NRIWallah team
Updated October 2026
What RERA requires of builders
Before RERA (2016), buyers had little recourse for delayed projects, changed specifications or diverted funds. That risk was greater for NRIs buying remotely. The Act now requires:
- Mandatory registration of all projects before sale
- 70% of buyer funds kept in a separate account, so they cannot be diverted
- Quarterly progress updates made public
- Penalty mechanism for delays and non-compliance
How to verify a project
- Ask for the RERA number — every legitimate builder will have one. It looks like:
P52100001234(format varies by state) - Search on the state portal — use the links above to go directly to the correct state portal
- Check the details — confirm project location, builder name, completion date, and complaint history
Red flags to watch for
- Project not found on RERA portal
- Builder has multiple complaints or adverse orders
- Completion date has been extended multiple times
- Financial statements show significant discrepancies
- Marketing materials don’t mention RERA number
Special considerations for NRIs
- Power of Attorney (PoA) — get it attested at the Indian consulate before your India visit
- FEMA compliance — all payments must route through NRE/NRO/FCNR accounts
- TDS when buying from an NRI — the buyer deducts tax on the full price, at 12.5% plus surcharge and cess for a long-term holding (as of 2026). The property sale TDS guide explains it.
- Stamp duty — same as resident rates in most states (some states offer concessions)
Before you pay a deposit
Registration is the first check, not the only one. Ask for the sale agreement and the builder-buyer terms, read the payment schedule against the construction stages, and have a lawyer check the title. For an Indian property purchase, the property price tracker gives city-level prices, and the mortgage comparator shows what an NRI can borrow. Payments must go through NRE, NRO or FCNR accounts, as the NRI banking guide explains.
