American residential property is fast becoming a favourite investment for people from the world’s second most populated country – India.
A report by the US National Association of Relators (NAR) released recently said Indians spent $5.8 billion, buying residential properties for the year ended March 31, 2014.
This was a 6 per cent jump over the previous year.
One reason for this is thought to be the Royal Bank of India’s increase to the investment ceiling for individuals to buy property overseas. The ceiling was recently raised from US$75,000 to US$1 million.
“Indian high net worth individuals (HNIs), who have obtained American citizenship and are settled there, have several reasons for investing in properties in the U.S.,’’ Anuj Puri, Chairman & Country Head, JLL India, a leading real estate consultancy told the Hindu Times.
“Many Indians who have become naturalised U.S. citizens have business interests as well as families in major American cities.’’
Investment in the U.S. property market is once again favourable. After the steep global financial crisis downturn, countless Indian investors had been able to snap up properties in American cities at unbelievably low prices, and these investments are seeing handsome returns now that the US real estate market is reviving, The Hindu Times reported.
Puri told the Indian Express the country had a love affair with America and American goods and so buying property there was a natural aspiration.
Interest in the US residential property market from overseas investors is gaining with reported rises in buying from Chinese, Australian, British and now Indian buyers.