# Managing a property and home loan in India from abroad (विदेश से घर और होम लोन)

Keep your Indian home and home loan in order from abroad: tell the lender you are an NRI, move EMIs to NRE/NRO, give a power of attorney, pay property tax, handle rent and TDS correctly, and claim the loan in your Indian return.

- India · Home and living
- 8 steps · ~21 days · 4 documents
- Last reviewed: 2026-10
- Web page: https://raaya.cloud/p/bundled_INDIA_PROPERTY_LOAN_FROM_ABROAD_IN

## Steps

### 1. Know what changes when you move abroad (क्या बदलता है) (1 day)

You can keep your Indian home and home loan after moving abroad, but a few things change. Your lender must know you are now a non-resident; EMIs should be paid from an NRE or NRO account, or by transfer from abroad; rent you earn in India is taxed in India and paid into an NRO account; and someone in India may need a power of attorney to act for you.

Your country of residence may also tax the rental income or count it for your tax rate. A tax treaty avoids double taxation, but how it applies depends on your situation.

Tip: This journey is general information, not legal or tax advice. For selling, gifting or large changes, talk to a chartered accountant in India and a tax adviser where you live.

### 2. Tell your lender you are an NRI (बैंक को सूचित करें) (3 days)

Inform your lender in writing that you now live abroad, and update your address, email and international phone number. The loan may be converted to an NRI home loan; terms and interest can change, so ask for the new sanction terms in writing.

Move the EMI mandate (NACH or standing instruction) to your NRE or NRO account, or set up a transfer from abroad that reaches the account a few days before the due date.

Tip: Keep a buffer of one or two EMIs in the paying account. A bounced EMI hurts your credit score in India.

Online: https://www.rbi.org.in/

Documents: Home loan agreement and repayment schedule, PAN card (पैन कार्ड)

### 3. Set up the monthly EMI (मासिक ईएमआई) (1 day)

Record the EMI here as a monthly payment in rupees so it shows in your money view with an approximate amount in your local currency. Each month check that it was debited.

On floating-rate home loans to individuals, RBI rules do not allow foreclosure or prepayment charges. Part-prepayments from savings abroad can shorten the loan; ask the lender whether to reduce the EMI or the tenure.

Documents: Home loan agreement and repayment schedule

### 4. Give a trusted person a power of attorney (पावर ऑफ अटॉर्नी) (5 days)

A power of attorney lets a relative or friend in India handle property tax, society matters, tenant issues or the lender for you. Keep it specific to the tasks you need.

Sign it abroad before the Indian mission (consular attestation) or a notary with an apostille, depending on what Indian authorities accept for the purpose. Once it reaches India, it must be adjudicated and stamped at the sub-registrar's office within three months.

- [ ] Decide who acts for you and for which tasks
- [ ] Draft a specific power of attorney (a lawyer in India can help)
- [ ] Sign before the Indian mission or a notary with apostille
- [ ] Courier the original to India
- [ ] Get it adjudicated and stamped within three months of arrival

Documents: Sale deed and property papers

### 5. Pay property tax and society charges (संपत्ति कर) (1 day)

Pay the municipal property tax every year, and maintenance to the housing society if there is one. Most municipalities accept online payment; register the property ID once and save the receipts.

Tip: Ask the society to email you notices. Missed AGM decisions on repairs often turn into large bills.

Documents: Sale deed and property papers

### 6. If you rent it out: agreement, NRO account, TDS (किराया और टीडीएस) (2 days)

Rent from Indian property is Indian income: it should be paid into your NRO account. A tenant paying rent to a non-resident must deduct tax at source and deposit it, which needs a TAN; many tenants are not aware of this, so explain it at the start. You can apply for a lower deduction certificate if your actual tax will be lower.

Use a written rent agreement and keep the tenant's TDS certificates for your Indian return.

- [ ] Rent agreement naming your NRO account
- [ ] Tenant has a TAN and deducts TDS on rent
- [ ] Collect TDS certificates every quarter
- [ ] Consider a lower deduction certificate if eligible

Documents: Sale deed and property papers, PAN card (पैन कार्ड)

### 7. Claim the loan in your Indian return (आयकर रिटर्न में दावा) (2 days)

Interest on a home loan can be deducted from Indian income from that property within the limits of the Income-tax Act, and principal repayments may qualify under the old regime. Collect the lender's interest certificate every April and file your Indian return as a non-resident (usually ITR-2) if you have rent or other Indian income.

Also report the property and any rent in your tax return where you live, as that country requires.

Online: https://www.incometax.gov.in/iec/foportal/

Documents: Home loan agreement and repayment schedule, Yearly home loan interest certificate, PAN card (पैन कार्ड)

### 8. Yearly review: loan, tax and papers (वार्षिक समीक्षा) (1 day)

Each April: download the interest certificate, check Form 26AS for TDS on rent, renew insurance on the property, confirm property tax is paid and review whether a part-prepayment makes sense at current exchange rates.

Tip: Selling later has its own rules (tax deducted by the buyer and limits on moving the money abroad). Start that as a separate journey with a chartered accountant.

## Documents you'll need

- **Home loan agreement and repayment schedule**: Shows the EMI, interest type (fixed or floating), tenure and prepayment terms.
- **Sale deed and property papers**: Registered sale deed, allotment letter or agreement, and the latest property tax receipt. Keep digital copies abroad.
- **Yearly home loan interest certificate**: From the lender, every April. Needed for the Indian return and useful where you live.
- **PAN card (पैन कार्ड)**: Needed for the lender, tenants deducting TDS and your Indian return.

## Official sources

- [Reserve Bank of India](https://www.rbi.org.in/)
- [Income Tax Department e-Filing portal](https://www.incometax.gov.in/iec/foportal/)
- [Ministry of External Affairs (consular attestation)](https://www.mea.gov.in/)

General guidance, not legal, tax or immigration advice. Confirm with the official source before you act.

Use this template free in Raaya: https://raaya.cloud/p/bundled_INDIA_PROPERTY_LOAN_FROM_ABROAD_IN