Originally Posted by catpat123

Article in the Independent today.

http://money.independent.co.uk/prope...cle2548618.ece

Looks like you might have your work cut out Douglas.

Originally Posted by Douglas M

Hi catpat 123,

Thank you for the reference to the Indy. This article has most of the ingredients necessary for entrapment. Escapism, fear of loss and the need to gain, potential 20 percent plus capital gain and rental income as well!

Interesting that in the buyers guide section, they mention the residency qualification of 182 days + but omit the important fact that there is no way a FN can currently achieve it.

As in most investment proposals, it is what it doesnt say thats most important.( Apart from understanding and maybe overiding your primeval instincts when making the investment decision, that is).

Douglas is overall accepting of the fate of the majority, i can only hope that we can continue to influence a few on the margin.

regards

douglas

Originally Posted by bluesman

People reading this do so to be informed.The information is hopefully correct and financial and emotional mistakes can be avoided.In Spain at present,illegal builds assisted by corrupt lawyers,developers have caused a major problem in Spain.The problem is not being ignored by Spain because of its consequences that can affect theSpanish economy,the Spanish people and the foreigner who unsuspectingly purchased propertythinking everything was 100%legal etc.Now the spanish have to solve the problem and quickly.If they dont find a solution that is fair and just,well the outcome is absolute cayos for all concerned.Many foreigners there face financial ruin etc.because of the corrupt few who have ruined the dreams of many.The problem is simple.Illegal planning permission was granted to build villas /complexes etc on land that did not have the legal licences/permission to build on in the first place.Those responsable if proven guilty for all of this lawyers/developers etc will face long jail terms.The foreigner argues that he is the unaware victim ,purchased in good faith,and that they should be allowed to stay in there properties and that the Spanish authorities declare there illegal builds legal.End of problem.Not so!The Spanish government is demolishing the illegal properties.The owner looses his property and faces the bill for the demolition as well without any compensation!!Properties that are legally built via correct procedure are allowed to remain,the owners granted legal ownership and can sell on in the future legally.The foreigners have to wait for the Spanish judges to decide if the illegal builds can stay (or be demolished!)so the foreigner cant sell his property till a decision has been made etc.(long wait)In the meantime many have no services/water/electric supply to there new properties because licences not granted to illegal builds /or supply withdrawn till decision of legality is reached without compromise!etc.(It is illegal to sell without the required licences,The new owner must apply!!!
A foreigner cannot purchase land in goa.and will never be able too.This is written in Indian constitution.The goan developer KNOWS this and so does all those involved in any illegal purchase on behalf of (YOU)the foreigner.The Indian government will not change its law to suit a few.Allow 1 you must allow all.(You)the foreigner thinks that this law will change in your favor.((YOU)the foreigner will ALLWAYS be a Foreigner regardless.The developer owns the land.The property price increases due to the demand by the foreigner who is prepared to pay the price now being hyped.The developers+lawyers rub there "CLEAN"hands with glee. Visas are changed /withdrawn accordingly so that this law can/will be applied.A foreigner(YOU)cannot own the land.The developer wins again.If (YOU)the foreigner commit the crime of illegal purchase then your visa will be refused and entry into the country denied./ you financially loose and bye bye property.Another customer for the developer comes along and the cycle continues.Everyone else Wins except (YOU)the foreigner who looses everything with no compensation.But (YOU)the foreigner new the law from the begining.didnt YOU.You can taste paradise (GOA)but thats all....Pity.Only put in what you can afford to loose and loose YOU will.Goa does not want a calamity like Spain on its doorstep.

Originally Posted by Douglas M

Hi all,

Sorry, i forgot to mention in my last post that it is not a good idea to pay by credit card, as is suggested in the Indy article.

Originally Posted by Douglas M

Many thanks Fleur, your concern is much appreciated

Douglas

Originally Posted by a_f_d

Hi,
on the topic of residency requirements for selling - I have heard that if you were FEMA-ok when buying then the RBI are reasonably OK about giving NOC for selling - it may even be on their FAQ somewhere.

hth

Originally Posted by fpbutler

Hello Douglas
Sorry for not being in touch sooner, but my lawyer is on vacation and I have therefore no update for you. It is the summer holidays for the Courts in Goa, so I presume he will not be back in Goa until sometime in early June.

I did not know how to message you privately as there didn't seem to be much point replying to you on a public forum without any real info for you. Having said that, you might like to investigate the possibility that you are only restricted to selling during the first three years, and that once this period has passed you should be able to sell, if you so wish. I expect you do know that you can only repatriate the amount shown on the sale deed, and that no profits can be repatriated?

If you accepted to pay anyone any amount beneath the counter, which does not show up on your sale deed, then you may have difficulties to repatriate this hidden amount. However, I have never tried this, so I do not know for sure. You will need to check that out. Also, any sale you make will show a higher profit margin as a result of this "black" payment, and your Capital Gains tax on the profits will accordingly be higher.

I really do not recommend to anyone, especially foreigners who need to be able to repatriate as much as possible if they ever decide to leave, to accept to pay money illegally in this way.... though I know you will be told that "everyone does it!"... that's not quite true.

Cheers
Fleur

Originally Posted by Douglas M

Hi a-f-d

Thanks for the info.

Since making my original statement, i have found section 6(5) in FEMA.

This section indicates that a non resident can transfer various forms of investment, including property, providing they were resident at the time of purchase. Extract from RBI FAQ below

2. Statutorily, under the provisions of Section 6(5) of FEMA 1999, a person resident outside India can hold, own, transfer or invest in Indian currency, security or any immovable property situated in India if such currency, security or property was acquired, held or owned by such person when he was a resident in India or inherited from a person who was a resident in India.

regards

douglas

Originally Posted by Whiteser

Just paid Stg500 deposit for Colonia de Braganza, Calungute for apartment to Churchill properties. Now reading about all kinds of potential difficulties re ownership. Can anyone tell me what is the situation regarding buying a property in Goa. Churchills are not responding to email queries re law even though I have paid them a deposit on telephone. Can I form a company to make the purchase secure? We only wish to initially holiday there x 3 weeks a year. Maybe in 5 years, we may live their x 3 month a year. No rentals intended.

Any suggestions as to what I should do? Dont wish to waste hard saved money. Help......Help......Help.....