Your free guide to Purchasing A Property In Cyprus
A Guide To Purchasing A Property In Cyprus by Cyprus Apartment Rentals And Sales
Church at Ayia Thekla near Ayia Napa
This brief guide outlines what we consider to be the most important aspects of purchasing a property in Cyprus.
It is in bullet form for easy reading and we would be happy to answer any questions you may have on purchasing a property in Cyprus.
- Ensure you are aware of ALL the buying costs and obtain fixed prices from your solicitor.
- NEVER EVER use the solicitor recommended by the property developer or seller (we can recommend reliable, independent, solicitors that will represent you).
- Choose your location carefully, investment properties don’t normally make good permanent homes (noisy holiday makers etc) and vice versa
- Mortgages are generally easier to obtain on off plan properties and require lower deposits than resale properties.
- It is normally easier to use the bank (BUT NOT SOLICITOR) chosen by the developer for your mortgage as any other bank will require a guarantee from the developer which you would pay for
- Ensure the contract of sale allows for a full refund if you are unable to obtain a mortgage.
- Ensure the contract of sale has a penalty clause for late delivery by the developer and a fixed timescale for submission of title deeds.
- Resale properties with title deeds offer less risk than off plan properties or resale properties without title deeds.
- The majority of the VAT should be available for reclaim on off plan properties if it is to be your main residence.
- Don’t be persuaded to buy a property solely on the basis of a proposed attraction for the area (Golf Course, Marina, F1 Motor Track, Disney Theme Park etc) as things mover very slowly in Cyprus and the attraction may never be built.
- DO NOT buy in Northern Cyprus unless you are prepared to lose 100% of the property cost.
- Think long and hard before selecting a mortgage in a currency which is different to your income currency as many buyers have lost heavily with Swiss Franc mortgages in recent years.
- Ensure the contract of sale includes a full specification with property sizes, materials to be used, communal facilities and management charges etc if it is an off plan property.
- Check out completed properties by your chosen developer and preferably two or three years after they were completed as many development quickly show their age if they are not adequately maintained.
- It is currently a buyers market the world over, haggle with the seller and get the developers to agree to extras such as air con in all rooms, white goods, central heating (if you plan to live in the property all year round) and furniture packs etc.
- In addition to obtaining the lowest possible price negotiate hard on the payment terms, minimal (refundable) reservation fee, low deposit and lowest possible stage payments for off plan properties
- The contract of sale should also include a provision for withholding the final payment until snagging is complete and a retention (say €2000) until title deeds are obtained by the developer.
- Check what guarantees are being offered with the property.
Purchasing a property in Cyprus is seldom trouble free, especially if you use the solicitor recommended by the property developer or seller. The position with title deeds is far from satisfactory and hopefully this will improve over time. Cypriots are however quite used to buying properties without title deeds so it doesn’t have to be a major problem for you. Please retweet this page to your Twitter followers by clicking the Tweet icons in the sidebar and footer.
If you require details of our available properties or have any questions about purchasing a property in Cyprus please email us at: email@example.com
You can also download the July 2015 updated PDF copy of this guide from buying a property in Cyprus
References: purchasing a property in Cyprus