Buying real estate in Cyprus, if you are not a European citizen
What can you buy?
It is possible to buy real estate in Cyprus for foreigners, but there are some restrictions.
It is allowed to buy one property (no more than 4000 m2), it can be an apartment, a villa or a land plot. The size of the land plot should not exceed 40 ares. Commercial real estate can also be purchased, but only by a legal entity registered in Cyprus.
If non-Europeans want several properties?
It is possible to buy several properties by several family members.
What rights does a buyer of Cyprus real estate get?
After acquiring real estate (house, villa, apartment, etc.), the foreign owner has the right to obtain a visa to stay in Cyprus for more than 90 days within every six months.
Temporary residence permit is issued for a year, can be renewed.
Permanent residence permit in Cyprus is for an unlimited period of time. It is issued when purchasing a new building for €300,000 + VAT.
Follow the link to know how to get permanent residence permit quickly.
Where should you start?
If you want to find property, it is best to contact a specialized real estate agency in Cyprus. First of all, ask for a license to provide their services to protect yourself from scams and illegal realtors.
You can look for a dream home in Cyprus without any advice, but it is better to prefer the services of a realtor who knows all the features of the island's market, who can check all the documents on property, and also give advice on all the necessary issues related to the property purchase and registration.
If you do not know Greek, then this is not a problem. There are enough licensed real estate agencies in Cyprus who speak your language.
Can we do it easily and quickly?
We can. The DOM real estate agency can provide a personal assistant who will be with you at all stages of the search and purchase.
The assistant will:
- Make a list of property suitable for your requirements and budget
- Make a presentation of the property you like, organize your meeting with the seller and show the housing. (If you cannot come to Cyprus, It's not a problem. Your assistant will prepare a detailed photo report, or conduct an online video conference inside the property at any time.)
- Check if the property you like has encumbrances
- Tell you about all the pros and cons of the property you like
- Help negotiate a discount with a seller
- Make sure that the sale and purchase transaction is legal
- Help to obtain a residence permit in Cyprus.
Can I buy property in Cyprus online?
Yes, you can. Your personal assistant will help you make the transaction in Cyprus and prepare the documents for obtaining a Cyprus residence permit. You only need to come to Cyprus once to obtain a plastic card, your residence permit.
How to open a bank account in Cyprus?
All real estate transactions in Cyprus go through the bank accounts of the seller and the buyer.
Therefore, the buyer needs to prepare documents in advance to open an account at a bank in Cyprus:
- Certificate of origin of funds
- Proof of residential address
- Tax report / tax ID
- Letter from your work
After opening an account at a bank in Cyprus, maybe you need to notify your tax office. Real estate in Cyprus is not cheap, so it is important to prepare documents explaining the origin of your funds, and these documents must be translated into English (if they are not in English or in Greek).
All bank transfers over € 10,000 are subject to inspection by the Cyprus Tax Office.
Preparation of the Agreement
Before the seller's attorney or your representative begins to prepare the Sales Agreement, you must pay a deposit. The amount of the deposit usually does not exceed 1-2% of the property price. After making a deposit, the property is withdrawn from the sale and reserved for the period you have agreed. Then the process of preparing the Sale and Purchase Agreement begins, which should have all the details of the transaction, such as:
- payments terms and period
- details of seller's moving out of the property
- additional conditions
- The contract should be created in English (if you don't speak Greek fluently).
Signing of the Purchase and Sale Agreement
All parties (the seller / buyer or their representatives, a lawyer) are present when signing the Agreement.
The Agreement should be carefully read by both parties. By the time of signing the Agreement, the buyer is obliged to transfer the amount of money in the amount of at least 30% of the property price to the seller's bank account.
When signing the contract, you also need to pay a fee: stamp duty for legalizing the transaction.
Every real estate transaction in Cyprus is registered at the Land Department. Real estate transactions often take place directly at the Land Department and the agreements are immediately registered. After registering the transaction, the buyer must obtain permission from the Council of Ministers to re-register the title of owner, as we wrote above.
Until obtaining permission to get the title deed, the sales agreement protects the rights of the new owner from any illegal actions of the seller or other parties.
Obtaining a title deed in Cyprus
Usually this process takes several months, sometimes even longer... After receiving the letter with permission for obtaining, the buyer or his representative needs to visit the Land Department again, pay the transfer fee, and then obtain a new document.
The buying process does not look too difficult today, although it has become more complicated compared with how it was 10-15 years ago.
It is obvious that a foreigner cannot do everything without a competent consultant.
Do you need advice on the search and purchase of real estate in Cyprus? Do you want to get a residence permit in Cyprus? DOM real estate agency specialists provide assistance for free. Follow the link.
- How to open a personal bank account in Cyprus? (link)
- Banks in Cyprus (link)
- Documents (link)
- Permanent residence permit in Cyprus (link)
- 7 reasons why you need a real estate agent in Cyprus (link)
- Moving to Cyprus: a cheap and easy way to move your stuff (link)
- Lifehacks (link)
- 10 reasons for moving to Cyprus with children (link)
Photos: Pixabay.com, DOM LiVE