Buying property in Cyprus is a straightforward process and as your chosen real estate agents, we will be with you every step of the way to advise you and ensure the process runs smoothly.
Before embarking on your Cyprus property search, it is advisable to take the following points into account:
- Preferred location
- Realistic budget
- Type of property and whether you prefer resale or a new build / custom built property
- Is the property for investment purposes? If so we can advise you on the best options available to you.
What happens after I find my ideal property?
- Once you have found your ideal property and negotiations have been agreed, you will need to pay a deposit, usually between 1% to 2% of the agreed price, to the owner in order to reserve the property, take it off the market and secure it at the price agreed. This is legally binding and is held by your lawyer or estate agent until the necessary checks have been made and contracts are signed.
- The relevant searches are made, contracts are exchanged and are signed by both parties. At this point the buyer pays an agreed amount, (usually between 20% to 30% of the property value), and the sale is recorded at the Land Registry. This protects the buyer and prevents the seller from reselling the property.
- And finally on the completion date, agreed as per the contracts exchanged, you pay the balance outstanding from the total purchase price and the title deed is transferred to your name. On the same day the buyer will pay the transfer fees, or VAT, whichever is applicable. The keys are handed to you and arrangements are made for the utility bills to be transferred to your name.
- Please note that title deeds are not available on the completion date for a new build / off plan property. The developer will notify you when these are ready.
Stamp Duty
This is paid once the sales contract has been signed by all parties. The costs are as follows:
- The first €5,000 = 0%
- €5,001 – €170,000 = 0.15%
- Over €170,000 = 0.20%
Example: Purchase Price: €400.000
- €5,000 @ 0% = €0
- €170,000 @ 0.15% = €255
- €225,000 @ 0.20% = €450
- Total Stamp Duty = €705
Transfer Fees
The property will be transferred into the new owner’s name and new documents (title deeds) are produced by the Land Registry Department, who will charge transfer fees based on the value of the property at the time of purchase.
- Value up to €85,430 = 3%
- €85,431 – €170,860 = 5%
- €170,861 & above = 8%
Notes: There are exemptions from transfer fees, for instance when a transaction is subject to VAT such as a new build property.
Reduced transfer fees are applied when purchasing in joint names, (i.e when purchasing as a couple).