126. Reserve Bank of India

permission to rent property in

India

Q: Mr Chand, I want to rent out commercial premise to Bank in India. Is there Limit that NRI cannot rent out his property for more than 5 years without taking RBI permission. I understand there is law for NRI's where Indian Landlords cannot rent their properties for more than 5 yrs to NRI's. If you can reply this email I will appreciate. Thanks S Singh Answer: From what my understanding is on this subject: An Nri can rent his/her residential/commercial property purchased out of foreign exchange/rupee funds without RBI permission to Indians or even Nri’s of Indian origin. The question of permission of RBI regarding the five year rental limit rule, I believe comes into play when the party you are renting to falls in the category of being a foreign national of non-Indian origin, including a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan. In such a case, any period over five years would require prior approval of Reserve Bank of India. limit rule, I believe comes into play when the party you are renting to falls in the category of being a foreign national of non-Indian origin, including a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan. In such a case, any period over five years would require prior approval of Reserve Bank of India. you are renting to falls in the category of being a foreign national of non-Indian origin, including a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan. In such a case, any period over five years would require prior approval of Reserve Bank of India.