- Research and budget: Begin by researching property listings and deciding your budget. Consider factors such as location, property type, and additional costs (e.g., legal fees, taxes).
- Engage a developer: A reputable developer can provide invaluable assistance in navigating the local market, identifying suitable properties, and negotiating terms.
- Legal assistance: Hire an independent lawyer who specialises in property transactions in Cyprus. They will conduct due diligence, ensuring the property has clear title deeds and is free from encumbrances. If you do not have a lawyer, we can refer you our expert in-house legal advisor or several other well-respected legal professionals.
- Property viewing and selection: Visit properties of interest to assess their condition and suitability. Consider future resale value and potential rental income if applicable. Our sales agents can help you identify a suitable property based on factors like location, property size, proximity to amenities, budget, etc.
- Reservation Agreement: Once you find the right property, you can sign a reservation agreement and pay a reservation fee. This step typically secures the property and takes it off the market.
- Sales Agreement or Contract of Sale: Your lawyer will draft a sales agreement or contract of sale outlining the terms of payment and conditions of the purchase. Once signed, you will pay a deposit (usually 10-30% of the property price). The contract is then stamped and sent to the Land Registry department within a period of 180 days to confirm your ownership.
- VAT: A reduced VAT rate starting at 5% is now applicable for the acquisition of new residential properties. To qualify for this reduced rate, specific conditions must be met: the property must serve as the primary and permanent residence of the applicant for the next ten years; the applicant must not have previously purchased any other residence in Cyprus with a reduced VAT rate; and the applicant must be an individual over 18 years old, thus excluding legal entities.
- Transfer of ownership: Upon completing all legal checks and fulfilling contractual obligations, the final payment is made, and ownership of the property is transferred to you.
Steps to buying property in Cyprus
Research and budget: Begin by researching property listings and deciding your budget. Consider factors such as location, property type, and additional costs (e.g., legal fees, taxes). Engage a developer: A reputable developer can provide invaluable assistance in navigating the local market, identifying suitable properties, and negotiating terms. Legal assistance: Hire an independent lawyer who specialises […]