• All Houses and Realty For Lease and For Sale in Paphos, Cyprus

    Guidance

    Cyprus: buying property

    Details on laws and taxes for British nationals who wish to buy property in Cyprus.

    Introduction

    Buying property in Cyprus has a number of potential risks. The British High Commission encourages possible purchasers to work out extreme caution when buying a property if the title deeds are not easily available, as it means your property could be at risk.

    Home loan liability

    It prevails practice for designers to secure home mortgages on land or property. If you sign a contract with a developer and there is already a mortgage, loan or claim on the property, then you are likely to become accountable for that mortgage ought to the builder, designer or landowner state bankruptcy.

    You must ask your legal representative to look for mortgages put on the land through a Land Search Certificate which is gotten from the Land Computer system registry. It needs to be noted that in order to acquire a Land Browse Certificate one requires an appropriate authorisation from the Property’s owner. If you are made aware of a home mortgage before signing a contract it is not likely that you will obtain the deeds in your name up until the home loan is paid off.

    Legal representatives are not required to check for mortgages instantly, although excellent attorneys need to do this as a matter of course. In 2011 the Republic of Cyprus Government introduced a Particular Performance Law to give an agreement of sale precedence over any pre-existing mortgage however we still highly recommend that you examine no home mortgages have actually been placed on the land prior to purchase to ensure you do not encounter possible difficulties at a later date.

    See Property For Sale in Cyprus Now

    Other problems most often raised by British nationals consist of:

    • lawyers acting for both home builders or suppliers therefore not independent
    • building works taking place without the right preparation authorization or building permit (eg electricity or water).
    • variations in currency and rate of interest affecting mortgages.
    • payment plans or costs not being included in the preliminary contract.
    • trouble in obtaining certificates of final conclusion (deeds can not be issued without this).
    • trouble in acquiring title deeds.
    • trouble in acquiring redress after problems are identified.
      With all property purchases, we strongly recommend that you seek your own independent legal suggestions.

    If you have actually purchased a property or land and are encountering difficulties, you should look for qualified independent legal recommendations on your rights and techniques of redress.

    The Foreign, Commonwealth & Development Workplace (FCDO) and the British High Commission are not able to offer legal recommendations or become included with conflicts between private celebrations. Nevertheless, we direct British nationals to organisations who might be able to assist and we can raise systemic concerns, issues which affect a variety of clients, with regional authorities.

    You can examine the Association of International Property Professionals website to see if a business or legal advisor are members.

    Buying property in the north of Cyprus.

    The ownership of numerous properties is disputed in the north of Cyprus, with thousands of claims to ownership from individuals displaced in 1974. Purchase of these homes might have serious monetary and legal implications. The European Court of Human Rights has ruled in a number of cases that owners of property in northern Cyprus prior to 1974 continue to be regarded as the legal owners of that property.

    Buyers could deal with legal proceedings in the courts of the Republic of Cyprus, in addition to efforts to impose judgments from these courts somewhere else in the EU, consisting of the UK. There has been at least one successful case to implement judgments in the UK, endangering property owned in the UK.

    The leaders of both communities are presently in negotiations to try to fix the Cyprus concern. One key problem is property and the handling of pre-1974 Greek Cypriot title-owned property. Property owners and prospective buyers ought to also consider that a future settlement of the Cyprus problem could have serious repercussions for property they acquire, consisting of the possible restitution of the property to its original owner, in addition to settlement payments. In particular, potential buyers need to think about the ramifications of any future settlement on land/property:.

    • in the north of Cyprus that was owned by a Greek Cypriot national prior to 1974 * ^ that was consequently categorized as exchange or ‘present’ land/property by the Turkish Cypriot “authorities”.

    Buyers ought to ensure they are completely knowledgeable about the rules in the north of Cyprus in regard of foreigners purchasing property, consisting of the requirement to get consent to the transfer of property. Even when acquiring pre-1974 Turkish title land, you might still be declined authorization to purchase the land/property and no reason for the refusal may be provided.

    On 20 October 2006, a modification to the Republic of Cyprus criminal code relating to property came into effect. Under the modification, buying, selling, renting, promoting or mortgaging a property without the consent of the owner (the person whose ownership is registered with the Republic of Cyprus Land Registry, consisting of Greek Cypriots displaced from northern Cyprus in 1974) is a criminal offense. The optimum jail sentence is 7 years.

    The amendment to the law also states that any effort to undertake such a transaction is a criminal offense and could lead to a prison sentence of up to 5 years. This law is not retrospective, so will not criminalise transactions that occurred prior to 20 October 2006.

    Also files associating with the purchase of property in the north of Cyprus will be presumed by the Cypriot authorities to connect to the prohibited transfer of Greek Cypriot property and may be subject to confiscation when crossing the Green Line. Anyone found in ownership of these files may be asked to make a declaration to the Cypriot authorities and might deal with criminal procedures under the 20 October modification.

    Any queries relating to the scope of this law ought to be made to the Republic of Cyprus High Commission in London or to the Ministry of Foreign affairs for the Republic of Cyprus:.

    RoC High Commission London.
    13, St James’s Square.
    London SW1Y 4LB.

    Telephone: +44 (0) 207 3214 100.

    Email: cyprusinuk@mfa.gov.uk.

    RoC Ministry of Foreign Affairs.
    Presidential Palace Avenue.
    1447 Nicosia.

    Telephone: +357 22651000.

    Fax: +357 22661881.

    Task Officer: +357 99 660129 (for emergency assistance and strictly after workplace hours: 07:30– 16:00 (Monday – Friday).

    Email: info@mfa.gov.cy.

    Property owned prior to 1974.

    If you are a British nationwide and owned a property in the north of Cyprus before 1974 (or the heir of somebody conference those criteria), please contact the British High Commission by email, marking your message to the attention of the Property Officer. If you want to attempt to reclaim your property, they will be able to inspect your file and encourage on what steps to take.

    The British High Commission is not able to help dual nationals in the country of their other citizenship. If you are a double British/Cypriot nationwide you must approach your regional authorities in respect of claims for pre-1974 title deeds.

    Buying property or land in the Sovereign Base Locations (SBAs).

    Individuals considering the purchase of immovable property (such as land) in the SBAs need to be conscious that the approval of the Administrator of the Sovereign Base Locations is needed under section 3 of the Immovable Property Acquisition (Control) Ordinance 1972 for a non-Cypriot or for a non-Cypriot corporation to purchase immovable property in the SBAs.

    The requirement for approval exists whether property is presently owned by a Cypriot or a Cypriot corporation or by a non-Cypriot who has actually formerly obtained approval. Failure to obtain the permission of the Administrator indicates that the acquisition and registration of the unmovable property in question is null and void. The Administrator will give authorization only in the most exceptional scenarios.

    You must likewise know that it is an offense for persons other than “identified locals” to live in the SBAs for more than 28 days in any period of 12 months, except in accordance with a license released under that Regulation. Again, you may request a certificate of acknowledged home or a permit, but the Administration only seldom consents to approving these.

    Further info.

    A few of the problems that property buyers experience are very similar throughout Cyprus. The British High Commission is not able to get involved in individual property problems or legal conflicts, but supports community associations that are dedicated to fixing the problems of property purchasers.

    Associations.

    If the company, or legal consultant, you have actually worked with is a member of AIPP and you are dissatisfied with the services supplied, you can write to the AIPP who have a disciplinary treatment.

    Legal advice.

    British citizens impacted by property issues ought to take independent legal guidance from regional legal representatives.

    Local authorities.

    You must make a declaration to the local police if you believe that you have actually been subject to a property criminal activity. Keep in mind to obtain a copy of the declaration and request the event number. Please note, there might be a time constraint between the time of the alleged criminal offense and the time within which you make your grievance.

    Cyprus Ombudsman (also called Commissioner of Administration and Defense of Human Rights).

    The Cyprus Ombudsman acts in the service of people, including foreign nationals, in order to safeguard their rights and liberty versus actions from any Cypriot administration. The Ombudsman has the power to challenge all bodies (subject to some constraints) and authorities of the main federal government and local administrations in addition to anyone acting as representatives or collaborators of any of these administrations in the fulfilment or execution of public goals or services. Contact details are on their site.

    It is important to keep in mind that the Ombudsman might not intervene under the following situations:.

    • whenever the public administration has actually not been included.
    • in the event of disputes or disagreements between people.
    • When the resident had knowledge of the events of his complaint, after one year from the minute.
    • in case of anonymous grievances, without particular claims presenting bad faith or any claims that may harm legitimate rights of third parties.
    • in the event of non-conformity with the contents of the judicial ruling.
    • problems against legal representatives.

    Problems versus lawyers practicing in the Republic of Cyprus should be dealt with to:.

    The Cyprus Bar Association.
    Florinis 11, off.101, 1st Floor,.
    1065, Nicosia P.O.Box. 21446,.
    1508, Nicosia– Cyprus.

    Telephone: +357 22873300 Fax: +35722873013.

    Email: cybar3@cytanet.com.cy.

    Website: www.cyprusbarassociation.org.

    Problems against lawyers practising in the north of Cyprus may be made in writing to the pertinent regional ‘Bar Association’. There is a separate ‘Bar Association’ for each district.

    Initial investigations into problems take place within the appropriate district however they are then passed onto the general organisation, the ‘Cyprus Turkish Bar Association’.

    Contact information of regional ‘bar associations’:.

    • Nicosia: contact person: Arzu İzveren, e-mail: barolarbirligi@hotmail.com phone: 0090392227 73 39.
    • Kyrenia: contact individual: Gürcan Bayramoğlu, email: gurcanbayramoglu@hotmail.com phone: 0090392816 06 22.
    • Famagusta: contact person: Mine Vehit, email: mine-vehit@hotmail.com phone: 0090392366 16 88.
    • Morphou: contact person: Mehtun Muslu, e-mail: mmehtun@yahoo.com phone: 0090392714 69 93.

    Complaints against the legal system in the Republic of Cyprus

    Problems versus the legal system need to be made to the Attorney General’s Workplace:.

    Mr George L. Savvides.
    Attorney General.
    Law Office of the Republic of Cyprus.
    1403 Nicosia.
    Cyprus

    European Commissioner.

    There is a European Commissioner for Justice, Consumers and Gender Equality. Their address is:.

    Directorate-General for Justice and Consumers.
    European Commission.
    1049 Brussels.
    Belgium.

    You can discover more about EU consumer rights on their website.

    Assist in the UK.

    We have published advice(Link) on which UK authorities to get in touch with if you think you have actually been a victim of property fraud.

    When you made your purchase you might want to call the UK European Consumer Centre, if you were living in the UK. This becomes part of the European Customer Centres Network (ECC-Net) that has actually been established by the European Commission in co-operation with member states to help customers with cross-border disagreements. The UK European Consumer Centre offers information and guidance on problems with buying across borders and can arbitrate when problems emerge if they think it may assist.

    Address:.

    UK European Consumer Centre.
    Chartered Trading Standards Institute.
    1 Sylvan Court.
    Sylvan Way.
    Southfields Business Park.
    Basildon.
    Essex SS15 6TH.

    Telephone: +44 (0) 1268 886 690.

    Fax: +44( 0 )1268 582 225.

    Email address: eccnet-uk@ec.europa.eu.

    Disclaimer.

    While we hope that this information is useful, please understand that it is not intended to be the only assistance for prospective purchasers to follow when considering purchasing. In addition, we make no representation regarding the quality or precision of the details which is available at the web addresses noted in this guide, nor can we accept any duty for the content that is hosted on them. We strongly recommend that prospective buyers of property in Cyprus look for independent legal and financial suggestions at all stages of their purchase.

    The European Court of Person Rights has ruled in a number of cases that owners of property in northern Cyprus prior to 1974 continue to be related to as the legal owners of that property.

    One crucial concern is property and the handling of pre-1974 Greek Cypriot title-owned property. Property owners and potential purchasers should also consider that a future settlement of the Cyprus problem might have severe consequences for property they acquire, consisting of the possible restitution of the property to its initial owner, in addition to settlement payments. Under the change, buying, selling, renting, mortgaging a property or promoting without the approval of the owner (the person whose ownership is registered with the Republic of Cyprus Land Computer system registry, consisting of Greek Cypriots displaced from northern Cyprus in 1974) is a criminal offense. We highly suggest that potential purchasers of property in Cyprus seek independent legal and financial recommendations at all stages of their purchase.

    Related Links:

    Useful Links:

    • Caution regarding property purchases in the occupied area of Cyprus(link)
    • Living in Cyprus(link)