Cyprus’ geographical location between Europe, Asia, the Middle East and Africa, along with strong legal, banking and accounting infrastructures, urge local and foreign entrepreneurs to invest in real estate. A considerable advantage of the Cyprus legal system is the protection of property without discrimination. That is, according to the Cyprus Law, Cypriot citizens and foreigners can enjoy all the rights associated with the ownership of their property without any intervention of the State or of the people. Furthermore, Cyprus has been an EU member state since 2004 and adopted the euro in 2008. As a result, acquiring real estate in Cyprus became easier.

Cypriots and EU citizens:

According to the Cyprus Law, Cypriots and EU citizens Cyprus can acquire any property without restrictions.

Non-community citizens:

For non-EU citizens, there are restrictions on the type and size of real estate they can buy. Precisely, non-EU citizens can purchase a house / flat / plot / land of up to 4,014m2. It should be noted that non-EU citizens can also buy a store on the condition that the store is used for commercial purposes only. Furthermore, it should be noted that Cyprus companies whose shareholders are not EU citizens can obtain business offices and residency for their foreign employees, as they maintain a full-fledged office.

According to the provisions of the (Foreign) Real Estate Acquisition Act (Cap 109), non-EU citizens wishing to purchase real estate in Cyprus must submit an application to the district office of the district where the assets are located. goods.

The Applicant must submit together with the Application the following documents / details:

• Completed and signed Comm Form 145

• Sales contract

• Financial condition (ie a bank statement)

• Details of the property and current owner

• The payment conditions and the form of acquisition.

• A copy of the passport of the applicant and the spouse. In case the spouse does not have the same last name as the applicant, a marriage certificate must be presented.

• Copies of government survey plans

The approval / rejection letter from the District Office may take approximately up to six months. However, the Applicant may meanwhile process the real estate that he has purchased.

Transfer of ownership:

The transfer of ownership of real estate is carried out in the Department of Lands and Studies. The following documents must be submitted:

• Application form N207;

• The real estate registration deed;

• Copy of the District Office approval;

• Proof that all property taxes have been paid;

Fees and charges:

When a buyer registers the property in his name with the District Land Office, he must pay the corresponding transfer fee, which is calculated based on the market value of the property at the time the contracts are signed. For more information, see Table 1.

Property value in euros / Transfer fee (%)

Less than € 85,430.10 / 3

€ 85,430.10 – € 170,860.14 / 5

More than € 170,860.14 / 8

Table 1

Real property tax:

According to article 3 of Law 24/1980, the owner of a property is obliged to pay an annual property tax as illustrated below.

Value (€) / Annual tax (%)

Less than 40,000 / 0.6

40.001-120.000 / 0.8

120.001-170.000 / 0.9

170,001-300,000 / 1.1

300.001-500.000 / 1.3

500.001-800.000 / 1.5

800.001-3.000.000 / 1.7

More than 3,000,000 / 1.9

Bell duty:

Generally, the buyer is obliged to pay a stamp tax of 0.15% of the property’s value up to € 170,860.14 and 0.20% for more than € 170,860.14. The contract must be sealed within 30 days of signing. It should be noted that if you do not pay the stamp tax on time, you will have to pay the stamp tax plus a penalty.

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