Repatriation outside India, including credit to RFC, NRE or FCNR account, of sale proceeds of any immovable property situated in India, requires prior permission of the Reserve Bank except in the following circumstances:
In the event of sale of immovable property other than agricultural land/ farm house/ plantation property in India by a person Resident outside India, who is a citizen of India, or a person of Indian origin, the authorized dealer may allow repatriation of the sale proceeds outside India, provided all the following conditions are satisfied.
1. the immovable property was acquired by the seller in accordance with the provisions of the foreign exchange law in force at the time of acquisition by him or the provisions of Regulations under FEMA
2. the amount to be repatriated does not exceed
(a) the amount paid for acquisition of the immovable property in foreign exchange received through normal banking channels or out of funds held in Foreign Currency Non-Resident account or
(b) the foreign currency equivalent, as on the date of payment, of the amount paid where such payment was made from the funds held in Non-Resident External account for acquisition of the property.
(c) In the case of Residential property, the repatriation of sale proceeds is restricted to not more than two such properties.
Reserve Bank has removed the existing lock-in-period for repatriation of the sale proceeds of immovable property purchased in India by NRIs/ PIOs. Accordingly, it will be in order for authorized dealers to allow remittace of sale proceeds of immovable property in India acquired by NRIs/ PIOs, irrespective of the period for which the property was held. The sale proceeds allowed to be repatriated should, however, not exceed the foreign exchange brought in to acquire the property.