Overseas property is attracting Indian investors seeking rental earnings, potential capital appreciation and opportunities to diversify their wealth. For some buyers, the appeal also includes children’s education, international business opportunities and a home that supports future lifestyle plans.
According to the “Keys Beyond Borders” study by Knight Frank India and IREX, 61% of respondents identified rental income and rising property values as key reasons for investing overseas. However, the findings reflect the surveyed group rather than the investment behaviour of all Indian residents.
Rent and Wealth Drive Overseas Property Interest
Money sent by Indian residents to purchase overseas real estate increased 64% year-on-year to $528.7 million in the financial year 2025–26, the study stated. This compared with $322.82 million in 2024–25.
The increase came despite an approximately 2% decline in overall outward remittances under the Liberalised Remittance Scheme. Overseas property purchases accounted for about 1.8% of total outflows under the scheme.
Among respondents, real estate represented an average of 45% of total wealth, comprising 32% in domestic property and 13% in overseas property. The international property share was approximately 5% around a decade earlier. The survey also found that 84% already owned property abroad, while 16% were considering their first overseas purchase.
Visas and Global Destinations Shape Buying Decisions
The destinations attracting attention include the UAE, Greece, Thailand, Portugal, Australia, the United States, the United Kingdom, Indonesia’s Bali, Canada and Malaysia.
Alongside expected rental returns, respondents cited residency opportunities, Golden Visa programmes, currency diversification, business expansion and children’s education as factors influencing their decisions.
These motivations should be distinguished from actual eligibility. Property ownership and residency permissions depend on the destination and the applicable programme; buying a home does not automatically secure a visa.
Homes and Budgets Reveal What Buyers Want
About 85% of respondents planned to spend between $250,000 and $1 million on overseas property. Apartments and condominiums were the preferred choice for 69%, followed by villas and townhouses at 26%. Penthouses attracted 4%, while branded residences accounted for 1%.
Space also influenced preferences. Around 76% were considering homes measuring between 1,500 and 2,500 square feet. Within the overall sample, 49% preferred properties of 2,000–2,500 square feet, while 27% favoured 1,500–2,000 square feet.
Business owners, traders and industrialists made up 53% of interested respondents. Corporate executives and working professionals accounted for 30%, compared with approximately 7% a decade earlier. First-generation entrepreneurs represented another 11%.
Buyers Must Consider Costs and Ownership Rules
The study noted that overseas property investments by Indian residents must comply with applicable Indian foreign exchange and tax requirements, alongside the destination country’s rules. Beyond the purchase price, buyers need to assess maintenance charges, property management expenses, taxes, ownership rights and the possibility of periods without tenants. Expected rental income and future price increases remain uncertain.
The survey found that 76% of respondents were aged between 35 and 50, highlighting interest among people balancing wealth creation with longer-term family needs. However, planned budgets and stated preferences do not equal completed purchases. The sample was not designed to represent all Indian residents investing in overseas real estate, making that distinction essential when interpreting the findings.
