Sri Lanka’s real estate market has opened exciting doors for dual citizens seeking to invest in their homeland. Whether you’re a Sri Lankan by descent living overseas or have acquired dual nationality, the rules and opportunities available to you are significantly more flexible than for foreign nationals.

If you’re planning to return, invest, or simply own a piece of your heritage, this guide breaks down everything you need to know about buying property in Sri Lanka as a dual citizen.

🏡 What Is Dual Citizenship in Sri Lanka?

Dual citizenship allows an individual to be legally recognized as a citizen of two countries at the same time. In Sri Lanka, this status is granted to individuals of Sri Lankan origin who have obtained citizenship in another country but wish to retain their rights in Sri Lanka.

Key advantages include:

  • The ability to own land outright.

  • The right to reside and work in Sri Lanka.

  • Access to government services and benefits.

✅ Property Ownership Rights for Dual Citizens

As a dual citizen, you enjoy nearly the same property rights as a regular Sri Lankan citizen.

You can legally:

  • ✅ Buy residential or commercial land on a freehold basis.

  • ✅ Purchase apartments or condominiums.

  • ✅ Obtain housing loans or mortgages from local banks.

  • ✅ Rent out your property for passive income.

  • ✅ Pass property on to heirs through inheritance.

This makes dual citizenship a powerful advantage for anyone looking to invest, retire, or generate income from Sri Lanka’s growing real estate sector.

⚖️ Key Legal and Tax Considerations

While your rights are broader than foreign nationals, here are a few rules and responsibilities to be aware of:

1. Stamp Duty

  • 3% on the first LKR 100,000

  • 4% on the balance

2. Capital Gains Tax (CGT)

  • 10% flat on gains from selling property

  • Exempt if the property was your principal residence for 2 out of the past 3 years

3. Annual Property Tax

  • Payable to the relevant Municipal Council or Pradeshiya Sabha

4. No Land Lease Restrictions

  • Unlike foreigners, dual citizens are not subject to the 99-year lease limit

5. Bank Financing

  • Eligible for local housing loans and mortgages, subject to income verification

💡 Benefits of Buying Property as a Dual Citizen

Here’s why buying property in Sri Lanka as a dual citizen makes strong financial and personal sense:

  • 🔑 Full ownership of land and property

  • 🏘️ More property options – from city condos to agricultural land

  • 💰 Bank loan eligibility boosts affordability

  • 📈 High investment potential in Colombo and coastal areas

  • 🏝️ Ideal for retirement or vacation homes

  • 🔄 Easier resale and inheritance process

✍️ Documents You’ll Need

To buy property in Sri Lanka, you will need:

  • Valid Dual Citizenship certificate

  • Copy of Sri Lankan and foreign passports

  • Tax Identification Number (TIN) if applicable

  • Proof of funds (bank statement or loan offer)

  • Signed Sale & Purchase Agreement

🏁 Final Thoughts

For dual citizens, the Sri Lankan real estate market offers freedom, flexibility, and excellent long-term value. Whether you want to build a home, invest in a condo, or develop land, your legal status gives you a major edge in the buying process.

📞 Let’s Get Started!

Still have questions about your eligibility or the buying process?

You can Call or WhatsApp NOW ☎️ +94 777 81-82-39 / +94 77 543 7846
and speak to one of our team members about an appointment & more info.