Real Estate for NRI
The real estate for NRI investors, which the government has promoted is in a way different to that of India's commercial property. Unlike the non-residential sector, where the population is overwhelmingly from the rural background and the infrastructural requirements are minimal, the NRI population is quite averse to investments in commercial as well as residential properties in big cities like Delhi, Mumbai etc. The only exception to this rule is the possession of plots (which can be used for any commercial purpose) in the biggest cities. These plots are however only available with the developer, as in most cases, NRI investors cannot own their own plot. The private sector on the other hand would be more interested in purchasing plots of the city they wish to visit. The government's plan for investing in real estate for NRI is thus not really an investment in property but an investment in the people - a way of enticing them to invest not just in commercial and residential properties but also in state-of-the-art infrastructure, advanced services and amenities.The real estate for NRI investments in Delhi has been given a push by the government as the capital of India and home to many multinational corporate headquarters. However, the same strategy to attract investors is applicable to all other cities in India and thus the success or failure in this case can be predicted on the basis of the realty market in Delhi and the demand for apartments and plots available there. Other important cities like Gurgaon, Noida, Mumbai, Chandigarh and Bangalore have already seen a significant influx of foreign capital. With the inflow of capital, not only will the local real estate scenario change but the overall scenario of the real estate sector in India will also change.As we can see, the Government's plan of investing in real estate for NRI is a smart move, but the execution needs careful planning and evaluation before taking a decision. In India as in other countries, it is essential for the investor to assess the demand for the various apartments, plots, bungalows and condos before investing in that particular area. As we can see the Government's strategy of investing in real estate for NRI will be successful if the demand for properties available exceeds the supply. One thing is for sure; the Government's plan of investing in real estate for NRI is a step in the right direction and one would just need to follow the same process to make the most of the same.