Madagascar (MG)
World's fourth-largest island, Madagascar offers extraordinary biodiversity (90% of wildlife found nowhere else), one of the world's lowest costs of living, warm French-speaking culture, and unique opportunities in vanilla, ecotourism, and development sectors.
Buying Property in Madagascar
The full buying process, transaction costs, mortgage, and legal requirements.
Foreign nationals cannot directly own land in Madagascar — the Malagasy Constitution reserves land ownership to Malagasy nationals. The standard workaround is purchasing through a Malagasy SARL (limited liability company) in which the foreigner holds equity. This approach is widely used and accepted in practice, but the legal framework is complex and subject to change. Long-term emphyteutic leases (bail emphytéotique, 18–99 years) are also possible. The property market in Antananarivo is growing but remains informal — there is no centralised MLS, and land title (titre foncier) disputes are common. Professional legal advice from a Malagasy notaire is essential for any property transaction. In 2026, approximate prices for expat-standard properties in Ivandry: Ar 400,000,000–900,000,000 for a 2-bedroom house (approximately USD 90,000–200,000).
Rent vs. Buy
For most expats on assignment contracts (1–3 years), renting is strongly preferred — the buying process is complex, the SARL ownership structure adds administrative burden, and exit (selling) is not straightforward. For long-term residents (5+ years), property ownership through a SARL can be worthwhile in Antananarivo's appreciating expat neighbourhoods. Nosy Be property investment carries additional risks (resort lease complications, infrastructure limitations). Never purchase property without a clear, certified Titre Foncier — unregistered customary land claims are a major source of disputes.
Buying Process — Step by Step
Engage a notaire
Week 1All property transactions in Madagascar must be formalised by a notaire. The Chambre des Notaires de Madagascar lists authorised notaires in Antananarivo.
Verify the Titre Foncier
1–2 weeksRequest a certificat de situation juridique from the Service Topographique (land registry — Service des Domaines) to confirm the title exists, is current, and has no encumbrances (hypothèques, servitudes).
Set up a SARL (for foreign buyers)
1–2 weeks via EDBMEstablish a Malagasy SARL via the EDBM one-stop shop (edbm.mg). Minimum capital Ar 200,000. The SARL will hold the titre foncier. Legal and registration costs: Ar 500,000–2,000,000.
Sign preliminary sale agreement
Week 3–4Sign a promesse de vente or compromis de vente with the seller. This is binding — have your notaire review it before signing. Pay a deposit (typically 10–20% of purchase price) into the notaire's escrow account.
Notaire due diligence
2–4 weeksThe notaire verifies the title, checks for liens and encumbrances, confirms zoning compliance, and prepares the deed of sale (acte de vente).
Sign final deed of sale
Week 6–8Acte de vente signed before the notaire. Balance of purchase price paid. Registration fees and stamp duties paid at this stage.
Register the transfer
2–6 weeks post-signingNotaire registers the transfer at the Service Topographique (land registry) and Service des Impôts Fonciers. Titre Foncier updated to reflect the new owner (or SARL name).
Transaction Costs
| Cost Item | Amount | Notes |
|---|---|---|
| Registration fees and transfer tax | Approximately 10–15% of declared sale price | Includes registration fees and stamp duty at Service des Domaines/Impôts. |
| Notaire fees | Approximately 1–3% of sale price | Based on official tariff (regulated). |
| Real estate agent commission | 3–5% (negotiable) | Typically split between buyer and seller. |
| Land survey (bornage) | Ar 300,000–1,000,000 | Required if boundaries are unclear. |
| SARL setup and legal due diligence | Ar 500,000–2,000,000 | Required for foreign national buyers using the SARL ownership structure. |
The Notary — Mandatory for All Purchases
A notaire (notary public) is legally required for all property transactions in Madagascar. The notaire verifies the titre foncier, prepares and formalises the deed of sale (acte de vente), handles the escrow of purchase funds, pays all registration fees and stamp duties, and submits the transfer to the land registry. The notaire's fees are regulated by official tariff (~1–3% of property value). Find a notaire through the Chambre des Notaires de Madagascar or the Tribunal de Première Instance (Palais de Justice, Anosy, Antananarivo).
Mortgage
Mortgage lending to foreign nationals is not widely available from Malagasy banks. Consumer mortgage products are very limited. Most foreign property transactions are cash-based or funded through employer advances. Interest rates on Malagasy MGA loans are high (12–20% per year).
Cash purchase typical. If financing available: 30–50% deposit required.
Foreign nationals typically cannot access Malagasy bank mortgages. Financing in USD/EUR through international private banking is an alternative for high-value transactions. BNI Madagascar and BFV-SG offer commercial real estate financing to established businesses (not retail buyers).
Land Registry
Madagascar operates a dual land registration system: (1) Titre Foncier (TF) — registered land with clear legal title, managed by the Service Topographique (Service des Domaines). This is the gold standard — always insist on a property with a valid, current TF. (2) Propriété non titrée / Droit Coutumier — unregistered land rights based on customary occupation, common in rural areas and legally insecure. The Service Topographique is the competent authority for title searches (certificat de situation juridique). Land title disputes are common due to incomplete records and historical ancestral claims.
Taxes
Transfer taxes and registration fees of approximately 10–15% of the declared sale price are paid at the Service des Domaines/Impôts at closing. Annual Impôt Foncier (property tax) applies to registered properties — rates are modest by international standards. IRCM (Impôt sur les Revenus des Capitaux Mobiliers) at 15–20% may apply to rental income earned from Malagasy property. Capital gains on property disposal are subject to standard income tax treatment. Consult a DGI-registered tax adviser for specific situations.
Selling Property
Selling Malagasy property held in a SARL involves either transferring the SARL shares or dissolving the SARL and transferring the underlying property. Both options require notarial formalities. Finding buyers in the informal market can be slow — use expat community networks and established mandataires immobiliers. Capital gains tax applies on the sale. Allow 3–6 months for a full property sale cycle in Antananarivo.
Useful Links
Property Buying
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