Real estate is one of the most attractive investments if you are a non-resident Indian (NRI). However, you need to take care of the real estate property no matter if you are in India or far-far away. You may or may not visit your resident country every year, and merely examining your property once in a while is not enough. When we are talking about real estate, there are several issues such as renting, utility bills, maintenance, and property taxes that are to be taken care of.
As the adage goes, " every coin has twos side," even having a real estate property comes with two sides. People often see real estate as a lucrative investment option with good returns, but there are several risks related to the same. Being NRI, you cannot take care of your property, and hence you ask your relative to take care of it or appoint a caretaker for the same. What will you do if your relative takes over your property or your caretaker rents it out to some random people? Hence, NRIs need to be extra cautious about their property in India.
Let us see how NRIs can handle these situations-
1. When it comes to taking care of your house, relatives are the first one who comes to our mind. But, there's always a sword hanging on your throat- what if the relative acquires the property, what if they go the illegal way o snatch your house? If there's such a case, you can take legal action against them. Under section 5 of the Specific Relief Act, 1963, a person can get his or her property back by claiming it. As per section 6 of this act, if the real owner can prove their previous possession and subsequent dispossession, then he can recover his/her property. If not this, you can take action against the offender under Section 145 of the Criminal Procedure Code.
2. Renting out your property to keep it safe and secure is another option, but not a safe one. As per the provisions of the Limitation Act, 1963, a tenant can take on the legal right of a property, if the owner does not claim their stake over the property for 12 years. To avoid such situation, NRIs should visit their property at regular intervals. Although this might not be doable, so you should take help from your relatives and families living in the same city. Also, don't keep the same tenant for an extended period to avoid this situation.
3. If you think maintaining tenants in your house is a task, then you should instead think of hiring caretakers to manage your property. Since tenants live in your home and they have more access to your property, it is easy for them to take over your property. On the other hand, it is difficult for a caretaker to create such problems. Several certified service providers offer similar services and charge you for maintaining your property when you are not here. You should make a legal document to be sure and secure about the entire process.
Apart from all these precautions, you can always set up CCTV cameras around your property to keep an eye on them. You should also get a home insurance policy for further safety. A home insurance policy is your best buddy when you are miles apart from your home as it can save you from the unwanted financial burden that an unfortunate can bring with it.