Do wealthy Indian Americans keep homes and invest in real estate in India?

What we know, and what no one measures

There is no official survey of how many Indian Americans own property in India. US agencies do not collect it, and Indian property records are kept by state and do not identify owners by country of residence in any published national statistic. Claims about the share of Indian Americans with homes in both countries should be treated with caution.

The indirect evidence is strong, though. Of the 5,094,694 people in the US who identified as Asian Indian alone in 2024, 3,524,710, about 69%, were born abroad¹. Many first-generation immigrants keep family homes, inherit property from parents or buy apartments for parents or for their own retirement. The Migration Policy Institute counts about 3.2 million Indian immigrants in the US as of 2024⁵. For the profile of this group, see how foreign-born and US-born Indian Americans differ.

What HeyAlbert data shows

Money flows point to property and savings

The Reserve Bank of India's (RBI) survey of inward remittances found the United States was the largest source in fiscal 2023-24, at 27.7% of the total². By value, the largest category was transfers above ₹5 lakh, at about 29% of remittances². Large transfers are consistent with property purchases, deposits and investment rather than routine family support, though the survey does not record what the money was used for. The RBI also notes that India's personal transfers include local withdrawals from non-resident deposit accounts².

We cover the corridor in detail in how much Indian Americans send to India.

The rules: what NRIs and OCI cardholders can buy

India's foreign-exchange rules distinguish between Indian citizens living abroad (non-resident Indians, or NRIs) and foreign citizens of Indian origin who hold Overseas Citizen of India (OCI) cards. Most Indian Americans who have become US citizens fall in the second group. According to the RBI³:

• NRIs and OCI cardholders may buy residential and commercial property in India, but not agricultural land, farmhouses or plantation property.
• They may receive property as a gift from a relative, again excluding agricultural land, farmhouses and plantations.
• They may inherit any immovable property, including agricultural land.

Payment must come through banking channels, from abroad or from non-resident accounts in India³.

Getting money back out

Selling is where cross-border owners often run into limits. Under the RBI's rules, NRIs and OCI cardholders can repatriate the sale proceeds of property they bought with foreign exchange or non-resident account funds, but for residential property this is limited to no more than two properties³. For certain inherited assets, repatriation of up to USD 1 million per financial year is allowed³. Families planning to sell inherited homes in India need to plan for these limits and for taxes in both countries. We look at the inheritance side in estate planning challenges for Indian Americans.

US tax and reporting

US citizens and resident aliens are taxed on their worldwide income⁶, so rent or capital gains from Indian property belong on a US return, with a foreign tax credit potentially available for Indian taxes paid⁶. Reporting rules for the property itself are narrower than many owners assume. According to the IRS, foreign real estate held directly is not reportable on either Form 8938 or the FBAR; real estate held through a foreign entity is reportable on Form 8938 through the value of the entity⁴. Indian bank accounts used to collect rent or hold sale proceeds generally are reportable, with the FBAR triggered once aggregate foreign account balances exceed $10,000 at any time in the year⁴. See our guide to FBAR, FATCA and the US-India tax treaty.

Practical questions for owners and advisors

For families with property in both countries, a few questions come up again and again. Who holds title, and is it an individual, a joint owner in India or a company? Was the property bought with foreign-exchange funds, which affects whether sale proceeds can later be repatriated³? Is rental income being reported on the US return, and are Indian taxes being credited⁶? Are the Indian accounts that receive rent or sale proceeds reported on the FBAR⁴? And how will the property pass to the next generation, many of whom are US-born and may never live in India?

These questions sit at the intersection of Indian foreign-exchange rules and US tax and estate law, which is why cross-border planning has become its own specialty. Our research on Indian American family offices looks at how the wealthiest families organize these holdings.

Beyond homes: startups and markets

Real estate is only one channel. Indian Americans also invest in Indian startups, public markets and family businesses, and many give to institutions in India. Those flows are harder to measure. For related research, see Indian American angel investors, how Indian Americans invest and Indian American philanthropy.