NRI wants to buy property in India.
He has prepared General Power of Attorney (POA) in favour of his mother in April 2011 to purchase immovable property when he came to India for short period of time. He did not register POA but he has notarised POA as per advocate's advice since it was between blood relatives (mother and son).
He did not purchase any immovable property in two years. Now he wants to purchase property. Presently, he is out of india. I have following questions in this regard:
1. Can he purchase the property using POA now after supreme court ruling that purchase of flat on POA basis is not permitted? Will this ruling applicable in this case? Can purchasing property on POA basis is vallid transaction in India?
2.If he can purchase property using POA in India, can he use the above mentioned POA or he has to prepare other POA now and get attested by respective Indian embassy and they register here.
3. If it is legal to purchase property on POA basis, what are the risk associated with it. Will he has some problem while selling the property.
4. which is better option for him....
a. Buying proprety through POA in his name OR
b. Buying property in mother's name now and then transfer it thorugh gift deed in his name and register it when he comes to India.