8 Things to Consider When Buying Property in Cyprus (Checklist)

Ngenius1
3 days ago
3 min read

Buying property in Cyprus can be a smooth and rewarding experience—if you follow the right legal and financial steps from the start. Many of the problems foreign buyers encounter arise from skipping fundamental protections such as independent legal advice, contract registration, or tax planning.

This practical checklist sets out the eight most important things you must consider before committing to any property purchase in Cyprus.

✅ 1. Appoint an Independent Lawyer

Your first step should always be appointing a fully independent lawyer who represents only you.

Do not use the developer’s or agent’s in-house lawyer
Ensure the contract is drafted and reviewed in English
Your lawyer must conduct full legal due diligence before any money is paid

This single step prevents the majority of serious legal problems.

✅ 2. Never Pay Reservation Money Before Legal Review

It is common for developers or agents to request a reservation fee.Do not pay anything until your lawyer has reviewed and approved the terms.

Unprotected reservation payments can become difficult—or impossible—to recover.

✅ 3. Full Legal Due Diligence is Essential

Your lawyer must verify:

Clean title ownership
No mortgages, memos or charges on the land
Valid town planning and building permits
Issuance (or status) of the Certificate of Final Approval
That the property matches approved plans

For off-plan purchases, this step is especially critical.

✅ 4. Decide How You Will Hold the Property

You must decide whether to buy:

Personally, or
Through a Cyprus company

This affects:

Taxation
Liability
Succession
Financing
Exit planning

Professional tax advice is essential before deciding the ownership structure.

✅ 5. Lodge the Contract of Sale at the Land Registry

Once signed, the Contract of Sale must be stamped and lodged at the District Land Registry within the legal timeframe.

This protects you by:

Preventing resale to third parties
Blocking new encumbrances
Securing your right to title transfer under the Specific Performance Law

Failure to lodge the contract is one of the most serious buyer mistakes.

✅ 6. Understand the Title Deeds Position

Every parcel of land in Cyprus has a title deed—but separate title deeds for new developments may not yet be issued.

You must confirm:

Whether title deeds exist now
If not, when and how they will be issued
Whether the land is mortgaged
That your lodged contract creates a legal lien in your favour

Your lawyer must monitor title issuance until final transfer.

✅ 7. Be Fully Aware of All Taxes & Costs

You must understand all acquisition, holding and sale costs, including:

VAT (19% standard, 5% reduced subject to conditions)
Transfer Fees
Stamp Duty
Capital Gains Tax on sale
Municipal & refuse taxes
General Healthcare System (GHS) contributions on rental income
VAT on short-term rentals, where applicable

These should be modelled before you commit to purchase—not after.

✅ 8. Plan Your Exit, Inheritance & Residency Position

Cyprus inheritance law includes forced heirship
A Cyprus Will is essential when owning local property
Property over €300,000 may support Permanent Residency
Citizenship may follow after long-term legal residence

Your exit, tax and migration goals should be planned from day one—not as an afterthought.

Final Thoughts

Property investment in Cyprus offers excellent lifestyle and financial potential—but only when proper legal protection, tax planning and ownership structuring are in place. Every item on this checklist plays a role in protecting your capital, your rights and your long-term flexibility.

How Ngenius1 Helps

We support buyers with:

Independent legal and planning due diligence
Contract drafting, stamping and lodging
Ownership and tax structuring
Banking, AML and funds-flow preparation
Residency-linked property acquisitions
Title deed transfer and exit planning

Thinking of Buying Property in Cyprus?

If you would like a confidential buyer readiness review, we will assess:

Your objectives
Ownership structure
Tax exposure
Residency implications
Total transaction costs

📩 info@ngenius1.com📞 +357 22 55 27 27