Buyers Information when Buying Property in Cyprus

At Investia we can advise you on the most practical and efficient way of purchasing your home, ranging from arranging mortgages & loans, opening bank accounts, insurance policies to advising on tax duties & payments.  Below is a guide to additional fees to consider when buying property in Cyprus and information on mortgages.

Additional Fees
In addition to the cost of the purchase of your home, the following costs will apply:

Stamp Duty - After the signing of contracts the purchaser is required to pay a one off stamp duty. The rates depend upon the contractual purchase amount and are due within 30 days of signing the sales agreement. On a purchase of up to CY£100,000, it is 0.15% and 0.2% on any purchase above CY£100,000.

Transfer Fees – Transfer fees are paid when the acquired property has been registered in the purchasers name at the Land Registry Office. The amount paid is dependent upon the market value of the property on the date of purchase. The following rates apply: 

Up to £50,000      – 3%,
50,001 – 100,000 – 5%
Over 100,000       – 8%. 

Immovable Property Tax – This is an annual cost which the registered owner is responsible for and is only paid after the title deeds have been transferred into the names of the purchasers. It is based on the value of the property from 1st January, 1980. Property valued below CY£100,000 is exempt from property tax. Above CY£100,000 the following amounts applies:

100,001 – 250,000 - 0.25%
250,001 – 500,000 - 0.35%
Over 500,000         - 0.40%

Capital Gains Tax  - The first CY£10,000 – CY£50,000 in a private sale is exempt after that Capital Gains Tax is levied at 20% on gains arising from the disposal of a property. 

Lawyers Fees – Fees can vary dependent on the amount of work entailed in the purchase. As a general rule it will be approximately 1 – 2% of the purchase price.

Council of Ministers application - All non-Cypriots will need permission from the Council of Ministers to buy property in Cyprus. This costs approximately CY£200.

Estate Fees – These will be dependent on the amount of work carried out by your lawyer.

Other expenses - Local Authority Tax ranges between CY£30 – CY£100 per annum and is dependent on the size of the property. This payment also covers the cost of garbage disposal and street lighting. Communal expenses may be required if you have purchased a property with a communal area or pool. Fees will vary between developments are used for the general maintenance of shared areas.