Can NRIs Repatriate Their Investment Return From Fractional Ownership?

Yes, NRIs can generally repatriate their earnings from fractional ownership in India. However, the repatriation rule depends on how the initial investment was funded (NRO/NRE account), and this repatriation is also subject to FEMA regulations.

How Safe Is Fractional Ownership in India?

Fractional ownership of a high-value property in India is considered a safe and legitimate investment when done through a trusted and reliable partner who will fulfill the due diligence.

What Are the Risks Associated With Fractional Ownership?

Risks associated with fractional ownership are: lack of control and flexibility, risk of conflict among Co-investors, uncertainty of the entity, and so on.

What Is the Minimum Investment Requirement for Fractional Ownership?

The minimum investment requirement for a fractional ownership ranges from Rs 10 lakh to 25 lakh or more.

What Is the Lock-In for Fractional Ownership?

Lock-in period means that the funds invested are locked in for a specific period, maybe around three to five years. This is necessary for asset stabilization.

How Do Investors Earn Returns From Fractional Ownership?

Investors earn returns from fractional ownership either by rental yield or capital appreciation.

Is Fractional Ownership in Real Estate a Good Investment?

Yes, if done after extensive research and with the help of a real estate professional, fractional ownership can be a good investment.

How Long Should I Hold My Fractional Property Investment?

The general holding period of the fractional property is somewhere from five to seven years. This is the minimum time frame required for significant capital appreciation. However, the last call depends on your financial goals and the need for liquidity.

What Can NRIs Expect in Terms of Returns?

With fractional property investment, NRIs can expect dual returns: a stable rental yield and capital appreciation of the property over time.

Investment & Financial Planning

What Is Fractional Real Estate Ownership For NRIs In India

By Sanskriti Saxena |Last Updated: December 24, 2025

What Is Fractional Real Estate Ownership For NRIs In India

Fractional real estate investment is an innovative approach in which a group of investors pool in their funds to purchase a high-value property together. This offers passive income, low entry costs, and a dash of diversification to one's portfolio. And with SEBI reforms supporting it, this investment option has now become the talk of the town.

This has also attracted the attention of non-resident Indian who want to own a share in the high-value properties of India. And with respect to NRIs, let us understand the fractional ownership of real estate for NRIs, including its benefits to fractional ownership, tax implications, process, and

Sanskriti Saxena(Tax Expert)

Miss Sanskriti is a certified Tax Expert. She has her expertise in US GAAP, Taxation, SOX, IRS, Accounting, and Auditing standards. Miss Saxena is an intellectual blend of a high-end auditor, tax consultant, and accountant

Frequently Asked Questions

Fractional ownership is a business model in which a real estate asset is divided into chunks, and a group of investors buys those ownership chunks, pooling funds to purchase the entire property. All the passive owners share the high-value asset.

Yes, fractional ownership is legal in India.

Yes, fractional real estate is legal for NRIs. However, the regulatory framework of their industry is still being developed. In a nutshell, it's not forbidden in India, and the Securities and Exchange Board of India SEBI is working on the laws for the platforms to start enabling these investments.

In India, residents and non-resident indian can invest in fractional ownership.

Yes, NRIs in India can invest in high-value commercial real estate through fractional ownership.

What Is Fractional Real Estate Ownership For NRIs In India

Frequently Asked Questions

What Is Fractional Ownership, and How Does It Work?

Is Fractional Ownership Legal in India?

Is Fractional Real Estate Legal for NRIs?

Who Can Invest in Fractional Ownership in India?

Can NRIs Invest in Commercial Real Estate Through Fractional Ownership?

What Is Fractional Real Estate Ownership For NRIs In India

Frequently Asked Questions

What Is Fractional Ownership, and How Does It Work?

Is Fractional Ownership Legal in India?

Is Fractional Real Estate Legal for NRIs?

Who Can Invest in Fractional Ownership in India?

Can NRIs Invest in Commercial Real Estate Through Fractional Ownership?