'Rupee slide spawns interest in NRIs to buy property back home'

Bangalore emerged as the most favourite property investment destination for NRIs according to the survey by Assocham

The rupee's sharp decline against the dollar has generated interest in NRIs to buy property back home by reaping benefit of favourable exchange rate, according to a survey.

"Indian property developers are anticipating a 35% surge in enquiries from NRI-based purchasers as the rupee dip against the dollar last six months. The decline in rupee has increased property sales because people want to get value for their money," revealed the survey by industry body Assocham.

According to the survey, Bangalore emerged as the most favourite property investment destination for NRIs, followed by Chennai, Mumbai, Ahmedabad and Dehradun.

"With the rupee riding low against the dollar, Indian residents are looking to accelerate investment plans back home," Secretary General of Assocham D S Rawat said.

At present, any non-resident Indian (NRI) buying a property in India can save around 20-30% on his or her property value, he added.

The rupee today plunged further by 89 paise to hit new record low of 65 against the US dollar in early trade on the Interbank Foreign Exchange market on heavy demand for the US currency from banks and importers. It has fallen by about 34% against the dollar since August, 2011.