Indian High and Ultra-High-Net-Worth Individuals are no longer viewing international real estate as a status purchase. It’s become a strategic asset. According to Akash Puri, Director International, India Sotheby’s International Realty, “Overseas real estate is no longer a vanity investment; it’s a smart, multidimensional asset.”
The shift is visible in numbers. According to India Sotheby’s 2025 Luxury Residential Outlook Survey, the share of Indian investors eyeing overseas property has jumped sharply, rising from roughly 10–11 per cent to 22 per cent within a single year. The motivations? Diversification of risk, international mobility, access to premium education, and legacy planning. Outlook Money spoke with Puri to have all frequently asked questions (FAQs) around International real estate investment answered.
Which cities are attracting Indian investors and why?
Prime global markets like London, New York, and Dubai top the list. These cities offer more than just rental income; they offer long-term appreciation, strong legal systems, and stable economic environments.
In Puri’s words: “Prime central London saw annual price growth of 2.2 per cent in Q1 2025, while New York’s Manhattan luxury market posted a 3.1 per cent year-on-year rise in median prices.” These markets are backed by “robust legal frameworks, economic stability, and deep liquidity.”
What type of returns on investments can investors expect from these cities?
Rental yields are fairly consistent in premium zones. In London’s elite neighborhoods, think Mayfair, Belgravia, and Chelsea, rental yields typically fall between 3.5 per cent and 4.5 per cent. Across the Atlantic, Manhattan properties tend to offer returns in the 3 per cent to 4 per cent range. For Indian investors, these established markets act as a financial buffer, helping protect rupee-based assets from the shocks of global currency swings, according to Puri.
Are these investments driven by more than just returns?
Yes. These homes serve as global mobility tools, legacy assets, and status markers. The presence of a pied-à-terre in Belgravia or Upper East Side indicates global influence, according to Puri. “It opens doors to international mobility, best-in-class education, and long-term residency pathways.”
What’s happening in Dubai’s property market?
Dubai saw a boom in recent years, but the momentum is now stabilizing. Puri notes, “We are starting to see price resistance at the top. Volume growth has cooled slightly after consecutive record years, but demand for prime and ultra-prime remains resilient, especially driven by tax advantages and residency perks.”
What should first-time global buyers expect in terms of timelines, costs, and roadblocks?
The process isn’t simple. From verifying title deeds to understanding zoning laws and developer credibility, the due diligence checklist is exhaustive.
“Ownership is only the beginning,” Puri warns. “Property management, tenant turnover, and high service charges can eat into yields. A lack of on-ground insight can result in overpaying or choosing properties with limited resale or rental appeal.”
Estate laws complicate matters further. “France mandates forced heirship rules that supersede wills. Others, like Thailand, prohibit foreign land ownership. Estate taxes can exceed 50 per cent, and navigating probate can be an administrative minefield.”
How much due diligence is needed?
“A lot,” says Puri. “Verifying title deeds, uncovering encumbrances, assessing resale potential, and hiring local experts to navigate zoning, tax laws, and compliance.” He also advises checking developer credibility, past project delivery, and local demand.
Structural surveys are important for more than just insurance and resale. They help identify risks that glossy brochures won't mention.
Is there still upside in prime global real estate markets?
According to Puri, yes. “With interest rates now easing, an upswing in prices is on the cusp. Lower borrowing costs typically inject liquidity into the system, which drives real estate prices higher.”
He concludes that “for investors with a medium-to long term horizon, these aren’t overvalued markets they’re simply reloading.”