Table of Contents
- Executive Summary: Key Regulatory Highlights for 2025–2029
- Overview of Seychelles Real Estate Regulatory Framework
- 2025 Legislative Updates and Recent Amendments
- Foreign Ownership Restrictions and Opportunities
- Property Taxation, Stamp Duties, and Compliance Obligations
- Land Use, Zoning Laws, and Environmental Considerations
- Licensing and Registration: Process, Costs, and Authorities
- Anti-Money Laundering (AML) and Due Diligence Requirements
- Key Market Statistics and Investment Trends (2025 Forecasts)
- Future Outlook: Predicted Regulatory Shifts and Strategic Insights
- Sources & References
Executive Summary: Key Regulatory Highlights for 2025–2029
The regulatory landscape of real estate in Seychelles is shaped by a blend of domestic policy priorities and the need to attract sustainable foreign investment. Key statutes governing the sector include the Immovable Property (Transfer Restriction) Act, the Land Registration Act, and recent amendments introduced by the Financial Services Authority (FSA). These frameworks are complemented by anti-money laundering (AML) obligations and due diligence requirements, reflecting Seychelles’ commitments to international financial transparency standards.
- Foreign Ownership Restrictions: Non-citizens require government approval for acquisition of immovable property, particularly for residential and agricultural land. The approval process is managed by the Ministry of Lands and Housing and is subject to conditions, including minimum investment thresholds and intended property use.
- Compliance and Due Diligence: All real estate transactions are subject to rigorous AML checks, as enforced by the Financial Services Authority and the Financial Intelligence Unit. Recent years have seen stepped-up enforcement, with real estate professionals now required to conduct customer due diligence and report suspicious transactions.
- Land Registration and Titling: The Department of Lands and Surveys has advanced digitalization of land records, reducing registration times and increasing transparency. As of early 2025, over 90% of property titles are now available in digital format.
- Taxation and Transfer Duties: Transfer of property attracts stamp duty, generally set at 5% but rising to 11% for non-citizen purchasers, according to the Seychelles Revenue Commission. Additional taxes may apply for commercial or tourism-linked developments.
- Environmental and Zoning Regulations: The Ministry of Agriculture, Climate Change and Environment continues to enforce strict environmental impact assessments for major projects, aligning with Seychelles’ sustainability goals and its obligations under international conventions.
Looking ahead to 2025–2029, the regulatory outlook is characterized by incremental reforms to streamline approval processes, further digitalize land and property records, and tighten compliance with anti-money laundering standards. The government is expected to balance foreign investment facilitation with national interests, particularly land preservation and environmental protection. Ongoing policy revisions and public consultations signal a proactive approach to sector oversight, with increased transparency, investor protection, and sustainability at the core of future regulatory initiatives.
Overview of Seychelles Real Estate Regulatory Framework
Seychelles’ real estate sector is governed by a well-defined regulatory framework aimed at balancing investor interest, sustainable development, and national priorities. The primary legislation overseeing property transactions includes the Land Registration Act and the Immovable Property (Transfer Restriction) Act, which collectively regulate ownership, registration, and transfer of real property. The Ministry of Lands and Housing acts as the principal authority for land policy and administration, ensuring compliance with national guidelines and sustainable land use.
Foreign ownership remains a closely monitored area. Non-citizens require government sanction to acquire immovable property, subject to approval by the Ministry of Lands and Housing and governed under the Immovable Property (Transfer Restriction) Act. In 2024, the government reaffirmed its policy to limit foreign direct ownership to safeguard local interests, requiring foreign investors to demonstrate economic benefit and comply with environmental and planning standards Ministry of Lands and Housing.
Compliance is further supported by the Seychelles Financial Authority and the Financial Services Authority, which oversee anti-money laundering (AML) and counter-terrorism financing (CTF) measures for real estate transactions. Recent reforms in 2023 have tightened due diligence requirements for property purchases, particularly those involving offshore entities or high-value assets, aligning local practices with international standards Financial Services Authority.
Statistically, property transactions involving non-citizens account for less than 10% of all real estate transfers annually, reflecting the government’s cautious approach to foreign participation Ministry of Lands and Housing. The residential market remains the most active, although tourism-driven projects—such as hotels and resorts—continue to attract regulated investment under stringent environmental and planning oversight.
Looking ahead to 2025 and beyond, the regulatory landscape is expected to see incremental changes, with a focus on digitalization of land records, strengthened compliance for sustainable development, and enhanced transparency in ownership structures. Ongoing policy reviews aim to further harmonize Seychelles’ real estate framework with international best practices, supporting both market stability and responsible investment Ministry of Lands and Housing.
2025 Legislative Updates and Recent Amendments
In 2025, Seychelles continues to refine its real estate regulatory landscape to balance economic growth, foreign investment, and environmental protection. The principal legislation governing land and property transactions remains the Land Registration Act (Cap 107), the Immovable Property (Transfer Restriction) Act (Cap 94), and related subsidiary legislation. In recent years, and particularly leading into 2025, the government has prioritized transparency and compliance, introducing a series of targeted amendments to existing real estate laws.
A significant update in 2024 was the amendment to the Immovable Property (Transfer Restriction) Act, which clarified requirements and procedures for non-Seychellois individuals and entities seeking to acquire immovable property. The revised legislation mandates enhanced due diligence, including comprehensive background checks on beneficial ownership and sources of funds, aligning with Seychelles’ ongoing efforts to meet international anti-money laundering standards (Financial Services Authority Seychelles). Moreover, the government has maintained the policy that foreigners must obtain prior sanction from the Minister responsible for land use before purchasing property, except in approved developments such as designated tourism zones.
In 2025, the Ministry of Lands and Housing is rolling out digital platforms for property registration and title searches, aiming to streamline transactions and reduce administrative bottlenecks. This digitalization initiative is expected to improve compliance monitoring, facilitate easier access to land records, and reduce opportunities for fraudulent transfers (Ministry of Lands and Housing).
Environmental regulations also saw further tightening. Amendments to the Town and Country Planning Act reinforced requirements for environmental impact assessments (EIAs) for new property developments, particularly in coastal and ecologically sensitive areas. Developers are now obliged to submit more extensive documentation and adhere to stricter building codes, reflecting Seychelles’ commitment to sustainable development and climate resilience (Ministry of Agriculture, Climate Change and Environment).
Compliance enforcement remains a priority. The Land Registration Division has increased audits and random inspections of property transfers, focusing on detecting undeclared beneficial owners and illicit fund flows. According to the latest government statistics, in 2024 there were over 1,500 property transactions recorded nationally, with about 18% involving foreign buyers—a figure expected to stabilize as compliance measures strengthen (Ministry of Lands and Housing).
Looking ahead, Seychelles is expected to continue updating its real estate framework to support responsible investment, digital transparency, and environmental protection, while maintaining its attractiveness as a destination for sustainable property development and tourism.
Foreign Ownership Restrictions and Opportunities
Seychelles maintains a carefully regulated framework for foreign ownership of real estate, primarily aimed at preserving national interests, protecting local land rights, and ensuring sustainable development. Non-citizens and foreign entities are permitted to purchase property, but are subject to stringent restrictions and approval processes overseen by government authorities.
Under the Immovable Property (Transfer Restriction) Act, foreigners must obtain sanction from the Minister responsible for Land Use and Housing prior to acquiring, leasing, or transferring immovable property in Seychelles. This requirement covers both individuals and companies where more than 25% of ownership or control is foreign. In practice, approvals are typically granted for properties intended for tourism projects, large-scale developments, or luxury residences, but are rarely issued for land intended for personal, non-commercial use.
The government has reinforced these controls in recent years. In 2024, amendments to the regulations introduced stricter compliance measures, including enhanced due diligence on the source of funds and tighter monitoring of property use post-acquisition. Non-compliance can result in fines, forfeiture of property, or revocation of ownership rights. All transactions must be registered with the Ministry of Lands and Housing, which maintains the national land registry.
- As of early 2025, foreign ownership accounts for approximately 7% of Seychelles’ real estate transactions, concentrated in high-end tourism zones such as Mahé, Praslin, and La Digue (Ministry of Lands and Housing).
- Foreigners are generally prohibited from purchasing agricultural land or properties deemed of strategic importance to national security.
- Long-term leases (up to 99 years) are commonly used as an alternative to outright ownership for foreign investors.
Looking ahead, Seychelles is expected to maintain its cautious approach. While the government continues to welcome foreign investment in tourism and hospitality, policymakers have signaled their intent to closely monitor transactions for compliance and to periodically review thresholds and approval criteria. The focus will remain on sustainable development, preventing speculation, and balancing economic growth with local interests. Prospective foreign buyers should anticipate ongoing scrutiny of transactions and should seek legal guidance to ensure full compliance with evolving regulations (Ministry of Lands and Housing).
Property Taxation, Stamp Duties, and Compliance Obligations
Seychelles has established a comprehensive framework for property taxation, stamp duties, and compliance obligations to regulate real estate transactions and ownership. As of 2025, these regulations are primarily governed by the Immovable Property (Transfer Restriction) Act and the Stamp Duty Act, with oversight by the Seychelles Revenue Commission and the Ministry of Lands and Housing.
- Property Taxation: Seychelles does not impose an annual property tax on residential property owners. However, non-Seychellois individuals and entities are subject to the Immovable Property Tax (IPT), introduced in 2020, at a rate of 0.25% per annum on the market value of residential properties owned by foreigners. This tax is payable annually, with returns due by March 31st each year. Seychelles nationals are generally exempt from IPT unless the property is held through a company or trust controlled by non-citizens.
- Stamp Duties: Stamp duty applies to the transfer, lease, or mortgage of immovable property. The rates are typically 5% of the property’s value for transfers and 1.5% for mortgages. For non-citizens, an additional sanction fee of 11% may apply to property purchases, subject to approval by the Ministry of Lands and Housing. Stamp duties must be paid promptly to register any real estate transaction, and non-compliance may result in penalties or refusal of registration.
- Compliance Obligations: Real estate transactions involving non-citizens require prior approval under the Immovable Property (Transfer Restriction) Act. Due diligence obligations include anti-money laundering (AML) checks, source of funds verification, and reporting to the Financial Intelligence Unit for suspicious transactions. Both buyers and sellers must comply with statutory declarations and provide all supporting documentation for registration.
- Key Statistics: According to the Seychelles Revenue Commission, property tax revenue from foreign owners constituted over SCR 50 million in 2023, reflecting continued interest from overseas investors. The number of sanctioned property transfers to non-citizens has remained steady, with approximately 120 approvals annually since 2022.
- Outlook: In 2025 and beyond, the government is expected to maintain stringent controls on foreign ownership, with potential incremental increases in compliance requirements and a focus on enhanced AML measures. Ongoing digitalization efforts aim to streamline property transaction processes and improve monitoring capabilities for tax and regulatory compliance.
Land Use, Zoning Laws, and Environmental Considerations
Seychelles’ real estate sector is governed by a robust legal and regulatory framework that balances development ambitions with the archipelago’s unique environmental sensitivities. Land use and zoning laws in Seychelles are primarily regulated by the Ministry of Lands and Housing, operating under the Town and Country Planning Act (Cap 237) and its amendments. These laws designate specific land parcels for residential, commercial, tourism, agricultural, and environmental conservation purposes, with zoning maps and planning permissions integral to development approvals.
Since 2022, Seychelles has reinforced its focus on sustainable land management. The implementation of the National Development Strategy 2024-2028 emphasizes a coordinated approach between urban growth and environmental protection. The Land Use Plan—currently under review for further update by 2025—integrates climate resilience and biodiversity conservation, reflecting Seychelles’ international commitments under the Paris Agreement and the Convention on Biological Diversity.
Environmental considerations are at the forefront of the regulatory process. The Ministry of Agriculture, Climate Change and Environment enforces the Environment Protection Act, mandating Environmental Impact Assessments (EIA) for most developments, especially those near coastlines or protected areas. Over 60% of Seychelles’ landmass is designated as protected areas or national parks, and any development in or near these zones faces stringent scrutiny and compliance requirements.
Statistically, only about 6% of Seychelles’ total land area is available for residential and commercial development, creating a highly competitive and regulated real estate market. In 2023, the Ministry of Lands and Housing processed over 400 land use and development applications, with approximately 70% requiring some form of environmental clearance. The majority of rejections related to non-compliance with environmental zoning or EIA deficiencies.
Looking ahead to 2025 and beyond, Seychelles is expected to continue tightening land use and environmental regulations, in line with its Vision 2033 and sustainable tourism objectives. Digitalization of permitting and land registry processes is slated for further expansion, improving transparency and compliance checks. Developers and property investors should anticipate heightened due diligence, particularly regarding environmental compliance, as part of the country’s commitment to preserving its natural heritage while pursuing economic growth.
- Ministry of Lands and Housing
- Ministry of Agriculture, Climate Change and Environment
Licensing and Registration: Process, Costs, and Authorities
The real estate sector in Seychelles is closely regulated, especially regarding licensing and registration of property transactions. Both local and foreign buyers, as well as real estate agents, must comply with a framework designed to protect property rights, ensure transparency, and manage foreign ownership. The Seychelles Land Authority (SLA) serves as the principal governmental body overseeing land registration and related regulatory matters, while the Financial Services Authority (FSA) regulates real estate agents and agencies.
- Process for Property Registration: All property transfers must be registered with the SLA. The process typically involves due diligence checks, submission of signed sale agreements, proof of payment, identity verification, and clearance of property taxes. Once approved, the SLA enters the transaction into the Land Register, providing legal title to the new owner. According to the Seychelles Land Authority, the typical timeframe for registration is two to four weeks, depending on the complexity of the transaction.
- Licensing of Real Estate Agents: Real estate agents must obtain a license from the FSA in accordance with the Real Estate Agent Licensing Act, 2007. Applicants are required to demonstrate good character, relevant qualifications, and compliance with anti-money laundering (AML) regulations. Licenses are renewable annually, subject to ongoing compliance and payment of prescribed fees.
- Costs: Registration fees for property transactions are calculated based on the property’s market value. As of 2025, the standard fee is 5% of the transaction value for non-citizens and 2% for citizens, in addition to administrative charges and stamp duties. Agent licensing fees range from SCR 10,000 to SCR 20,000 per year, depending on the license type (Financial Services Authority).
- Special Requirements for Non-Citizens: Non-citizens (including companies with foreign shareholders) must obtain sanction from the Ministry of Lands and Housing before they can acquire immovable property. This process is governed by the Immovable Property (Transfer Restriction) Act and often takes several months. In addition to higher registration fees, non-citizen buyers may face restrictions on certain types of properties and locations.
Looking ahead, the authorities plan to introduce further digitalization of registration processes, aiming to reduce turnaround times and improve transparency. Increased scrutiny of AML and Know Your Customer (KYC) compliance is also expected, reflecting Seychelles’ commitments under international standards. As the real estate market continues to attract international interest, regulatory compliance and efficient licensing will remain pivotal to sector stability in the coming years.
Anti-Money Laundering (AML) and Due Diligence Requirements
The real estate sector in Seychelles has been under increasing regulatory scrutiny, particularly in the context of anti-money laundering (AML) and due diligence requirements. The government has taken significant steps to align with global AML standards, as the country remains on the Financial Action Task Force (FATF) grey list as of 2024, with ongoing efforts to address identified strategic deficiencies.
Key legislation governing AML in the real estate sector includes the Anti-Money Laundering and Countering the Financing of Terrorism Act, 2020 (AML/CFT Act) and its subsequent amendments. Under this legal framework, real estate agents, developers, and professionals are classified as “reporting entities” and are required to implement robust customer due diligence (CDD) measures, retain transaction records for at least seven years, and report suspicious transactions to the Financial Services Authority and the Seychelles Financial Intelligence Unit.
Due diligence protocols mandate identification and verification of both domestic and foreign buyers and sellers, with enhanced scrutiny for politically exposed persons (PEPs) and transactions involving high-risk jurisdictions. The AML/CFT Act also obliges reporting entities to establish internal controls, conduct regular staff training, and undergo periodic compliance audits. Non-compliance can result in significant administrative fines or criminal prosecution, highlighting the importance of rigorous adherence to the regulatory framework.
Recent statistics from the Seychelles Financial Intelligence Unit indicate an increase in the number of suspicious transaction reports (STRs) linked to real estate, reflecting both greater regulatory vigilance and heightened awareness among market participants. In 2023, over 200 STRs were filed by real estate professionals, a marked increase compared to previous years, signaling more rigorous application of due diligence protocols.
Looking ahead to 2025 and beyond, the regulatory outlook suggests further tightening of AML and due diligence obligations, as Seychelles seeks to exit the FATF grey list and maintain international investor confidence. The government has signaled its intention to introduce more sophisticated digital monitoring tools and enhance cross-border cooperation with international AML bodies. Real estate stakeholders are expected to face more comprehensive compliance checks, with sector-specific guidelines anticipated from the Financial Services Authority and further updates to the AML/CFT Act likely. Continuous stakeholder training and investment in compliance infrastructure will be crucial for maintaining market integrity and ensuring alignment with evolving global standards.
Key Market Statistics and Investment Trends (2025 Forecasts)
The real estate sector in Seychelles is significantly shaped by a regulatory framework aimed at balancing foreign investment with national interests and sustainable development. As of 2025, the key laws governing property transactions include the Immovable Property (Transfer Restriction) Act and the Land Registration Act. These statutes require that non-citizens and foreign companies obtain government approval before purchasing or leasing immovable property. The approval process involves rigorous due diligence and compliance checks conducted by the Ministry of Lands and Housing.
Recent data from the National Bureau of Statistics Seychelles indicates that, as of late 2024, real estate transaction volumes have stabilized following the post-pandemic rebound. Property transfers by non-citizens accounted for approximately 11% of all registered transactions in 2024, reflecting both the enduring appeal of Seychelles as an investment destination and the effectiveness of regulatory controls.
The Seychelles government continues to enforce compliance through updated guidance and regular monitoring. In 2024, the Financial Services Authority Seychelles introduced enhanced anti-money laundering (AML) measures for real estate transactions, requiring stricter identity verification and source-of-funds declarations. This is in line with the country’s commitment to international standards and its obligations under the Financial Intelligence Unit Seychelles.
Looking ahead to 2025 and beyond, the regulatory outlook remains cautious but investor-friendly. The government has signaled plans to streamline approval timelines for foreign investment while maintaining robust checks to prevent speculative buying and environmental degradation. Key investment trends forecast for 2025 include:
- Continued demand for luxury beachfront properties, particularly on Mahé and Praslin islands.
- Increased interest in eco-friendly developments, supported by evolving environmental regulations.
- Stable yields on commercial property, supported by growth in tourism and the financial services sector.
In summary, Seychelles’ real estate regulations in 2025 are characterized by a careful balance of openness and regulatory oversight, with compliance mechanisms that align with global standards. The sector is expected to remain stable, with moderate growth in foreign investment tempered by sustained government vigilance.
Future Outlook: Predicted Regulatory Shifts and Strategic Insights
The regulatory landscape for real estate in Seychelles is expected to undergo notable adjustments in 2025 and the coming years, reflecting both domestic policy priorities and international compliance obligations. In recent years, the Seychelles government has intensified its focus on transparency, anti-money laundering (AML), and sustainable development within the real estate sector. These trends are set to continue, shaping the future regulatory environment.
One of the most significant anticipated shifts is the tightening of foreign ownership regulations. Currently, non-citizens and foreign entities must obtain sanction from the government before acquiring immovable property, as stipulated in the Immovable Property (Transfer Restriction) Act. The government is actively reviewing these regulations to balance economic openness with the need to safeguard national interests and prevent speculative investments that could inflate property prices or contribute to housing shortages for locals. Proposed amendments are expected to introduce stricter vetting of foreign buyers and enhanced disclosure requirements concerning the source of funds, aligning closely with international best practices on AML and combating the financing of terrorism (Financial Services Authority Seychelles).
Compliance requirements for real estate developers and agencies are also projected to become more rigorous. The Seychelles Revenue Commission and the Financial Intelligence Unit are collaborating to strengthen reporting obligations for real estate transactions, with a particular focus on large-scale developments and offshore structures. The recent implementation of the Beneficial Ownership Act and ongoing revisions to the Anti-Money Laundering Act underscore the authorities’ commitment to transparency and accountability in property dealings (Financial Intelligence Unit Seychelles).
In terms of key statistics, the Seychelles National Bureau of Statistics notes that real estate remains a significant contributor to GDP—about 6% in 2023—with steady growth in both domestic and foreign investment. However, the government has signaled a move towards encouraging sustainable and environmentally responsible development, introducing incentives for green building and energy-efficient projects (National Bureau of Statistics Seychelles). Future real estate regulations are likely to incorporate stricter environmental compliance standards, particularly for coastal and tourism-oriented projects, to preserve the nation’s ecological assets.
Looking ahead, strategic insights for stakeholders include the need for robust due diligence, proactive adaptation to evolving AML and transparency standards, and engagement with sustainable development frameworks. The regulatory environment is expected to grow more sophisticated, with increased digitalization of land records and transaction monitoring. Investors, developers, and agents should anticipate greater scrutiny and prepare for comprehensive compliance audits as Seychelles continues to align with global norms and protect its economic and environmental interests.
