On November 1, Cyprus will launch two new housing programs

On Monday, October 21, Cypriot Interior Minister Constantinos Ioannou said that on October 30, the government will present two new programs within the framework of the affordable housing project.

Their implementation will begin on the first of November.

The first plan concerns financial support for young people and couples, who will be able to take advantage of government subsidies for the purchase of their first home. The main criterion for participation will be the annual income, which should not exceed:

1. 25 thousand euros for single persons;
2. 45 thousand euros - for families with two adults or a single parent;
3. 50 thousand euros - for families of three;
4. 55 thousand euros - for families with four persons;
5. 65 thousand euros - for families with five or more members.

Potential beneficiaries will have to apply on a website set up for the affordable housing program. A special commission will decide whether the applicant has the right to participate in the program.

The second plan is to renovate vacant housing units for future rental.

This program aims to bring vacant, underutilized properties into the rental market by subsidizing the owners' repair costs. Both individuals and businesses will be eligible for the program.

Property owners who participate in the plan will receive the following benefits

1. 60% of the amount of income from affordable rental housing will be exempt from income tax as long as the property remains affordable;
2. An additional 3% exemption from the Emergency Defense Levy for all properties in the plan;
3. Increased capital allowances for as long as properties remain in the affordable rental program (% instead of the current 3%). In addition, capital allowances for equipment purchases by properties will be increased to 15% from the current 10%.

Further details of the above schemes will be announced next week. In addition, the Minister stressed the importance of simplifying construction procedures. Local authorities will now be able to issue permits for the construction of up to two houses more quickly, which will speed up the work of developers. Private surveyors will be involved in the process. The government also plans to extend the simplified procedures to other "low-risk" properties, including apartment buildings with up to 20 apartments and residential complexes with up to 12 houses.