Can NRIs Buy Agricultural Land in India? The Straight Answer
The general NRI/OCI acquisition permission excludes agricultural land, plantation property and farmhouses from purchase or gift. Inheritance has a separate permitted route. Verify the recorded land classification, lawful acquisition chain and state-law requirements before committing.
What IS allowed
- Inheritance: an NRI/OCI can inherit agricultural land, a farmhouse or plantation from a resident (or from a person who acquired it lawfully).
- Selling inherited farmland: permitted — but only to a person resident in India, subject to applicable state-law eligibility.
- Residential and commercial property: permitted under the general route, subject to payment and other legal conditions — see our NRI buying guide.
The Himachal caveat (Section 118)
Near our foothills patch, Himachal Pradesh's Section 118 restricts transfers of land to non-agriculturists, subject to statutory exceptions and government permission; it is not limited to non-Himachalis or agricultural parcels — relevant when the pretty orchard sits just across the Kalka–Parwanoo line. Verify jurisdiction before you fall in love with a parcel.
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FAQs
Can an NRI buy agricultural land in India?
The general NRI/OCI permission excludes purchase or gift of these property categories. Inheritance is a separate route, subject to a lawful acquisition chain and applicable state laws.
Can an NRI sell inherited agricultural land?
The permitted transfer route is to a person resident in India, subject to state-law eligibility. Verify the inheritance chain, title and land records first.
Can an NRI buy a farmhouse in India?
Farmhouses are excluded from the general NRI/OCI purchase permission. Check legal classification rather than relying on the seller’s marketing description.
What is HP Section 118?
Section 118 restricts transfers of land to non-agriculturists, subject to exceptions and government permission. It is not simply a ban on outsiders buying agricultural land.
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NRI Property Services hub · NRI buying guide · Selling as an NRI · NRI home loans · NRI capital gains tax · TDS on NRI sale · Power of Attorney · Repatriating proceeds · NRE vs NRO vs FCNR · NRI property management · NRI consultant, Chandigarh
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Sources checked 8 October 2026: RBI property FAQ · Himachal Section 118 compendium