An NRI can take a home loan at the following circumstances:

• - For purchasing a house or apartment, constructed or to-be-built in India
• - For self-constructing a home on a plot in India
• - For renovating or improving an existing property in India
• - For financing for the purchase of a plot in India

Note that, the home loan eligibility of an NRI will be calculated in the same way as it’s done for the resident Indians. However, more emphasis will be put on the following factors:
- Qualification: Most frequently, you will be expected to be a graduate
- Current job profile
- Past working experience
- The possibility of continuing working abroad
- The possibility of servicing the home loan, in case you are returning back to India

No, there will be no tax benefits to NRIs on NRI home loans unless he/she file tax returns in India on income generated in India and thus, become eligible to enjoy tax benefits as mentioned by your bank.

Normally, an NRI will have to submit additional documents when compared to the resident Indians when applying for home loans. The documents will include:
- Identity proof (PAN Card along with Passport and Visa / Work Permit)
- Residence proof (Utility bills like telephone, electricity or water bill / Registered Rent Agreement)
- Salary slips (last 3 months) with 6 months’ salary bank statements
- Tax returns and latest Employment Contract
Consumer Credit Check report
- POA, usually drawn in favour of parents, wife, or children of the NRI

Power of Attorney (POA) is something which will allow you to grant another person the power to make decisions pertaining to your property. There are two types in this:
- General POA: This is a situation in which you can confer general rights of your property to someone else. By using this, the POA holder could sell, lease, and/or sub-lease your property.
- Special POA: This is a situation where the chosen person will be given only a specific right by you.

NRIs could make use of POA facility to get their properties registered by a trusted person during their stay abroad.

Repayment of NRI home loans will be carried out as “Equated Monthly Installments (EMIs)”, which will include principal and interest computed on monthly rests. NRIs can pay their monthly instalments by issuing cheques from their NRE or NRO accounts or giving a Direct Debit Mandate in favour of your NRI home loan lender and also give them four post-dated cheques from the account.

In case you are making a part-disbursement of your loan, then the monthly interests will be computed only on the disbursed amount. This payment would have to be made every month-end and the payment would have to be made by you by post-dated cheques.

Yes, an NRI can pre-close a home loan by making a lump sum payment towards part/full payment. However, some pre-closure charges will be applied to it.