Saturday, July 31, 2010



cyprus estate agents


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Acquisition of Immovable Property
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Acquisition of Immovable Property
 
Under Cyprus Law, Cypriot citizens as well as EU citizens who have their permanent residence in Cyprus can acquire any property without restrictions.
 
The residential status is determined by the district offices and is obtained when a person resides in Cyprus for a total period of 183 days per year or more.
 
Foreigners and EU citizens who are not permanent residents in Cyprus, wishing to purchase immovable property in Cyprus need to adhere to special formalities and re restricted by certain regulations.
 
  1. Restriction as to the size and type of the property. The above individuals are given permission to acquire only one of the following:
 
-          One apartment
-          One building
-          Building plot or land up to 4,014sqm.
 
For foreigners living or working in Cyprus for a long period of time, a permit to acquire a second house can be granted.
 
After the permission has been obtained and the property is registered in the name of the purchaser, there are no other restrictions for the foreigner and he can sell or dispose of the property as he wishes.
 
Approval by the Council of Ministers
 
Foreigners must obtain the permission of the Council of Ministers prior to the acquisition of real estate property.
 
Fees and Charges
 
To register the property into the purchaser’s name the following, transfer fees are payable. The amount payable is set on a sliding scale and is payable upon receipt of the title Deeds:
 

Sales Value
Rate %
0 – £50,000
3
£50,001 – £100,000
5
Over £101,000
8

 
If the property is placed in joint names (husband and wife) or two individuals, then the purchase value is split into two parts, which results in reduced fees. For example:
 

If 100,000 property is purchased
 
Property in one name
 
Up to £50,000
£1,500
£50,000 - £100,000
£2,500
Total Fees Payable
£4,000

 
If 100,000 property is purchase
 
Property in two names
 
Husband
Wife
50,000 @ 3%                                            £1,500
50,000 @ 3%                                             £1,500
Total Fees Payable £3,000
 
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