Pafos :: Cyprus

Cyprus Property - Purchase Requirements

Important Information

As in most other countries, there are many regulations regarding buying a property in Cyprus and it can be a lengthy process. The law regarding buying property in Cyprus has changed since 13th June 2003.

These are the points from the District Officer in Cyprus. Note these can change at any time.

• Non Cypriots and non residents of Cyprus require the permission of the Council of Ministers to purchase immovable property in Cyprus.

• Only under exceptional circumstances will permission be granted to buy more than one property. (There is a way around this, discuss with lawyer)

• Non Cypriots/residents are not allowed to rent their property to tourists but may rent them to permanent residents of Cyprus

• A permanent resident is undefined as yet but previously it was someone who resided in Cyprus for more than 10 years.

• It is important you check with your lawyer any of the above regulations which are subject to change at any time.
Your conveyance contract is filed with the Land Registry within two months of being signed, thus preventing the vendor from selling the property a second time.
In terms of Mortgages, it is generally permitted to borrow up to 70% of the lower valuation and purchase price for between 5 and 15 years. The minimum loan is usually around CYP25, 000.

Title Deeds

Following the settlement of the agreed selling price, the title deeds are transferred to the buyers name as soon as they are issued from the Land Registry.

Tax Advantages

Legal safe guards – The legal system in Cyprus is largely based on the British system and safe guards the rights of purchasers in many ways. Most important, for the purchasers protection the Cyprus land registry provides a simple and effect legal "instrument specific" performance”. Once the contract of sale is signed and deposit paid, the contract is registered at the land registry. This procedure protects the ownership rights until the title deeds are issued and transferred to the buyer's name. The contract in the hands of the land registry can not be withdrawn by anyone, the property can not be leased, sold, transferred or mortgaged. The purchaser can only alter this status.

The Future Property Sale

Because Cyprus is an attractive holiday destination and secure investment option, property can easily be resold.