Can NRIs Buy Plots in India? FEMA Rules for Ayodhya, Goa and Bangalore (2026)

We get this question every week from NRIs in the US, UK, Dubai and Singapore. The short answer is yes. NRIs and OCI cardholders can buy residential and commercial plots in India. But there are clear rules, and getting them wrong can cause trouble when you sell.

## What NRIs and OCIs can buy

Under FEMA (the Foreign Exchange Management Act), NRIs and OCIs can buy any property in India except:

• Agricultural land
• Plantation property
• Farmhouses

So a residential plot in an approved layout in Ayodhya, Goa or Bangalore is fine. A piece of farmland is not, even if the seller says it can be converted later.

Inheriting is different. You can inherit agricultural land, but you cannot buy it.

## How you must pay

Payment has to come through normal banking channels:

• Money sent from abroad (inward remittance), or
• Your NRE, FCNR or NRO account in India

You cannot pay in foreign currency notes or travellers' cheques. Keep every bank record, because you will need it when you sell.

## Buying without travelling: Power of Attorney

Most of our NRI clients never fly in to book. They give a trusted person in India a Power of Attorney (PoA).

1. Sign the PoA abroad and get it attested at the Indian embassy or consulate, or apostilled, as required.
2. Send it to India.
3. Get it stamped (adjudicated) at the local stamp office within the allowed time, usually 3 months.

Make the PoA specific: name the property and what the holder can do. A general PoA gives away too much control.

## Selling later and sending money back

When you sell, two things matter.

Tax is deducted at source. The buyer must deduct tax on your capital gains before paying you. Get a CA to work out the right amount, and apply for a lower deduction certificate if your actual tax is less.

Sending money abroad (repatriation).

• If you paid from abroad or your NRE/FCNR account, you can usually repatriate the original amount you paid, for up to two residential properties.
• Money in your NRO account can be sent abroad up to USD 1 million a year, with the right CA certificate and bank forms.

## State costs to plan for

Rates change. Always confirm with the Sub-Registrar before you pay.

## Common mistakes we see

• Buying "farm plots" that are still agricultural land
• Paying cash or from a relative's account
• Signing a broad, open-ended Power of Attorney
• Not keeping proof of foreign remittance, which makes repatriation hard

## How we help NRIs

We handle video walkthroughs, documents, PoA guidance and bank payments, and we work with CAs on tax. Read more on our NRI services page or see our guides for buyers in the USA, UK, UAE and Singapore. Or WhatsApp us for a free call in your time zone.

*General information, not legal, tax or investment advice. Rules and rates change, so confirm current details with a lawyer, CA or the Sub-Registrar before you buy. Vani Estates RERA (Karnataka): PRM/KA/RERA/1251/310/AG/250523/005790.*