Key takeaway
Most NRIs can sell Indian property without travelling, using a specific Power of Attorney for the sale and registration. Get your title papers and tax position in order first, apply for a lower TDS certificate before signing if the buyer would otherwise deduct too much, insist on bank payments into your NRO account, and file an Indian return before repatriating the money.
This guide covers the legal side of a sale. For the tax side in detail, read selling property in India as an NRI: tax, TDS and repatriation. If you are selling inherited property, see also selling inherited property in India.
Step 1: Get the papers ready
- Registered purchase deed (or inheritance documents and mutation)
- Encumbrance certificate, mutation entries and latest tax and utility receipts
- Approvals, occupancy certificate and society no-objection for flats
- Loan closure letter and return of original documents from the bank, if the property was mortgaged
- PAN, passport, OCI card (if any) and NRO account details
Buyers’ lawyers will ask for these. Gaps — such as unregistered earlier transfers or a missing mutation — are better fixed before you advertise.
Step 2: Check who may buy
Residential and commercial property can be sold to a resident Indian, an NRI or an OCI. Agricultural land, plantation property and farmhouses you inherited can be sold only to resident Indian citizens. State laws on agricultural land may add further limits.
Step 3: Agree terms and sign an agreement
The agreement to sell should set out the price, advance, balance payment dates, the buyer’s TDS obligation, delivery of documents and possession, and consequences of default. Insist that all payments are made by bank transfer to your account, and avoid any cash component. Where the agreement must be stamped or registered under state law, comply.
Step 4: Plan for TDS
A buyer purchasing from a non-resident must deduct tax at source and needs a Tax Deduction Account Number (TAN). Buyers often deduct on the full sale price. If your actual tax is lower, apply for a lower or nil deduction certificate before the agreement fixes payment dates. See lower TDS certificates for NRI sellers.
Step 5: Power of Attorney for the sale
Execute a specific Power of Attorney authorising your representative to sign the sale deed, receive documents, appear before the sub-registrar and hand over possession. It should describe the property precisely and state that consideration will be paid only to your bank account. Sign it before a notary with an apostille or at an Indian mission, and have it stamped in India within the time allowed. See signing a Power of Attorney abroad and general vs special POA.
A POA is not a substitute for a sale deed. The Supreme Court has held that “GPA sales” do not transfer title; the attorney must execute a registered sale deed on your behalf.
Step 6: Registration and handover
- The buyer pays stamp duty (unless agreed otherwise) and books a registration slot.
- Your attorney and the buyer execute the sale deed before the sub-registrar, with identification and, often, biometric verification.
- The buyer pays the balance and deducts TDS; obtain the TDS certificate.
- Hand over keys and original documents, and give society and utility no-objection letters.
Step 7: Tax return and repatriation
- File an Indian return for the year of sale, report the capital gain and claim credit for TDS or a refund.
- Sale proceeds credited to your NRO account can be remitted abroad up to USD 1 million per financial year, with the prescribed tax forms.
- Repatriation of the original foreign-exchange investment in residential property is limited to two properties.
See the NRI repatriation guide.
Common mistakes
- Accepting part payment in cash.
- Allowing the buyer to deduct TDS at the resident rate.
- Giving a broad general POA and not tracking what is signed.
- Handing over possession before receiving the full price.
- Not filing an Indian return, which delays refunds and remittance.
Frequently asked questions
Can I sell to another NRI?
Yes, for residential and commercial property. Agricultural land can be sold only to resident Indian citizens.
Can my brother sign the sale deed for me?
Yes, if he holds a valid, specific Power of Attorney for the sale that is properly executed and stamped.
How quickly can I take the money abroad?
After tax compliance and the bank’s checks, within the annual NRO limit. Large amounts may need to be spread across financial years.
Need help selling property in India?
LegalCops connects NRIs with independent lawyers for sale agreements, POAs and registration. See buying or selling property as an NRI and TDS and capital gains on property sales.
Planning to sell?
Ask a lawyer to check your papers and POA before you sign with a buyer.
Related guides
- All NRI legal guides
- NRI property in India: the complete legal guide
- Tax, TDS and repatriation on a sale
- Lower TDS certificates
- NRI repatriation guide
References
- Transfer of Property Act, 1882; Registration Act, 1908 — India Code
- Income-tax Act, 2025, section 393(2) (TDS on payments to non-residents) and lower-deduction provisions
- FEM (Non-Debt Instruments) Rules, 2019; FEM (Remittance of Assets) Regulations, 2016
- Suraj Lamp & Industries Pvt. Ltd. v. State of Haryana, (2012) 1 SCC 656
Last reviewed: November 2026.
The information provided is for general educational purposes only and does not constitute legal advice. Applicable laws and procedures may vary depending on the facts, jurisdiction, and circumstances of each matter. Consult a qualified legal professional before taking action.
