PURCHASE PROCEDURE IN CYPRUS

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Purchase procedure for buying property in Cyprus As a former British colony, Cypriot law shares some similarities with British and Irish law, although there are many more differences. However, provided that the appropriate procedures are followed and precautions are taken, buying a property in Cyprus is quite safe. First of all choose a reputable estate agent, one used to dealing with international property and one which can provide comprehensive and understandable information about the property you are thinking of buying. This is at the heart of the Prime way of doing business. If you decide to purchase a property in Cyprus, you will sign a simple reservation contract, which reserves your property for you.

A reservation contract takes the property off the market for around two to four weeks, during which time your lawyer can make all the necessary checks on the property. You pay a reservation deposit of, typically, £2,000/€3,000. During this period, your lawyer needs to make the necessary checks on the property but s/he also needs to deal with the key issue of who should become the legal owner of the property. After all the necessary checks have been carried out and providing you are satisfied, you then sign the preliminary contract and, usually, pay over a deposit of 10% of the price (on a resale property) or a down-payment of, perhaps, 30% (on a new or 'off plan' property). In the case of a new property, bought 'off plan', there then usually follows a series of stage payments as the construction process progresses. Eventually, the property is finished and a certificate is produced to say that the property is ready for handover.

You can then inspect it and identify any snagging. Once the property has been finished (or, in the case of a resale property, as soon as everyone is ready to proceed), your lawyer will arrange for payment of the taxes on your behalf and the Final Contract of Sale/Title Deed is signed. This is the document transferring the right to ownership to you. The lawyer will then arrange for this to be registered at the Land Registry. The whole process will, in the case of a resale property in Cyprus with no mortgage, typically take about 16 weeks. In the case of a property under construction, the pace is usually determined by the speed of construction – typically, perhaps, 18 months.

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