## Why most NRI buyers wait six months
The most common pattern we see: a deal is agreed in October, the buyer
plans to fly to India for registration in February, the Power of Attorney
takes longer than expected, the seller's title file develops a question,
and the registration finally happens in June. In a rising market, those
eight months are 8–12% of the purchase price.
The good news is that the actual mechanics — PoA, fund routing, title
verification, registration, mutation — fit comfortably inside 21 working
days. What slows it down is sequencing, not bureaucracy.
This is the sequence that has worked for the last eleven NRI registrations
we have advised.
## Eligibility, in one minute
Under FEMA you may buy:
- **Residential and commercial property** — without restriction, regardless
of NRI / OCI / PIO status.
- **Plotted developments** — yes, provided the land is *not* legally
classified as agricultural at the moment of purchase. HMDA / DTCP
layout-approved plots are not agricultural.
- **Agricultural land, plantations, farmhouses** — *not* permitted for
NRIs / OCIs to purchase, but they can be inherited.
If you are a foreign national of non-Indian origin, none of the above
applies and you cannot buy without specific RBI approval.
## Funds: NRO, NRE, FCNR — which to use
| Account | Funded with | Used for | Repatriable? |
|---------|-------------|----------|---------------|
| **NRE** | Foreign income | Purchase, EMI | Yes, fully |
| **NRO** | Indian income (rent, dividends, sale of inherited assets) | Purchase, EMI | Yes, up to USD 1m / FY |
| **FCNR (B)** | Foreign currency deposits | Source of funds for NRE | Yes |
For a clean repatriation later, fund the purchase from NRE (or
NRE-routed FCNR). NRO routing is permissible but adds Form 15CA and
15CB to your sale-day paperwork.
## The 21-day timeline, day by day
We treat the day the Sale Agreement is signed as Day 0.
### Days 1–4 — Title and document preparation
- **Day 1:** Sale Agreement signed; advance paid (typically 10%) from
NRE or NRO via wire to the seller's account. RBI requires the
remittance, not just the agreement, to use a banking channel.
- **Day 2–3:** Encumbrance Certificate (30-year) requested. Title
chain compiled by counsel. Mutation records, sale-deed history.
- **Day 4:** Counsel issues a title note. If the note is clean, we
proceed to PoA. If not, we pause and address the question
*before* funds move.
### Days 5–8 — Power of Attorney
- **Day 5:** PoA drafted. Two options:
1. **Special PoA** restricted to *one specific property,* listing the
survey number and extent. Recommended.
2. **General PoA** (valid for all property transactions). Convenient
but riskier; we advise against it.
- **Day 6:** PoA signed in front of an Indian consular officer at the
consulate of the country where you live. Two passport-size photos,
passport copy, OCI / PIO card if applicable, and the draft.
- **Day 7:** PoA dispatched to India by courier. Tip: the Indian Consulate
attestation is sufficient for Telangana sub-registrars; a separate
apostille is *not* required.
- **Day 8:** PoA received in India.
### Days 9–11 — Adjudication & stamp duty
- **Day 9:** PoA presented to the District Registrar for adjudication
(Section 18 of the Registration Act). The PoA is stamped at the
applicable rate (Telangana: ₹100 stamp duty for non-monetary PoA,
₹2,000 for monetary PoA).
- **Day 10–11:** Adjudication certificate issued. PoA is now legally
valid.
### Days 12–16 — Funds & registration
- **Day 12:** Balance sale consideration moved from NRE / NRO to the
seller's account. For amounts above ₹50 lakh, **TDS at 1%** is
deducted by the buyer under Sec 194-IA and deposited via Form 26QB
on the same day. (For NRI sellers, TDS is 12.5% — but that is the
*seller's* concern, not the buyer's.)
- **Day 13–14:** Encumbrance Certificate refreshed (must be current
within 7 days of registration). Sale Deed drafted and circulated.
- **Day 15:** Stamp duty paid online via TGRSP. Telangana stamp duty:
4% of consideration; transfer duty: 1.5%; registration fee: 0.5%.
Total: 6% of declared value.
- **Day 16:** Registration appointment. PoA holder appears with
passport, PoA original, ID proof. Sub-registrar verifies, Sale Deed
is registered. Original deed is returned the same day or the
following business day.
### Days 17–21 — Mutation
- **Day 17–18:** Mutation application filed online with the local
body (GHMC for inside-city or panchayat for the outskirts). Fee:
0.1% of property value; cap of ₹50,000.
- **Day 19–21:** Mutation reflects in the Dharani / municipal
records. Property tax assessment opens in your name.
That is the 21-day path. It is quietly busy, but every step is
predictable.
## What slows it down (and how to pre-empt)
- **PoA wording errors.** Six characters off the survey number and the
PoA is invalid for your specific property. Have your Indian counsel
review the draft *before* you visit the consulate.
- **Stale EC.** A 30-year EC printed last week is not enough; the
sub-registrar wants one current to seven days. Build that refresh
into Day 13.
- **Form 26QB delays.** TDS challan must be in the buyer's PAN. NRI
PANs sometimes return errors on the TIN portal; allow a buffer day.
- **Bank holds.** Cross-border wire transfers have routine compliance
holds. Pre-clear the transaction with the bank's wealth desk and
expect 1–2 days of float.
## Repatriation, when you sell
You may repatriate up to **two residential properties** under the
LRS / NRO route (sales proceeds capped at USD 1 million per FY for
NRO). Above that, RBI approval is required. The clock starts on the
*sale*, not the original purchase.
## Five errors to avoid
1. **Using a General PoA for one property.** Switch to a Special PoA;
it is shorter, cheaper, and not a security blanket for fraud.
2. **Funding via a relative's domestic account.** That breaks FEMA
sourcing and complicates repatriation. Fund from your NRE / NRO.
3. **Skipping mutation.** A registered Sale Deed without mutation is
still legally yours, but property tax stays in the seller's name
and resale becomes painful.
4. **Forgetting Form 15CA / 15CB on NRO routes.** Required for
remittance back; if missed, the bank will request retrospective
filing and your funds sit idle.
5. **Trusting an unsigned title note.** Always demand a written legal
opinion from counsel, on letterhead. Verbal assurances vanish
when something goes wrong.
> "The 21 days are not the bureaucratic part. The 21 days are the
> easy part. The hard part is starting them in the right order."
We coordinate this end-to-end for our NRI clients — counsel, PoA,
banking, registration. The clock starts the day you tell us yes.
