Sri Lanka land buying FAQ

Who can buy land in Sri Lanka

Can foreigners buy land in Sri Lanka?

No, not freehold. Since the Land (Restrictions on Alienation) Act No. 38 of 2014 a foreign national cannot take freehold title to land, and a deed that tries to is void. A foreigner can lease land for up to 99 years, buy a condominium apartment, or inherit land. Full answer: can a foreigner buy land in Sri Lanka.

Can a foreigner own a house in Sri Lanka?

A house stands on land, so the same rule applies: a foreigner cannot take freehold title to the land under it. The usual route is a 99-year lease of the land, with the lease deed stating who owns the buildings during and after the term. See the 99-year lease explained.

Can dual citizens buy land in Sri Lanka?

Yes. A Sri Lankan dual citizen is exempt from the 2014 restriction and buys exactly as a citizen does, freehold included. See what is allowed.

Can a foreigner buy land through a Sri Lankan company?

Only through a company with less than 50% foreign shareholding, which must stay below 50% for 20 consecutive years or the transfer becomes void. Since 30 March 2026 anyone owning or controlling 10% or more must be disclosed as a beneficial owner. See the practical routes.

Can I put land in my Sri Lankan spouse's name?

Yes, and the land is then your spouse's, not yours. The Act gives no spousal exemption. If you fund a purchase in a spouse's name, have your lawyer document the arrangement. See the FAQs on the foreign-buyer guide.

Is it safe to buy land in a Sri Lankan friend's name (a nominee)?

No. A nominee gives you no title. Courts have occasionally imposed a constructive trust (confirm with your lawyer), but you would be relying on litigation to recover the asset. Perch & Acre does not list land offered on this basis. See the practical routes.

Leases and apartments

What is a 99-year lease in Sri Lanka?

The owner keeps the freehold and you get exclusive possession for a fixed term of up to 99 years (Section 5 of the 2014 Act). On the south coast the rent is usually paid upfront as one premium. The lease is a notarial deed registered at the Land Registry. Full answer: the 99-year lease explained.

Can a 99-year lease be renewed?

There is no statutory right of renewal and Section 5 caps tenure at 99 years. "99 + 99" options are offered, but we know of no ruling that they are enforceable; treat a renewal clause as a hope, not a right, and confirm with your lawyer. See renewal.

Can I sell a 99-year lease?

Yes, if the deed allows assignment. You assign the remaining term to a new lessee, foreign or Sri Lankan, by a registrable deed that attracts stamp duty. See the lease FAQs.

Is there a land lease tax for foreigners in Sri Lanka?

No. The 15% lease tax in the 2014 Act was abolished by Amendment Act No. 3 of 2017 for leases executed from 1 January 2016. A lease does pay stamp duty. See tax and costs on a lease.

Can foreigners buy an apartment in Sri Lanka?

Yes, freehold in their own name, on any floor since the 2018 amendment, provided the unit is a registered condominium parcel and the full price is paid upfront by inward foreign remittance before the deed is signed. Full answer: buying an apartment as a foreigner.

Is an apartment or a 99-year lease better for a foreign buyer?

For a Colombo base or a pure investment an apartment is usually simpler: freehold title and no term running down. For a south-coast villa or a plot to build on, a lease is the only realistic route. See apartment or lease.

Costs and prices

How much is stamp duty on land in Sri Lanka?

On a transfer, 3% on the first Rs 100,000 and 4% on the balance (the published Western Province rate; confirm the Southern Province rate with your lawyer). The buyer pays before the deed is registered. See stamp duty on a transfer.

How much is stamp duty on a 99-year lease?

2% of the aggregate rent since 1 April 2025 (previously 1%), under the Stamp Duty (Special Provisions) Act No. 12 of 2006. Whether the 20-year cap still applies must be confirmed with your lawyer. See stamp duty on a lease.

What is the total cost of buying land in Sri Lanka?

Budget about 5% to 7% on top of the price: stamp duty, legal fees of 1% to 2%, plus survey, registry extracts and registration. On a Rs 50 million plot that is roughly Rs 2.9 million. Worked example: the real cost of buying land.

Who pays the estate agent's commission in Sri Lanka?

The seller customarily pays, usually around 3%. Agree in writing at the start whether any fee is expected from you. See legal, notary and survey fees.

How much does land cost on Sri Lanka's south coast?

The median asking price for land was LKR 907,856 per perch across 160 agency listings on 3 November 2026. Asking prices are what sellers advertise, not sale prices; town medians are not published yet. Table and method: south coast land prices: November 2026.

How big is a perch of land?

One perch is 25.29 m². 40 perches make a rood and 160 perches make an acre (about 4,047 m²). Plots are priced per perch, estates per acre. See the survey plan step.

Checks and the buying process

How do I check the title of land in Sri Lanka?

Your own lawyer obtains the registry extracts at the Land Registry and traces every deed back at least 30 years, looking for an unbroken chain, all co-owners, no unreleased mortgages, no pending cases and no caveats. See the 30-year title search.

Do I need a new survey plan?

Yes. Have a licensed surveyor prepare a fresh plan in your presence. It confirms boundaries, extent, access and encroachments, and becomes part of your deed. See step 1.

Can I build near the beach in Sri Lanka?

Only with a permit. The coastal zone runs 300 m landward of the mean high-water line and building in it needs a Coast Conservation Department permit; setbacks vary, so ask the department for the one that applies. See reservations and permissions.

Can I build on paddy land?

Not without clearance. Land described as paddy (kumbura, deniya, owita) needs Agrarian Development clearance before any change of use. See reservations and permissions.

How long does it take to buy land in Sri Lanka?

Six to ten weeks from agreement to registered deed is typical when title is clean and all owners are available. Heirs abroad, paddy clearances or a coastal query can add months. See the 8 steps.

Can I buy land in Sri Lanka without visiting?

You can complete by power of attorney, executed and authenticated abroad. You should still see the land, or have someone you trust see it with the surveyor, before the agreement to sell. See the FAQs on the 8 steps.

Can a foreigner get a mortgage for land in Sri Lanka?

Rarely. Sri Lankan banks lend to foreigners on leaseholds only in limited cases, and foreign banks will not take Sri Lankan land as security. Plan to fund the premium in cash, remitted through an account in your name. See the lease FAQs.

General information, not legal advice. Laws and rates change; confirm every point with your own Sri Lankan lawyer before you pay a deposit.