• Can NRIs buy agricultural land in India

Hi, am Venkat Software Engineer working in Malaysia in IBM Company for the past 10 years. I am from Andhra Pradesh and I want to buy 2 acres of Agricultural Land (paddy) in Vizag.i would like to know if an NRI can purchase Agricultural Land in India Andhrapradesh or not? Thank you !! 

Regards
Venkat
Asked 4 years ago in Property Law
Religion: Hindu

First answer received in 30 minutes.

Lawyers are available now to answer your questions.

8 Answers

An NRI buying an immovable property in India does not require any special permission. However, the payment can't be made in foreign currency. NRIs can make the purchase using Indian currency, the Rupee, through funds received in the country by means of normal banking channels. These funds have to be maintained in a non-resident account under the foreign Exchange management Act (FEMA) and the Reserve Bank of India (RBI) regulations. There are also no restrictions on the number of immovable properties that an NRI may purchase, either residential or commercial.

NRI investments into the property market are treated on par with investment made by resident Indians, but for some exceptions.

There is no separate restriction for purchase of agricultural property. In many states there is no bar to by agricultural land white there is such bar for non farmers. However NRI or non NRI is not no consideration.

Devajyoti Barman
Advocate, Kolkata
22515 Answers
402 Consultations

5.0 on 5.0

NRIs cannot buy agricultural land in India except with the prior permission of Reserve Bank of India (RBI) which is granted only in exceptional cases. So apply firstly to RBI for permission to purchase agricultural land ...

Ajay Sethi
Advocate, Mumbai
87976 Answers
6207 Consultations

5.0 on 5.0

Sure, there is no bar subject to ITR (income tax returns), and you can purchase agricultural land anywhere in India including the AP

Konda Srinivas
Advocate, Hyderabad
211 Answers
2 Consultations

Not rated

1) A person resident outside India (that is, an NRI, a PIO or a foreign national of non-Indian origin) cannot acquire agricultural land/plantation/farm house in India by way of purchase. An NRI or a PIO may acquire residential/commercial property by way of gift from a resident of India, an NRI or a PIO.

2) Though RBI has given general permission to the NRIs to purchase immovable properties in India, the permission does not grant power to acquire any and every property in India. The NRIs are allowed to purchase only residential or commercial property. So NRIs cannot purchase any agricultural land or plantation property.

Ganesh Kadam
Advocate, Pune
12338 Answers
191 Consultations

4.9 on 5.0

A NRI cannot buy agricultural land not only in Andhra Pradesh but whole of India.

A person resident outside India (that is, an NRI, a PIO or a foreign national of non-Indian origin) cannot acquire agricultural land/plantation/farm house in India by way of purchase, whereas a foreign citizen of Indian origin can acquire such properties but only by way of inheritance.

A general permission is available to NRIs or PIO to purchase only residential/ commercial property in India.

An NRI or a PIO may acquire residential/commercial property by way of gift from a resident of India, an NRI or a PIO.

T Kalaiselvan
Advocate, Vellore
78133 Answers
1543 Consultations

5.0 on 5.0

This is my response to you:

1. RBI has issued a notification granting a general permission to NRIs for purchase of certain immovable properties in India without obtaining any specific permission from RBI. So Indian Citizens who have become NRIs, for FEMA purposes can acquire certain immovable property situated in India without any specific permission from RBI;

2. You can also go through the government regulation with respect to the purchase of properties by NRI's as stated on the Government website.

Gowaal Padavi
Advocate, Mumbai
1920 Answers
5 Consultations

5.0 on 5.0

RBI has given general permission to the NRIs to purchase immovable properties in India, the permission does not grant power to acquire any and every property in India. The NRIs are allowed to purchase only residential or commercial property. So NRIs cannot purchase any agricultural land in India.

Mohit Khandelwal
Advocate, Jaipur
1 Answer

Not rated

NRIs are allowed to own, both residential as well as commercial properties in India without any restriction to the number of properties they can own, they are not permitted to purchase any agricultural land, farm house and plantation property.

The only way NRIs or Persons of Indian Origin can have ownership of agricultural land, farm house or plantation property is by inheritance.

Hope that helps.

Siddharth Jain
Advocate, New Delhi
5933 Answers
101 Consultations

5.0 on 5.0

Ask a Lawyer

Get legal answers from lawyers in 1 hour. It's quick, easy, and anonymous!
  Ask a lawyer