Legal Information

Cyprus joined the EU in 2004 & in 2009 all restrictions regarding property purchase in Cyprus for EU Citizens were abolished.

The legal system in Cyprus is based largely on the laws of the UK & safe-guards a purchaser's rights in various ways.  Cyprus is one of only 4 or 5 countries world wide to boast such an accurate & effective Land Registry System.  Once a contract of sale is finalised and a deposit is paid, the contract is registered at the Lands Registry office & a simple but effective insturment called "specific performance" is put in place allowing the purchaser peace of mind.  Specific performance protects the purchaser's ownership rights until the title deeds are issued and transferred into their name.

 Here at Cyprus Rent-Buy, with a UK law degree holder on board & over 10 years experience of the Cyprus property market, we can offer independent legal advice & ensure your contract of sale is written in a manner that provides for all your legal interests.

Financial Information

Should you decide that purchasing a property in sunny Cyprus is for you the following information is important.

Stamp Duty

A one off stamp duty is levied once a contract of sale is signed.  This is payable to the tax authorities by the purchaser:

               Property value in Euros                             Stamp duty % on property value

               up to 170 860                                                          0.15

               over 170 860                                                           0.20

Transfer Fees

The purchaser is liable for paying the following transter fee to conclude the transaction of sale, this is payable on recieving your title deeds:

               Property value in Euros                             Transfer fee % on property value 

                      up to 85 430                                                            3

                   85 431 - 170 860                                                        5   

                     over 170 861                                                            8                                                        

(these figures apply per person)

Capital Gains Tax

Capital gains tax has a rate of 20% on disposal of immovable property.  Capital gains are assessed on the sale price less the original purchase price.  Individuals are entitled to the following allowance:

• the first 17 086 euros of gains are exempt from capital gains tax (per person)
•  In the event that the property sold has been lived in for over 5 years by the owner, the first 85430 euros are exempt from capital gains tax.  However this is a once in a lifetime allowance.

Inheritance Tax

Inheritance tax in Cyprus was abolished in January 2000 making this stunning country an especially appealing place to purchase property.