How to purchase property in Cyprus

1. Finding the ideal property

Much information is readily available from magazines and Internet websites advertising properties for sale in Cyprus; it is very easy to get an idea of what type of property is available and at what cost before you actually start your search. There are many ways to search for properties: estate agents, property magazines and web sites. When using a local agent, make sure they are well versed with the local market.

Inter – M Properties have over ten years experience of the Cypriot market and of prices, locations and investment opportunities. Think carefully about the location and type of the property depending on whether you plan for it to be your main residence, second home, holiday home to be let out on occasion or a property to be let as an investment for the future.

Make a list of the important elements - the purchase price, the overall size and number of rooms, would you prefer a garden, terrace or balcony, etc - it will keep you and your estate agent on the right track to find your ideal property. The type of property and its condition is also an important consideration. Buying to renovate or build a new property demands careful pre-planning. Planning consent and building approval will be required.You will need the advice of an expert - an architect or surveyor.

2. Purchasing the property

Once you have found a property that is suitable discuss with the agent what offer might be appropriate and ask them to tell the vendor your offer. Once an offer has been accepted by the vendor, you will be required to pay a reservation fee. When the reservation fee has been paid the property will be immediately withdrawn from sale, thus giving you peace of mind until your lawyer is ready. This reservation fee should be paid to the agent or developer, rather than to a private vendor. You will now have up to 28 days to do all your searches and surveys and appoint a lawyer to do the legal checks and prepare and agree a contract. Your lawyer will check the title to the property to ensure that you will own what you are buying, free from mortgage, and with building license.

Inter – m Properties will help you with this entire process and if required, recommend a suitable lawyer.

3. The Sale Contract

The buyer's lawyer will normally prepare the contract of sale in English, before signing it do check that all the details and conditions are correct, such as: · Details and identities of the vendor and yourself (the purchaser)· A full description of the property· The surface area of the property and land.

4. Completion day

You will have arranged a date for completion to take place.
It is your responsibility to ensure you have the mortgage funds from the lender.
Once you know the date you will be completing on your property purchase you will need to make sure that you have a bank account open and funds are being transferred into it in time for the completion date and arrange for buildings insurance to be on risk from the date of completion.
You may also wish to insure the contents of the property and if you have a mortgage to consider Life Insurance.Property in Cyprus is Freehold.
You own the property and the land it stands on absolutely.

This applies to houses and flats (in the case of flats you own a share of the land.) Title deeds will be issued in your name after you have obtained the Council of Ministers consent.
For Europeans this is only a formality now (EU law prohibits discrimination). For citizens of other countries this can take 6 months to obtain, but is usually granted. Your lawyer will apply on your behalf. When the title deed is issued to you, you will pay Transfer Tax calculated as 3% on first CYP 50,000; 5% on next CYP 50,000 and 8% on the remainder. If buying in joint names each person has the tax on their ½ share.

5. The professionals involved with property purchase

As soon as you start thinking about buying a property in Cyprus you are going to need professionals who will help and advise you.

* The Property Consultant.

Property Consultants are usually local to an area and therefore will normally only have properties for sale within that area.In the case of Inter – M Properties our property consultants have years of experience within most areas of Southern Cyprus and we have on our books many off plan projects, apartments, villas and land right across the Island.

Inter – M Properties always set out to obtain the best possible price for the property, land, etc. A good property consultant will do their homework and find out what price the vendor will accept. They should also be able to give you an estimation of all the other fees and the property charges you will be responsible for when you are the owner.

* The lawyer.

The lawyer is a private individual suitably qualified to advice on legal matters in Cyprus.
The purchaser is free to choose their own lawyer, and will be responsible for their fees which more often than not are negotiable.

Inter – M Properties can recommend reputable Cypriot lawyers that we have dealt with over a number of years and have proven to be reliable, efficient and cost effective.

* Architects and surveyors.

An architect or surveyor should be considered if you are thinking of purchasing an older property or one that you want to renovate.
They will have experience with planning and obtaining necessary permissions and certificates, and be able to give an estimation of the cost. They should also know of reputable builders who are registered as such and who have their own insurances to cover their work.