Buying an Apartment in Sri Lanka: 15 Legal Checks Before You Pay a Deposit

Last reviewed: October 2026. Buying an apartment is not simply a matter of choosing a floor, view and price. The purchaser is acquiring an interest in a property governed by a legal and management framework that can include the unit, common elements, management arrangements, approvals and restrictions.

1. Start with the legal identity of the property

Ask for the documents that establish what exactly is being sold. Depending on the project and its history, this can include the relevant condominium plan, title documents, approvals, agreements and documents establishing the seller’s authority to transfer the unit.

The Apartment Ownership legislation and related regulations should be considered together with the actual documents relating to the development. The Apartment Ownership (Special Provisions) Act No. 23 of 2018 is part of the current statutory framework.

2. Do not treat the brochure as the title document

Sales brochures are marketing documents. They may describe a parking space, storage area, garden, roof terrace, pool or other facility, but the legal status of each item should be checked against the governing documents. A purchaser should know whether something forms part of the individual unit, is a common element, is an allocated right or is merely a facility available under management rules.

3. Check the seller’s authority

• Who is the registered owner?
• Is the seller an individual, company or developer?
• If an attorney is signing, what authority does the Power of Attorney provide?
• Are there mortgages, charges, caveats or other encumbrances?
• Are there disputes or restrictions affecting the unit?

4. Check management and common expenses

Apartment ownership brings ongoing obligations. Ask for information about management fees, sinking or reserve funds where applicable, arrears, special assessments, house rules and proposed major works. A low advertised purchase price can be misleading if substantial liabilities are attached to the unit or project.

5. Parking deserves special attention

Never assume that a parking bay automatically belongs to the apartment merely because it is shown beside the unit in a sales plan. Verify the legal document and the nature of the right being transferred.

6. Review the development’s approvals

Depending on the project, planning, building, condominium and other regulatory approvals can be relevant. The purchaser should establish whether the completed property corresponds to the approved plans and legal documentation.

7. A 15-point pre-deposit checklist

1. Seller’s title.
2. Condominium plan and relevant unit identification.
3. Encumbrance search.
4. Seller’s authority to transfer.
5. Draft sale agreement.
6. Payment schedule.
7. Refund/default clauses.
8. Parking rights.
9. Storage and other allocated areas.
10. Management rules.
11. Management fee and arrears position.
12. Major repair or special assessment information.
13. Approvals and completion documentation.
14. Utilities and service arrangements.
15. Procedure and costs for registration/transfer.

8. Official sources

Condominium Management Authority of Sri Lanka
Parliament — Apartment Ownership (Special Provisions) Act No. 23 of 2018

For broader land due diligence, see HICONT’s existing land-sale legal checklist and Sinhala land-purchase due-diligence guide.

FAQ

Is a reservation payment safe before legal checks?

A payment should not be treated as risk-free simply because it is described as a reservation or booking fee. The written terms governing refund, cancellation and the seller’s obligations should be reviewed first.

Can I rely on the developer’s statement that there are no problems?

Important legal facts should be verified from the underlying documents and searches rather than relying solely on an oral assurance.