Colombo, April 7, 2025 – Sri Lanka’s condominium market faced a significant slowdown in the final quarter of 2024, with sales volumes plunging by 22.7% year-on-year, according to the latest Condominium Market Survey released by the Central Bank of Sri Lanka (CBSL).
Despite the annual dip, the Condominium Property Sales Volume Index showed a 4.4% increase quarter-on-quarter, offering a modest sign of recovery from previous quarters.
Colombo Remains Epicenter of Sales
Colombo District led the market, accounting for 54% of total condominium transactions during Q4 2024, followed by Gampaha and Kalutara. In contrast, only 1% of all condo sales were recorded outside the Western Province.
Price Trends Point to Rising Demand
The Price Index for New Condominiums in Colombo saw a 1.1% quarter-on-quarter rise, and a notable 15.8% increase compared to Q4 2023.
Asking prices across lands, houses, and condominiums in Colombo also posted year-on-year increases, suggesting that while sales volumes have declined, property values continue to climb.
Who’s Buying – and Why
The report revealed that Sri Lankan residents continued to dominate the buyer base, though their share slightly decreased. Meanwhile, dual citizens showed a small uptick in purchase activity.
Usage intentions showed some shifts:
- Immediate occupancy remained the main reason for purchases.
- Investment-based purchases increased.
- Rental-based purchases remained unchanged from the previous quarter.
Notably, most buyers financed their purchases with personal funds, indicating a cautious but financially prepared market.
Price Brackets
- The Rs. 25M to Rs. 50M range saw the highest number of transactions, accounting for 49% of total sales.
- There was a slight increase in purchases below Rs. 25M, while Rs. 50M to Rs. 75M transactions experienced a minor dip.