Cyprus has a fast-increasing rate of private residential acquisitions from buyers from many other countries. This increase in demand is attributed to many factors, including relatively low prices, the low cost of living, the hospitality of the local population, the attractive climate, safety, security and investment potential. Cyprus property is on average 25% to 50% cheaper then Spanish, Portuguese, Italian and French Properties.

Non-Cypriots are entitled to the ownership of an apartment, or a house, or a building plot of land up to approximately three donums (4,014 sq.m). International business companies can also acquire a wide range of premises for their business and for the residence of their foreign employees. Some 99% of property at present is freehold.

EU entry will in effect treat all EU nationals as Cypriots. The above restrictions will then not apply and EU nationals will not require work or residence permits.

Residence permits

Residence permits are easily attained by persons living and owning property on the Island. There are two types: Temporary and Permanent.

Temporary permits are granted by having a Cyprus bank account and a property lease or sale agreement. A temporary status is valid up to four years.

Permanent residence permits have to fulfil the above criteria and the applicant must prove that they are financially self-sufficient. Evidence of a secured income of not less then CY£5,000 per year/per couple is required.

Purchase Procedure: A simple process.

Most purchasers appoint a lawyer to complete the whole process.

(1) Application to the Council of Ministers.

The acquisition of real estate by non-Cypriots requires the approval of the Council of Ministers and an application has to be filed to the District Officer.
Details required include personal details, financial standing of the acquirer, details of the real estate to be acquired, and terms of payment.

These requirements will of course be abolished for all purchasers once Cyprus joins the EU.

The Central Bank of Cyprus will provide a certificate that the purchase of the property was paid in foreign exchange. This will be granted upon submission of the following documents.

• Contract of Sale.
• Copy of the Council of Ministers approval
• Certificate from the commercial bank evidencing the importation of foreign exchange
• Registration certificate of the property.

Again these requirements will be abolished for all purchasers once Cyprus joins the EU & the exchange controls are lifted totally.

(3) Application to the District Land Office

The transfer of ownership is affected at the District Land Office on submission of the following documents:

• Completed application form
• Registration certificate of the property
• Copy of the Council of Ministers approval
• Central Bank approval
• Evidence of payment of all property taxes to date.

This can be done in person or by appointing a third party with specific power of attorney.