingame is the Founder and President of Expat Exchange and is one of the Founders of Digital Nomad Exchange. She launched Expat Exchange in 1997 as her Master's thesis project at NYU. Prior to Expat Exchange, Betsy worked at AT&T in International and Mass Market Marketing. She graduated from Ohio Wesleyan University with a BA in International Business and German.

Some of Betsy's articles include 12 Best Places to Live in Portugal, 7 Best Places to Live in Panama and 12 Things to Know Before Moving to the Dominican Republic. Betsy loves to travel and spend time with her family. Connect with Betsy on LinkedIn.

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