Real estate is popular as an investment avenue
Real estate is popular as an investment
avenue not just with resident Indians but also with Indians posted
offshore or on secondments to international destinations. If you are
already servicing a home loan while going on a posting abroad, nothing
much changes. Your EMIs continue as per the existing PDC (postdated
cheque) or ECS (electronic clearing service) mandate. But bankers advise
that you should inform your home loan lender about change in address
and your status. "Be it an NRI or a resident Indian , the terms and
conditions of home loan are largely the same for both sections of
borrowers.
But, it is advisable to inform the bank about change
of address or relocation to another country," says Shyamal Saxena,
general manager - consumer banking, Standard Chartered Bank. This way
the customer will not miss any crucial letter or detail from the bank,
which may impact his loan. But if you are a new borrower who is posted
abroad, you are treated like an NRI customer. Hence, you have to repay
the loan through your NRE/NRO (nonresident external/non-resident
ordinary) account even if you have a fully functional account in India.
As per the Foreign Exchange Regulation Act, 1973, NRIs are Indian
citizens staying abroad for employment or for business or vocation
outside India. He/ she should hold an Indian passport.
Read more :
http://economictimes.indiatimes.com/quickiearticleshow/9476749.cms
Source : The economic times
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