A guide to buying
property in Zambia

GUIDE TO BUYING PROPERTY IN ZAMBIAWhere the Non-Zambian is a company registered under the Companies

The property purchase procedure in Zambia
Buying property in Zambia should be relatively straightforward, but we would
always recommend that you instruct the services of a reputable agent,surveyor and lawyer. This document has been compiled as a guide forpotential purchasers of property in Zambia. It does not seek to provide orAct and less than 25% of the issued shares are owned by NonZambians; W h e r e the Non-Zambian is a statutory corporation created by an Act ofParliament;
Where the Non-Zambian is a body registered under the Land (PerpetualSuccession) Act and is a non-profit making charitable, religious,

replace legal advice which you should obtain, nor is it intended to have any

educat ional or philanthropic organisation or instit ution within iscontractual effect.

registered and is approved by the Minister for the purposes of thissection;

Tenure System W h e r e the interest or right in land is being inherited upon death or isbeing transferred under a right of survivorship or by operation of law;

All land in Zambia is leasehold. Absolute ownership of land is vested in the W h e r e the Non-Zambian is granted a concession or right under theState. However, under the Lands Act 1975 and Lands Act 1995 the State andcustomary authorities have the capacity to alienate land to individuals. For
State land, a long leasehold title (usually up to 99 years) can be granted

National Parks and Wildlife Act or; W h e r e the Non-Zambian is a commercial bank registered under theCompanies Act and the Banking and Financial Services Act;

under which exclusivity of use is provided to the title holder.

Conveyancing
Leaseholders are expected to obtain a renewal for a further 99 year term.
The law of real property embraces the rules governing the acquisition,
Land Disposal
The disposal of land in Zambia either through sale or gift requires theapproval of the State. Application has to be made to the Commissioner ofretaining, and disposal of land and things attached to the land:ownership, for example; a right to cross another person's land, called anLands for consent to assign or transfer. Normally such consent is issued
within a couple of days of lodging the application provided that all therequirements havebeen met.

The law also governs certain interests in the land which are less than fulleasement.
 C on t rac t s for Sale normally incorporate the Law Association of Zambia
General Conditions but they can be excluded.

Acquisition of land in a customary area

The general contents contained in the Law Association General Conditions
include:In order to acquire land in a customary area, one will require the following: G e n e r a l condition 2(a) provides that a deposit of 10% of the purchaseWritten consent from the area chiefApproval of the district council in the area

Addit ional approval from the Director of National Parks and Wildlife, if
the land is in a game management area.

price shall be paid by the Purchaser upon exchange of Contracts and G e n e r a l condition 2 (b) States that such deposit is to be paid to theVendor's Advocates as stake holder.
 G e n e r a l condition 3 provides that completion shall take place within 6weeks of date of contract if no date is fixed by the Special Conditions.

Ownership eligibility of land in Zambia

Completion will normally take place at the offices of the Vendor's
Advocates.

It must be mentioned here that under the provisions of the Lands Act land
can only be held by Zambians. The exceptions are:

The following are the documents that are used for the sale of property in W h e r e the Non-Zambian is a permanent resident in the Republic ofsequential order;

Zambia; W h e r e a Non-Zambian is an investor within the meaning of theInvestment Act or any other law relating to the promotion of investment
in Zambia;
Where a Non-Zambian has obtained Presidential consent in writing;Letter of offer to sale;Contract of Sale

Caveat form; As s ignment;

GUIDE TO BUYING PROPERTY IN ZAMBIA

Letter of offer to sale

The lodging of the deeds at the Registry is effectively the completion. ThePurchaser or his advocates after the assignment is filed are responsible forThis document layouts the terms of a sale and includes details of the property,
price to be paid and the parties involved in the transaction. This document willcollecting the title deed in the new purchaser's names. This effectively

changes ownership of the property.

form the basis of the document to follow.

Taxes and Charges
Contract of sale
A Contract of Sale is the formal document used to indicate the intention of theparties to transact over land and is signed by the Vendor and Purchaser (orRate in %Who Pays

Property Transfer Tax

5%

Buyer

Registration Fee

1%

Buyer

their duly appointed agents). The Contract does not require registration. The
Zambia Revenue Authority currently collects 5% of the contract sum or 5% ofthe value assessed by Zambia Revenue Authority for the property as tax overLegal FeesVATBuyer or Seller
15% on legal fees

the transaction. This tax is the Vendor’s responsibility.

Property Transfer Tax (PTT)
 d e f i n e s the rights and obligations of the Vendor and the Purchaser.
The Property Transfer Tax Act Cap 340 provides for the charge of Property

Caveat Form

Transfer Tax on the transfer of property.
The rate of 5% on the sale price realised from the sale of any land and building

In order to protect the Purchaser's interest, the Advocates for the Purchaser
may place a caveat in the Lands Registry to inform anyone who would like toor Market Value, whichever one is higher. The Market Value is assessed byZambia Revenue Authority.

transact over the land that the Purchaser is an intending purchaser.

Property Transfer Tax Exceptions
Assignment
The following organizations are exempt from Property Transfer Tax:In the process of contracting to sell land, the Purchaser prepares anassignment (of the land) which is lodged together with the title deed so that the

The Government of the Republic of Zambia;

land is 'assigned' into the Purchaser's names.

Anyforeign government; A n y international organization, foundation or agency as the Minister ofWe offer a broad menu of consulting and transactional services. The
integration of these services enables us to understand the critical success

Finance may approve for the purpose; A n y charitable organization or trust registered under section 41 of thefactors for your business.

Income Tax Act Cap 323;
 A n d such other organisations or institutions which are granted exemption

Our bespoke commercial agency leasing team ensures we have theby the Minister or by amendments to the Income Tax Act from time to time.

optimum expertise for each project, combining a depth of local knowledge
with the breadth and reach through our national and international platform.
Our relationship with occupiers also ensures we speak to the decision

Ground Rent

makers who determine occupational strategy.
This is an annual payment paid by the property owner and is dependent on theWe devise strategies to empower clients to attain their desired goals;

zoning and size of the land.

creating value, addressing trends and beating the competition.

Property Rates
Development Consultancy and ResearchThis is an annual payment paid by the property owner and is dependent on thezoning, size of land, value of improvements and the poundage charged by

We have undertaken consultancy advice to clients in the areas of relocation,

each respective rating authority (Local council).

market overview, research, planning and development and property
investment.

Our Agency Services
Land, Farms and Estates
Residential
We have a specialist Land, Farms and Estates consultancy division offering
Working with corporates, pension funds and investors, we provide up to datemarket advice, sales of commercial farms and land, estates and safari

advice, leasing and sale services. Our marketing division provides clients withlodges throughout Zambia.

a full range of services offering research, consultancy, marketing and sales.

Our team ensures that our clients' products are seen in key buyer locations

We are grateful for the services of conveyancing legal practitioner Kanti Patelaround the world.

from Christopher Russell Cook & Co. in verifying this information. Kanti can be

Commercial / Industrial

Christopher, Russell Cook & Co., The Office @4658/A, Chikwa Road,
Next to Knight Frank Zambia Offices. P.O. Box 34091, Lusaka, Zambia.

Whether you are looking for, or currently occupy industrial space sheds orTel: +260 211229366/7/8/9. Email: kpatel@crc.co.zm or info@crc.co.zm

contacted on:

warehouses, office space, retail space or specialised uses like crèches,
educational space, gyms and health centres, Knight Frank has experienced
teams that are dedicated to advising you the occupier. .

Please get in touch with us
Samantha Chisenga, MZIEAManager - Agency
M +260 977 605 601
samantha.chisenga@zm.knightfrank.com

Mumba Kapumpa Jr. MRICSManager - Advisory
M +260 979 662 150
mumba.kapumpa@zm.knightfrank.com

Mutimbwa Liswaniso, MZIEA
Senior Agent - Agency
M +260 967 377261
mutimbwa.liswaniso@zm.knightfrank.com

Fulata Kabwe
Agent- Agency+260 9 78 505 064
fulata.kabwe@zm.knightfrank.com

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Important Notice© Knight Frank 2022. This is only a guide to the buying process in Zambia. It is not definitive and is not intended to give advice. It must not be relied upon in any way. So far asapplicable laws allow, no responsibility or liability whatsoever will be accepted for any errors or for any loss or damage resulting from any use of or reference to the contents. As ageneral overview prepared using information from Zambian lawyers, this guide does not necessarily represent the view of Knight Frank in any respect. You must take specificindependent advice from your professional advisers in all cases. In preparing this guide, we do not imply or establish any advisory or professional relationship. We do not have anyrelevant authorisation from the Financial Services Authority to undertake regulated activities. All rights reserved. Copying, modification or reproduction of this review in whole or inpart is not permitted without the prior written approval of Knight Frank LLP. Knight Frank LLP is a limited liability partnership registered in England with registered number
Oc305934. Our registered office is 55 Baker Street, London W1U 8AN, where you may look at a list of members' names. References to Knight Frank may be to, or include, any
Member of the Knight Frank Global Network. Those members are Knight Frank LLP and its direct subsidiaries which provide services in the UK and an international network ofseparate, distinct and independent entities or practices which provide services internationally. No Member has any authority to bind or represent any other Member. No Member
operating under the name of Knight Frank (including Knight Frank LLP) ) is liable for the acts or omissions of any other Member.

Knight Frank Zambia Limited is part of Knight Frank LLP. Our registered office is at Plot No. 3, Chikwa Road, Lusaka, Zambia.

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Timothy D Ware, MRICS Managing
Director, Head - Agency M +260
966 751 203
tim.ware@zm.knightfrank.com

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Recent Publications
Tanya Ware, MZIEA
Director - Farms, Estates & Residential
M +260 969 568 228
tanya.ware@zm.knightfrank.com