The legal system of the Republic of Cyprus is based on British law. Property rights are better protected here than in many countries and duties levied on property purchases are lower. Even non-EU citizens enjoy unconditional property rights in Cyprus and are permitted to buy villas and land plots of up to 3 donums (4,014 sq.m or 43,200 sq.ft) for development purposes. Buyers cover all additional costs and must provide all documentation in English. How it works in Cyprus: 1. Find a property in Cyprus. A local real estate agency offers properties that match your preferences as a buyer. The city, district and your budget are the main things to take into account. Once you have found one or more options that interest you, the agency will arrange viewings. Don’t hesitate to ask your real estate agent any questions about the property, payment procedures or potential discounts. Foreign buyers can also apply for a mortgage in Cyprus. 2. Do the due diligence. We recommend engaging the services of a lawyer registered with the Cyprus Bar Association before entering into a transaction. They will check the land registry for any encumbrances on the property as well as the seller’s right to the property that proves their legitimate ownership. Owners who do not possess a title deed will have trouble selling their property due to legal restrictions: banks will not provide mortgages to property without a deed. Legal fees generally range from €1,000 to €2,000. 3. Secure your property. Once you have made your choice, you must make a small deposit amounting to 1–3% of the purchase price to have your future property withdrawn from the market for an agreed term of 31 to 45 days. 4. Pay the deposit. In order to fully secure the deal, you must pay a down payment amounting to 30% of the purchase price by the end of the reservation period. At this stage, you will enter into a sales contract with the seller. 5. Get a buyer’s permit. You, or your proxy (e.g. lawyer), apply to the Council of Ministers for approval of the transaction. Without this permit, you are not authorized to purchase property here. In order to do so, you must provide proof of solvency and financial liquidity as well as documentation regarding the desired property, payment terms and type of ownership. Approval can take up to three months. 6. Register your property. The contract must be registered with the land registry within 30 days of the signing. This process can take up to a month and in the meantime, you may not lease, sell, register or mortgage the property in another’s name other than owner’s. This protects the current homeowner's rights until the title deed in buyer’s name is issued. 7. Make the final payment. Now it’s time to pay the outstanding amount: 67–69% of the purchase price. Expect agency commission fees of 3-5%. 8. For off-plan purchases. A certificate of final completion is delivered if your property has been purchased off-plan (i.e. before the construction has been finished). 9. Register your land. You will receive the title deed from the land registry after you have paid your property in full. However, the process may take months to complete as the document is not always ready by the time the sale is closed. Registration fees are paid directly to the land registry office once the property has been fully settled and a state permit has been issued authorizing the transfer of the title deed. Additional costs Purchase price, € Tax, % Up to 85,4303,085,431–170,8605,0Over 170,8608,0 Transfer tax. For instance, a property worth €145,000 will be taxed at 3% for the first €85,430 (i.e. €2,562.90) and the remaining €59,570 at 5% (€2,978.50). The total tax charged will be €5,541.40 (i.e. 3.82%). Property purchased by two or more owners will lower the tax base proportionally for each investor. Stamp duty valued at 0.15–0.2% of the purchase price must be paid no later than 30 days after the sales contract has been signed. This applies to any property above €5000 and cannot exceed €20,000. VAT increased to 19% as of 13 January 2014. However, first-time buyers who do not possess any other property in Cyprus and intend to live there permanently benefit from a preferential VAT rate of 5% on the first 200 sq.m of the covered construction area.

Buying and registering property in Cyprus

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Buying and Registering

Buying and registering property in Cyprus

The legal system of the Republic of Cyprus is based on British law. Property rights are better protected here than in many countries and duties levied on property purchases are lower. Even non-EU citizens enjoy unconditional property rights in Cyprus and are permitted to buy villas and land plots of up to 3 donums (4,014 sq.m or 43,200 sq.ft) for development purposes. Buyers cover all additional costs and must provide all documentation in English.

How it works in Cyprus:

1. Find a property in Cyprus. A local real estate agency offers properties that match your preferences as a buyer. The city, district and your budget are the main things to take into account. Once you have found one or more options that interest you, the agency will arrange viewings. Don’t hesitate to ask your real estate agent any questions about the property, payment procedures or potential discounts. Foreign buyers can also apply for a mortgage in Cyprus.

2. Do the due diligence. We recommend engaging the services of a lawyer registered with the Cyprus Bar Association before entering into a transaction. They will check the land registry for any encumbrances on the property as well as the seller’s right to the property that proves their legitimate ownership. Owners who do not possess a title deed will have trouble selling their property due to legal restrictions: banks will not provide mortgages to property without a deed. Legal fees generally range from €1,000 to €2,000.

3. Secure your property. Once you have made your choice, you must make a small deposit amounting to 1–3% of the purchase price to have your future property withdrawn from the market for an agreed term of 31 to 45 days.

4. Pay the deposit. In order to fully secure the deal, you must pay a down payment amounting to 30% of the purchase price by the end of the reservation period. At this stage, you will enter into a sales contract with the seller.

5. Get a buyer’s permit. You, or your proxy (e.g. lawyer), apply to the Council of Ministers for approval of the transaction. Without this permit, you are not authorized to purchase property here. In order to do so, you must provide proof of solvency and financial liquidity as well as documentation regarding the desired property, payment terms and type of ownership. Approval can take up to three months.

6. Register your property. The contract must be registered with the land registry within 30 days of the signing. This process can take up to a month and in the meantime, you may not lease, sell, register or mortgage the property in another’s name other than owner’s. This protects the current homeowner's rights until the title deed in buyer’s name is issued.

7. Make the final payment. Now it’s time to pay the outstanding amount: 67–69% of the purchase price. Expect agency commission fees of 3-5%.

8. For off-plan purchases. A certificate of final completion is delivered if your property has been purchased off-plan (i.e. before the construction has been finished).

9. Register your land. You will receive the title deed from the land registry after you have paid your property in full. However, the process may take months to complete as the document is not always ready by the time the sale is closed. Registration fees are paid directly to the land registry office once the property has been fully settled and a state permit has been issued authorizing the transfer of the title deed.

Additional costs

Purchase price,

Tax, %
Up to 85,430 3,0
85,431–170,860 5,0
Over 170,860 8,0

Transfer tax. For instance, a property worth €145,000 will be taxed at 3% for the first €85,430 (i.e. €2,562.90) and the remaining €59,570 at 5% (€2,978.50). The total tax charged will be €5,541.40 (i.e. 3.82%). Property purchased by two or more owners will lower the tax base proportionally for each investor.

Stamp duty valued at 0.15–0.2% of the purchase price must be paid no later than 30 days after the sales contract has been signed. This applies to any property above €5000 and cannot exceed €20,000.

VAT increased to 19% as of 13 January 2014. However, first-time buyers who do not possess any other property in Cyprus and intend to live there permanently benefit from a preferential VAT rate of 5% on the first 200 sq.m of the covered construction area.

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