What is the Cost to Build a House in Sri Lanka in 2024?

Building your own house can be a real uphill battle here in Sri Lanka. Due to rising inflation and import taxes, the cost of building a house has risen significantly over the past few years.

However, if you do your research right and know where to look, then you can make your own home without giving away an arm and a leg in the process.

Therefore, check out below for 8 main factors, which can affect the overall cost of constructing a house in Sri Lanka, as of 2024.

1. The location

Factors such as whether a property is located near a city or a floodplain can considerably affect its overall value. For example, the most expensive properties in Sri Lanka are located in and around Colombo city and a top-grade luxury house here can cost between Rs. 300-900 Million. Conversely, the most affordable houses located in less urbanized areas can be as low as Rs. 5 Million, as of 2024.

2. The size of the land

The size of the land the house is built upon directly affects its overall value. The most expensive land in Sri Lanka is located in Colombo, Kandy, and Galle districts and can go for up to Rs. 30 Million per perch, while the most affordable may only cost around Rs. 50,000 per perch, as of 2024. But before you shop around for property, there is a list of things to consider when finding and buying land. Some of these include the location, valuation, etc. Besides this, you might also want to consider the mortgaging process if you’re looking to fund the construction with the help of a bank loan.

3. The size of the house

When it comes to costing a house, size matters. If you’re aiming high for a spacious holiday property, then a villa or bungalow can cost you between Rs. 150-900 Million. However, smaller size properties such as an annex or a small single-family house can only be around Rs. 3-5 Million, if you do not need a lot of space to live.

The table below is a sample estimate of prices for a 1 sq ft construction cost in Sri Lanka in 2024.

House type	Construction Cost Per Sq. Ft in LKR (2024)	General Features
Basic	Approx. 20,000	Cement flooring, local general fittings, plastered cement block walls
Mid	Approx. 25,000	Tiled flooring, locally branded fittings, brick walls
Luxury	30,000+	Marble and granite flooring, internationally branded fittings, brick walls plastered with marble

The average cost per square foot to build a Basic house is approximately Rs. 20,000/= as of January 2024, while it’ll cost around Rs. 30,000 per square foot upwards for a house with luxury fittings and mod-cons.

With the fluctuating construction costs, estimating a fixed cost to build a house in Sri Lanka is difficult. Therefore, the above is only a rough estimate based on material prices as of January 2024.

4. The fundamental design of the house

The basic house design chosen for the house can also contribute to its overall cost. For example, a traditional box-shaped design with only the essential facilities may only cost around Rs. 8 Million, while a more modern house with a complex design could go as high as Rs. 600 Million, as of 2024. However, with rising construction prices, housebuilders in Sri Lanka have raised construction costs starting from 1 sq ft to cope with the raw material price fluctuations and shortages in Sri Lanka in 2022.

5. Architect/ Engineer fee

The fee charged by the architects of the house will be added to the overall house construction cost in Sri Lanka. In Sri Lanka, the “SLIA Recommended Professional Fees and Conditions of Engagement” provides guidelines on the amounts that should be charged. However, individual architects may charge varying amounts, depending on their reputation and experience. This may typically fluctuate from 1% to 8% of the overall house construction prices or rates in Sri Lanka. Conversely, designers may also charge on a square feet basis, with Rs. 20-100 per sq ft and around Rs. 2000-5000 per visit.

6. The type of materials used

The basic materials used for house construction will constitute a significant proportion of the overall cost of such a home. As of 2024, a brick can cost between Rs. 30-40, a cement block Rs. 70-90, a roof tile Rs. 70-100, and a 50-kilogram sack of cement Rs. 1900 – 2300.

However, houses built using innovative materials, such as studio units made using shipping containers may cost less, around Rs. 1 – 2 Million.

7. The number of construction workers and the duration of the project

As of 2024, an unskilled construction worker can be paid around Rs. 60,000-70,000 per month, while a skilled worker can take in around Rs. 100,000-120,000. As a result, the number of construction workers involved, and the duration of the project, can significantly affect the overall construction cost of a home.

8. Cost of basic furniture for a home

No home is truly complete without the final touches. While this may include things such as painting the home and installing light bulbs, we should also remember that essential furniture and home appliances are also required to call the construction project complete.

Such furniture items may include a sofa set (cost between Rs. 100,000-300,000), chairs (Rs. 6000-10,000), tables (Rs. 50,000-100,000), cupboards, wardrobes (Rs. 50,000-180,000), beds (Rs. 25,000-200,000), etc.