President Donald Trump’s proposed 5% tax on remittances sent by immigrants, including NRIs, to their home countries could deal a fresh blow to Hyderabad and Amaravati’s real estate sector.
NRIs, particularly from the U.S., form a vital segment of the city’s mid to high-end property market. While serious end-users may still proceed with purchases, real estate investors may begin to hesitate due to the added cost.
Although the proposal is not yet law, some reports suggest it could come into effect as early as July this year. If that happens, investor interest from the U.S. may shrink considerably in both Amaravathi and Hyderabad real estate.
With returns already under pressure and market momentum slowing, this new tax could push many NRIs to look elsewhere — or hit pause altogether.
Hyderabad’s property sector, which has leaned heavily on NRI inflows for years, may need to recalibrate if this policy materializes. The next few months will be crucial in shaping investor sentiment.
