Selling real estate in Cyprus is a process that requires careful approach and thorough preparation.
For the successful realization of the transaction without unnecessary delays and costs, it is necessary to collect a set of documents in advance, which will allow you to formalize all legal aspects and make sure of the legality of the transfer of ownership. Below is a complete list of documents required for the sale of real estate in Cyprus.
№1. Title Deeds
Title Deed - a document confirming the ownership of the property. This is the main and most important document confirming your right to the property. Without it the sale is impossible. Exception - new buildings at the construction stage, which do not have the appropriate document, as the document is issued upon completion of the entire project.
Construction license (if applicable). Without it, no Title Deed is available for the new building.
№2. Agreements: main and preliminary
A notarized agreement to sell is considered a tentative Contract. A preliminary purchase and sale agreement signed by both parties. It must further be notarized. The agreement often includes information about the preliminary deposit that remains with the seller if the deal is terminated.
Purchase and Sale Agreement. This document is concluded between the seller and the buyer and must be registered with the Ministry of Interior of Cyprus. It should be noted that in some cases there may be no Contract of Sale. For example, when selling secondary real estate, the main emphasis is on the transfer of Title Deed, which is handed over in the building of the Land Department on the day of the transaction, immediately after the transfer of money to the seller's account.
№3. Identity Documents
Copies of passports or other identification of the seller and buyer. The parties to the transaction must be not only adults, but also capable persons.
Tax identification code numbers (if applicable).
№4. Certificate that the real estate is not encumbered with restrictions
The documents proving that the property is free from encumbrances is an Extract from the Cyprus Real Estate Registry. This may be a report from the relevant Land Registry, confirming that the property is free from seizures, mortgages, minor owners or other encumbrances.
№5. Consent of spouse to the sale
If the property to be sold is owned by both spouses, written consent from the other spouse to the sale must be obtained.
№6. Marriage certificate
If the property was purchased during marriage, a supporting document should be attached.
№7. Proof of payment of all taxes and fees
In the event of a sale, it is necessary to provide documents proving that all taxes related to the property have been paid:
- Evidence of payment of municipal and other taxes related to the real estate. This list includes property tax and rental income, if any. Sometimes these papers have to wait up to 3 months, depending on the particular municipality in the country. A request for a statement should be made as soon as possible.
- Certificate of absence of arrears in utility payments. The seller must provide a declaration that all electricity, water and utility bills have been paid.
Transfer Fee for today's Transfer Fee taxes are paid by the buyer at the Land Department on the day of the transaction. VAT on new buildings is paid by buyers together with the purchase price or in each payment if the form is in installments. Capital gains tax is paid by real estate sellers much in advance of the transaction day.
№8. Certificates
An energy efficiency certificate is a document that assesses the energy efficiency of a building. The higher the energy efficiency, the lower the energy costs for future residents. New buildings in Cyprus have these certificates, and most often they are high categories A or B, but the buildings of the old housing stock can not often boast them. Energy Efficiency Certificate is a mandatory document since 2009, but in reality it is often neglected. Nevertheless, it is better to get the certificate in advance.
№9. Additional documents for foreigners
Permission to purchase real estate (if applicable), which is issued by the Council of Ministers of Cyprus. Wait at least a couple of months for a response to the request.
Proof of financial solvency may be required by the buyer. You just need to be prepared for this.
№10. Technical documentation for the property
This includes:
- Technical passport of the property (if available).
- Building or site plans. The building plan and building permit confirm that the building complies with all building and planning regulations in Cyprus.
- Plumbing and Electrical Inspection Certificate. It is necessary that inspections of the building systems have been carried out and the relevant certificates issued.
- If remodeling has been done, a permit must be attached.
№11. Letter from a lawyer
Confirmation from a Cypriot lawyer that all documents are in order and the transaction can be closed. Perhaps at this point you can exhale.
It is important to remember that this list is generic and depending on the specific situation, additional documents may be required. It is highly recommended to contact a qualified real estate lawyer in Cyprus, who will assist you in preparing the necessary documents and conducting the transaction in accordance with the laws of the country.
In addition to the documents listed above, depending on the specific situation, other papers may be required. For example, if the property is sold remotely through a power of attorney, it will be necessary to provide a notarized power of attorney from the owner.
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