NRIs eye Indian property market as rupee gets cheaper
Rupee’s slide against the US dollar has seen non-resident Indians (NRIs) take active interest in the Indian property market.
As per a report, after the rupee slumped to its historic low of 72.92 per dollar, there was a sudden increase in enquiries of properties in India by NRIs. They are mostly looking at properties in Mumbai, Pune and Delhi, suggests the report citing views given by global and local real estate observers.
Asked about the reason behind this spurt in demand, Prateek Shroff, a Mumbai-based international property consultant, said a weak rupee has given the NRIs a further 10-15 percent leverage. This together brings them a straightaway average profit of 25 percent on bookings properties in India, he said.
He further added that the NRIs are coming together as consortia and opting to make bulk deals, worth Rs 100-150 crore. The buyers are coming in groups and buying entire wings and even buildings, instead of individual flats. This way, they can immediately start putting them up for rent.
The NRIs residing mostly in Hong Kong, the US and UK are looking at the Indian property market.