NRI guide to buying property in Bangalore

Published On: 3 September 2026

NRI guide to buying property in Bangalore defines the legal steps for non-resident buyers in Karnataka under FEMA rules, allowing the direct purchase of homes with typical rental yields of 3.8% to 5.2%. The Reserve Bank of India (RBI) does not require you to get special approval to buy a home or office. Over 28% of all luxury home sales in the state come from buyers living abroad. You can pick from built flats, new villas, or office spaces. You cannot buy farm plots or farm land unless you get them from your family through a will.

Buying a home here is safe if you use proper bank paths and follow state rules. You must send your money through NRE, NRO, or FCNR bank accounts. Every new housing project must register with K-RERA to keep your funds safe in bank escrow. Property sign-up is now done online through the state Kaveri 2.0 portal to make every deal fast and clear.

Legal Eligibility and Repatriation Rules Under FEMA and RBI

Under FEMA rules, non-residents have full legal rights to buy built homes and office units without prior RBI clearance.

Allowed Properties: You can buy any number of flats, row houses, luxury villas, or office rooms across Bangalore.
Banned Properties: You cannot buy farm land, farm houses, or tree plantations through open market sales.
Safe Bank Routes: You must pay using SWIFT bank wires or direct debits from your NRE, NRO, or FCNR accounts. Cash deals and traveler's cheques are against the law.
Moving Funds Back: You can send money from selling two homes back to your foreign bank if you paid via an NRE account, while NRO sales have a cap of USD 1 million each financial year with Form 15CA and Form 15CB tax forms.

Karnataka Stamp Duty, Registration, and TDS Framework

Buying real estate in Karnataka involves set state charges and standard central tax rules.

Fee or Tax Type	Government Rate	What It Means for NRI Buyers
Karnataka Stamp Duty	5% (plus local cess)	Paid on the total sale price or the government guidance value
Registration Fee	1% of property value	Paid online when signing your deed on the Kaveri 2.0 portal
Buyer TDS (Resident Seller)	1% under Section 194-IA	You must cut this tax when buying a home priced above ₹50 lakh
Buyer TDS (NRI Seller)	12.5% to 20% + cess	Cut from capital gains when buying a home from another NRI
Tax Break on Rent	30% flat deduction	Standard discount taken off rental earnings before Indian tax filing

India has tax treaties (DTAA) with more than 90 nations. This stops you from paying tax twice on the same rental income or capital gains.

Power of Attorney and Remote Registration Process via Kaveri 2.0

You can buy and register a property in Bangalore without flying to India by picking a trusted person to act for you.

Check K-RERA Details: Search the builder's K-RERA number online to check building plans, project deadlines, and bank details.
Set Up a Power of Attorney (PoA): Sign a specific PoA form at an Indian Embassy abroad, then post it to Bangalore to get it stamped at the local registrar's office within 90 days.
Run Legal Title Checks: Have a lawyer check 30 years of title papers, land conversion orders, and municipal e-Khata records to confirm clear ownership.
Apply Online via Kaveri 2.0: Upload your draft sale deed, pay your stamp duty online, and book an appointment slot at the sub-registrar office.
Sign the Final Deed: Your chosen representative goes to the sub-registrar office to give biometric scans, sign the book, and collect the registered papers.

Luxury Villa Investment in North Bangalore: Spotlight on Prestige Springwood, Devanahalli

North Bangalore is the top growth zone in the city due to Kempegowda International Airport, the KIADB Aerospace Park, and the upcoming Airport Metro line.

Prestige Springwood is an ultra-luxury gated row villa project by Prestige Group in Yerthiganahalli, Devanahalli, located 600 meters off NH-44 and 3.5 km from the airport.

Project Size and Layout: The project covers a quiet 9-acre land parcel designed as a low-density enclave with just 60 luxury G+2 row villas.
Exclusive 4 BHK Floor Plans: The project only offers large 4 BHK row villa homes in two layout options, built with private home theaters, study rooms, and maid rooms:
Royale Townhouse: 4 BHK layout covering 4,000 sq. ft., starting at ₹10 Crores.
Magnus Townhouse: 4 BHK layout covering 5,000 sq. ft., priced up to ₹12.5 Crores.
Price and Value Growth: Starting at around ₹25,000 per sq. ft., these homes give strong capital growth and steady rental demand from top executives in nearby tech and aviation hubs.
Location and Perks: The project sits 8 minutes from the upcoming Doddajala Metro Station, offering quick links to Manyata Tech Park, along with a 50,000 sq. ft. clubhouse and over 55 lifestyle amenities.

FAQs

1. Can I buy a home in Bangalore without flying to India?

Yes, you can buy remotely by giving a legal Power of Attorney (PoA) to a trusted friend or family member after signing it at an Indian Embassy abroad.

2. How much stamp duty will I pay in Bangalore?

For homes priced over ₹45 lakh, Karnataka charges a 5% stamp duty (plus small state cesses) and a 1% registration fee on the property value.

3. Which bank accounts should I use to pay for the property?

You must make all payments using normal bank wires through an NRE, NRO, or FCNR account, as cash deals are illegal under Indian law.

4. Can I send money from selling my Bangalore property back abroad?

Yes, you can send back money from selling up to two homes bought with foreign currency through your NRE account, while NRO sales let you move up to USD 1 million each financial year.

5. Is K-RERA approval compulsory for new housing projects in Bangalore?

Yes, any new housing project with more than 8 flats or land larger than 500 square meters must have an active K-RERA registration number before selling units.