New RBI steps dampener for international real estate
Om Ahuja of Jones Lang LaSalle (JLL) India says that the steps taken by the Reserve Bank of India (RBI) on Indians investing in properties abroad under liberalised remittance scheme (LRS) is a dampener for Indian investors.
August 16, 2013 / 22:27 IST
Om Ahuja
JLL India
The new restrictions by RBI with regards to Indians investing in international real estate under the Liberalized Remittance Scheme (LRS) have been introduced in an effort to stabilize the rupee. This move will have medium to long term implications. Also read: Here's an update on Bangalore's real estate marketIndividuals who were planning to buy international real estate at attractive valuations and planning for their kids’ education and housing aboard will now see such plans challenged. Currently, the variety of options available on the international property market offer very attractive rental yield and valuations, making the proposition of investing in property abroad a potentially lucrative one. However, the new restrictions will put a dampener on the sentiments of Indian investors who were considering this route.The author is the CEO-Residential Services at Jones Lang LaSalle India. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
