PURCHASE OF IMMOVABLE PROPERTY IN CYPRUS.

Introduction

Purchasing property in Cyprus is governed by regulations set out by the Council of Ministers.While every effort has been made to provide in this article accurate information it is advisable to check the regulations with the Government authorities as changes can be made from time to time. Further information on the subject may be obtained from Headquarters, Lands and Surveys Department, Ministry of Interior, Republic of Cyprus, Nicosia, or from the District Lands Office of the district in which the property is situated.

Cypriots, Cypriot Expatriates, persons of Cypriot origin and nationals of member countries of the European Union that are permanent residents of Cyprus are allowed to purchase without restriction on type or quantity of property.

Regardless of residential status, for nationals of a country, which is not an EU member state, an approval from the Council of Ministers is required.

A permit is usually granted without difficulty to bonafide purchasers.

Nationals of non-EU member states may generally acquire one of the following:

1. an apartment
2. a house
3. a building plot
4. a plot of land not exceeding 4014 square metres
   
   
   Purchasing Procedure

   After selecting a desirable property Esperia can assist you to obtain the necessary permit, if required. A permit usually takes between three and nine months to be processed but in the meantime there is no restriction in taking possession of the property.

   Many buyers purchase a property which is still under construction and the title deeds are not yet available from the Land Office. Under these circumstances Cyprus law permits the purchaser, as security of his purchase, to deposit at the Land Office the agreement of sale within 60 days of signing it, to remain there until the final transfer of the property to the purchaser.

   The purchaser and vendor may give specific powers of Attorney to any third party to attend and effect the transfer on their behalf.

   Immovable Property Transfer Fees

   Real estate transfer tax is imposed by the Land Registry Office on the transfer of title of real property situated in Cyprus. The transferee is responsible for the payment of the tax. The tax is based on the purchase price or the market value, if higher, of the property. The rates are on a graduated scale starting at 3% for a property value up to CY£50.000, 5% for a property value between CY£50.000-CY£100.000 and 8% for a property value above CY£100.000.