About Buying a Property in Cyprus
Compared to many countries, purchasing property in Cyprus by foreigners is relatively simple and easy.
Non-Cypriots are permitted to buy for their personal use:
:: an apartment, or :: a house on a site not exceeding 3 donums (4000sq.m), or :: a piece of land not exceeding 3 donums
Permission must be sought from the Council of Ministers. This however, is granted as a matter of course to all genuine purchasers. In certain circumstances, a non-Cypriot may be given permission to own property that exceeds the restricted dimensions.
Property Transfer Fees
These are necessary in order to transfer FREEHOLD ownership to your name and this can be done as soon as the relevant Government Authority has issued the title deed and the purchase has been settled. The Property Transfer Fees are payable once only to the Land Registry Office according to the following scale:
Value of Property CYŁ
Transfer fee %
Up to 50.000
3.0
From 50.001
5.0
From over - 100.000
8.0
For example: Purchase price CYŁ85.000
1st CYŁ50.000
3%
CYŁ1500
Next CYŁ35.000
5%
CYŁ1750
TOTAL CYŁ3250 = 3.82%
Stamp Duty
The purchaser is liable for the payment of stamp duty at the rate of 1.5 Pounds per thousand up to the value of 100.000 CY Pounds and thereafter the rate is 2.00 Pounds per thousand. This duty should be paid within 30 days of signing the contract.
Acquiring the little Deed
Transfer of ownership from vendor to purchasers undertaken by a simple procedure through the Cyprus Land Registry Office, either by the buyer in person or by appointing a third party with a Power of Attorney. For the non-Cypriot, a prerequisite of registration is evidence that the property has been paid for with foreign exchange.
Additional benefits and advantages
Exceptionally low taxation
United Kingdom citizens may take advantage of the Double Taxation Treaty existing between the U.K. and Cyprus. This enables you to receive your pensions and investment income in Cyprus FREE of U.K. withholding tax. This Treaty is unique to Cyprus as it includes both public and private sector pensions. Individual alien residents are now taxed on a flat basis of 5% per annum on pension and investment income brought into Cyprus. In special circumstances exemptions totaling up to CYP 4.000 per person or CYP 8.000 per married couple may apply.
Duty Free Privileges
There is no import duty levied on cars should you choose to bring your vehicle with you, alternatively, retired couples are permitted to buy 2 duty free cars saving up to around 40% on UK prices.
Personal effects, household goods and furniture can be imported free of any taxes provided they are for personal use and are not brand new
Local Authority Taxes (Rates)
The costs of local rates in Cyprus are extremely low. They are between CYŁ30-100 per annum depending on the size of your property and are for refuse collection, street lighting etc. Refuse collections are usually twice weekly.
Family Pets
You can bring your family pet with you to Cyprus provided they have had all the required vaccinations. You are also allowed to quarantine your pet in your own home, thus avoiding the distress of 6 months away from you in kennels.
Education
There are both junior and secondary schools in Paphos of very high standards. The international school of Paphos has an excellent reputation. The school accepts day students and also has boarding facilities.
