Buying houses in New Delhi – house buyers’ guide

New Delhi is has a high population density and outside of its satellite towns, space is at a premium. As a result, land and houses are in extremely limited supply. The fact that New Delhi acts more as a business destination than a location for holidaying for overseas investors means condominiums are by far the most popular option with this category of buyer. India’s property investment laws can be quite restrictive and many foreign nationals buy on short leases and then apply for residency. However, a new visa limiting stays to 180 days may soon be introduced which would effectively end the practice. At present investor can buy through an Indian company structure but the loophole could also soon be closed by the Indian government.

Property purchases are still possible under certain circumstances, for example if a non-Indians is a resident of the country, and the process is straightforward with a standard agreement of sale drawn up. A 10-20 per cent deposit of the purchase price is immediately payable and post due diligence, with checks from an independent attorney, the buyer acquires title documents from the seller. Stamp Duty is then payable after all documentation has been forwarded, followed by the outstanding balance, with the entire process takes around two months from start to finish. Stamp Duty varies from state to state but is generally between 5 and 10 per cent. Registration fees tend to be around 1 per cent of the property’s value. There is also no inheritance or gift tax levied in India, though the recipient of assets is subject to wealth tax.

Top tips for New Delhi property
Guide to buying condos in New Delhi
Guide to real estate in New Delhi