Sri Lanca
Real estate offers in the most beautiful regions of Sri Lanka. Find your dream spot under the palm trees!
Browse exceptional listings located among paradise beaches, lush jungles, and charming tea-covered hills. You can filter the listings according to your preferences – location, property type, or budget – to easily find the place that perfectly matches your expectations.
No properties found in Sri Lanka.
Can Foreigners Buy Property in Sri Lanka?
Yes, they can – but there are certain rules and limitations to keep in mind.
What Can Foreigners Buy?
The simplest and most common option is purchasing apartments in condominium-type buildings registered under local law.
There are no longer any floor-level restrictions – foreigners can buy units on any level.
What Is Not Allowed?
Direct purchase of land by foreigners is prohibited.
However, you can enter into a long-term lease (up to 99 years).
Since 2017, there is no additional tax on such leases, making this route far more accessible.
Company Ownership Route
Foreigners can form a Sri Lankan-registered company.
If at least 51% of the shares are held by a Sri Lankan citizen, the company can legally own land and property.
Legal structures exist to maintain effective control over the company despite holding a minority share.
Financial Requirements
All funds must come from abroad and be deposited into an Inward Investment Account (IIA) with a local bank.
This ensures legal repatriation of funds later (e.g., after selling the property).
Foreigners are not eligible for local mortgage loans.
Taxes & Fees Overview
Stamp Duty:
3% for the first 100,000 LKR
4% for any amount above
VAT: 15% (for purchases from developers)
Capital Gains Tax: 10% (upon resale)
Legal & Notarial Fees: typically 2–3% of the transaction value
Tip: Always consult a local lawyer and a trusted real estate agent to ensure a smooth, legal, and safe transaction.
Where to Invest in Real Estate in Sri Lanka?
Sri Lanka offers a wide variety of investment locations for both private use and commercial ventures. Here’s a regional breakdown:
Colombo – The Capital Hotspot
The financial center and most active real estate market
High demand for short- and long-term rentals
Top areas:
Kollupitiya
Cinnamon Gardens
Rajagiriya
Popular for condos, offices, and modern developments
Southern Coast – Charm & Premium Tourism
Regions like Galle, Unawatuna, Thalpe, and Hikkaduwa offer:
Colonial charm
Luxury resorts
Strong rental returns from tourist villas and guesthouses
Bentota – Peaceful Luxury
Elegant resort town with wide beaches and high-end hotels
Property prices still more affordable than Colombo
Only 1.5 hours from the capital
Eastern Coast – Hidden Gem
Trincomalee and Nilaveli:
Pristine beaches
Lower land prices
Ideal for eco-resorts and wellness retreats
Rapid infrastructure development
Hill Country – Scenic & Serene
Regions like Kandy, Nuwara Eliya, and Ella attract:
Tourists seeking cooler climate and natural beauty
Investors looking to build holiday homes or eco-lodges
Why Invest in Sri Lanka?
From vibrant city condos to peaceful beachfront villas, Sri Lanka has something for every investor.
Beyond its tropical appeal, the country offers real growth potential and a diverse property market that’s gaining momentum globally.
