Purchase Procedure

Buying property in Cyprus is relatively easy and based on English law. A non-Cypriot can buy for their own personal use either an apartment, a house, a villa or a piece of land, and the maximum allowed area for purchase is 4,013 sq. m.

When a buyer finds the right property, they reserve it with a deposit, discussed with the owner. We kindly advise you that retaining the services of your agent or lawyer will ensure that all the necessary searches are undertaken on your behalf. These will include searches to ascertain that the property/ land belongs to the vendor that it is free of charges, that the necessary planning and building permissions exist and that the agreement you intend to sign is fair and legally correct.

Once your chosen property is reserved, your agent or lawyer will recommend an appropriate version of the sales agreement protecting the interests of the buyer to a maximum. The Agreement will be sent to you for your approval. Once you have approved the Agreement it can be signed by all parties. As the terms of the Agreement are governed by the Law of Cyprus, it is advisable that the Agreement is signed in Cyprus in order for your agent/ lawyer to ensure it is correctly executed and therefore valid.

On the same date, it is recommended to the buyer to open a bank account in a Cypriot bank in order to make payment to the seller. Your agent/lawyer will normally assist you in this matter.

Once the Agreement has been signed by all parties and the relevant payment made to the seller under the terms of the Agreement, your agent/lawyer will take it to the local Tax Office where the stamp duty will be paid and the revenue stamps placed on the original document. The stamp duty is payable within one month from the date of signing the Agreement otherwise a fine is imposed escalating day by day.
As a matter of course, permission to purchase the property in Cyprus to a non-Cypriot must be sought from the Council of Ministers, normally a formality. The application to the ministers can be made within a reasonable amount of time after the contract of sale has been signed.

Once you have paid the stamp duty, your agent/lawyer will submit the original Agreement to the District Lands Office to register the purchase. The Lands Office stamps the contract and records it in the Land Registry. This secures the buyer’s ownership until a separate title deed is issued. This can be done not later than two months from the date of signing the contract of sale. Once the contract of sale is field with the Land Registry, the buyer may apply for a transfer of the Title of the property. Acquiring the title deedfor a property in Cyprus is a simple procedure of transfer of ownership from seller to buyer. In Cyprus,property transfer fees are payable in order to transfer freehold property ownership into the name of the buyer.

For more information regarding buying property in Cyprus, you can contact our company. Our experts will answer any questions you may have.

 

More in this category: « Taxes, Permissions, Duties