1. Selection of property

• Arrangement of a property viewing trip of a duration of at least 3 - 5 days
  
  

2. Reservation agreement

• After selecting a property, the buyer must sign a reservation agreement.
• Pay a deposit for the reservation of the selected property
• With the signing of the reservation agreement, a legal check must be conducted on the property. For this purpose, the buyer must appoint a qualified lawyer to act on his behalf and study the property from a legal point of view, as well as recommend the sales contract that will protect the buyer s interests.
• Reservation deposits vary according to the price of the property and typically are 1-2% of the purchase price.
  
  

3. Opening a bank account

• It is suggested that the buyer opens a bank account with a Cypriot bank to make payments to the Seller. The lawyer will normally help the buyer in this matter.
  
  

4. Sales contract

• Once all of the above steps have been taken, the buyer and the seller sign a sales contract
• The lawyer applies to the Council of Ministers on behalf of the client to obtain permission for the purchase of the property. This procedure is required for non-Cypriot Citizens and is merely a formality.
  
  

5. Registration of the Sales contract with the Land Registry

• The contract is stamped and the stamp duty is paid
• The lawyer submits the sales contract to the District Lands Registry Office to register the property. This safeguards the buyer’s property rights until a separate title deed is issued.
  
  

6. Settlement of the property value

• Payment of the property can be made directly to the Seller’s account.  However, for off-plan properties the use of ESCROW accounts is strongly recommended as it offers a safer way of payment where the seller receives payments in instalments during the stages of the construction.
  
  

7. Transfer of the title deed

• If the seller has a title deed for the property, the transfer of the title deed to the owner's name can be done immediately. Usually, this is the case when you buy a resale property.
• If the property is brand new, normally the seller (developer) will not have a separate title deed for the property and the buyer may have to wait a few months till this is issued. Until then, the buyer's ownership rights are secured when depositing the sales contract at the Land Registry Office.
• The application to the Land Registry Office for the acquisition of the title deed is also made by the lawyer, provided a power of attorney has been issued by the buyer to the lawyer.
  

Important information:

• When you conduct a legal check on the property you are buying, the lawyer needs to investigate whether there are any mortgages on the property. If there are, then the lawyer must arrange for the waiver; an important document that makes your sales contract prevail over any existing liabilities of the seller to the bank in relation to the property. This document is vital to ensure that your property is not seized by the bank in the event that the seller goes insolvent. 

• In case you wish to apply for a reduced VAT rate of 5%, the lawyer can assist you.
  
  
• In case you wish to buy property in Cyprus in order to obtain obtain a permanent residency permit or Cyprus Citizenship, the lawyer will assist you with this procedure. For more information, please visit the relevant section on our site.