Direct ownership by foreign individuals is difficult in practice and raises legal and foreign exchange questions, so we rarely recommend it. Most foreign property investment is made through a Bangladeshi company that the investor owns wholly or jointly, which can acquire land or apartments in its own name, subject to land ceiling rules and sector restrictions. Non-resident Bangladeshis and foreign nationals who also hold Bangladeshi citizenship can generally buy property personally. Because the rules and bank practice can change, we confirm the position for the investor's nationality, purpose and funding route before any agreement is signed.

We trace the chain of registered deeds back over several decades, compare it with the survey khatians and mutation records, and confirm that land development tax has been paid by the seller. We search for mortgages, attachment orders, acquisition notices, vested property listings and khas land status, and check the courts for pending suits. Where the seller inherited the land, we confirm that every heir has transferred their share. A site visit checks possession, boundaries and access. The result is a written title report for the property investment that grades each risk and lists the steps needed before completion.

A purchase normally attracts stamp duty, registration fees, local government tax and advance source tax on the transfer, and some of these are calculated on the deed value or on government-set minimum values for the area. VAT may apply to apartments bought from developers. Rates and minimum values change through Finance Acts and government notifications, so we calculate the cost at the time of the transaction rather than rely on older tables. Ongoing costs include land development tax, holding tax and income tax on rent. These figures belong in the property investment model from the start.

Where the asset is held by a Bangladeshi company with foreign shareholders, rental income is taxed in the company and can be distributed as dividends, which are remitted through the authorised dealer bank after withholding tax. Shareholder loans can be repaid in line with their approval terms. Sale proceeds received by the company can be returned through dividends, capital reduction or a sale of the shares, each with its own tax and Bangladesh Bank steps. Remittance is far smoother where the original inward funding was documented correctly, so we design the property investment's capital records with exit in mind.

Often, yes. Long leases avoid some of the ownership questions that arise for foreign investors and can be easier to finance, and plots in export processing zones and Invest Bangladesh industrial areas are typically available only on lease. A lease for more than one year must be registered, with stamp duty based on term and rent. The key points are the term, renewal rights, permitted use, assignment and subletting, the landlord's title, and what happens on termination. We review the landlord's title as carefully as we would for a purchase, because a lease is only as good as that title.

Many developments in Bangladesh use agreements under which a landowner contributes land and a developer builds, with the finished units shared in agreed proportions. Foreign investors may participate as the developer, as a funder or through a joint venture company. These arrangements are a frequent source of disputes over delay, quality, allocation of units and powers of attorney. We draft clear milestones, approvals responsibilities, termination rights and dispute resolution clauses, and consider whether land should be transferred into the joint venture company. A well-structured property investment of this kind protects both sides if the project stalls.

That depends on the location and use. In Dhaka and other cities, land-use clearance and building plan permission are needed from RAJUK or the relevant development authority or city corporation, and larger or industrial projects need environmental clearance under the Bangladesh environmental laws. Fire safety approval, utility connections and, in some cases, height or aviation clearances may also be required. Occupancy may require a further certificate after construction. We build the approvals timetable into the property investment plan, because construction contracts, lender conditions and lease commitments should not run ahead of the permissions.

Title disputes are common in Bangladesh, and they can come from heirs, previous purchasers, government claims or occupiers. The remedy depends on the facts and may include a declaratory suit, a suit for possession, objections in survey or mutation proceedings, or claims against the seller under the sale agreement and title warranties. Some disputes may first need mediation as the Legal Aid Services (Amendment) Act 2026 rolls out. Our litigation team, led by Adv Syed Wahid, acts in these matters. Careful diligence and strong contractual protection remain the best defence for any property investment.