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NRI-specific ratesFEMA Rules2026 LTV Limits

NRI Home Loan Calculator India 2026 — EMI, Eligibility & LTV

NRI home loans in India have different rules: higher interest rates (8.5–9.5% vs 7.1% for residents), lower LTV limits (65–80% vs up to 90%), and specific FEMA compliance requirements. Here's everything you need to know — with 2026 rates.

NRI home loan rates — India 2026

NRI Home Loan Interest Rates — June 2026

Bank / HFCNRI rate (2026)Resident ratePremiumMax tenure
SBI (NRI Home Loan)8.75% p.a.7.25% p.a.+1.50%30 years
HDFC Bank (NRI)8.80% p.a.7.20% p.a.+1.60%30 years
ICICI Bank (NRI)8.75% p.a.7.50% p.a.+1.25%30 years
LIC HFL (NRI)8.70% p.a.7.50% p.a.+1.20%30 years
Axis Bank (NRI)9.00%+ p.a.8.75% p.a.+0.25%+30 years
Bajaj HFL (NRI)8.90% p.a.7.49% p.a.+1.41%30 years

LTV limits for NRI home loans

NRI Home Loan LTV — India 2026

Property valueMax LTV (NRI)Min down paymentOn ₹1 Cr property
Up to ₹30 lakh80%20%N/A
₹30 lakh – ₹75 lakh75%25%N/A
Above ₹75 lakh65%35%₹65L loan / ₹35L down

NRI home loan eligibility requirements

NRI Home Loan Eligibility — 2026

RequirementDetails
RequirementDetails
PassportValid Indian passport (mandatory). OCI/PIO accepted by most banks.
Employment abroadMinimum 2 years abroad, with at least 1 year with current employer.
Minimum incomeUSD 3,000–5,000/month (or equivalent) — varies by bank and loan amount.
NRE/NRO accountMust have an active NRE or NRO account with an Indian bank.
CIBIL score750+ for best rates. Banks check Indian credit history if available.
Age21–60 years at loan application; repayment must end before age 70.
Property typeResidential only. Agricultural land and plantation property NOT permitted.

Key NRI-specific rules

Repayment only through NRE/NRO account

EMIs must be paid from your NRE (for repatriation) or NRO (Indian income) account. You cannot send money directly from a foreign account to the bank without routing through NRE/NRO.

TDS on property purchase from NRI seller = 20%

If you buy from an NRI seller, you must deduct TDS at ~22.88% (20% + surcharge + cess) under Section 195. This is very different from 1% for resident sellers. The seller can apply for a Lower Deduction Certificate to reduce this.

Power of Attorney recommended

Since NRIs are abroad, a registered Power of Attorney (PoA) in favour of a trusted person in India allows them to handle registration, loan documents, and property transactions on your behalf.

Repatriation limit: USD 1 million/year

You can repatriate up to USD 1 million per year from property sale proceeds under FEMA, subject to all taxes being paid and the amount being in proportion to foreign currency invested.

Frequently asked questions

What are the NRI home loan interest rates in India for 2026?

NRI home loan interest rates in India for 2026 range from 8.5% to 9.5% per annum, which is typically 0.25%–0.50% higher than rates for resident Indians. SBI NRI home loan starts at 8.75%, HDFC at 8.80%, ICICI at 8.75%, and LIC HFL at 8.70%. The higher rate reflects additional risk (foreign income, currency exposure) from the bank's perspective. NRIs with OCI/PIO status get similar treatment to Indian citizens for most loan purposes.

What is the maximum LTV for NRI home loans in India?

LTV (Loan-to-Value) limits for NRI home loans in 2026: For properties valued up to ₹30 lakh: maximum LTV is 80% (down payment 20%). For properties between ₹30 lakh and ₹75 lakh: maximum LTV is 75% (down payment 25%). For properties above ₹75 lakh: maximum LTV is 65% (down payment 35%). These limits are set by RBI. The actual amount depends on your monthly income, existing EMIs, and the FOIR (Fixed Obligation to Income Ratio) cap of typically 50–55%.

What TDS rules apply when an NRI buys property in India?

When an NRI buys property from a RESIDENT INDIAN seller: standard 1% TDS under Section 194-IA applies if property value exceeds ₹50L. When an NRI buys property from an NRI seller: Section 195 applies — TDS at 20% (plus surcharge + cess = ~22.88%) on Long-Term Capital Gains, or at slab rate for Short-Term. The NRI seller can apply for a Lower Deduction Certificate (Form 13) from the Income Tax Department to reduce TDS. Without this certificate, the buyer must deduct the full statutory rate.

Can NRIs repatriate property sale proceeds to their home country?

Yes, under FEMA regulations. NRIs can repatriate up to USD 1 million per financial year from the sale of property. Conditions: (1) Property was purchased through normal banking channels using NRE/NRO/FCNR funds. (2) All taxes (capital gains) have been paid. (3) NRI can repatriate only the amount originally invested in foreign currency + profits in proportion to that. If property was purchased using Indian rupee income (NRO funds), repatriation requires Form 15CA/15CB signed by a chartered accountant.

Disclaimer: FEMA and tax rules for NRIs are complex and change frequently. Consult a FEMA-specialist CA before making property decisions. Rates as of June 2026.