Cyprus, in common with most countries, regulates and controls the acquisition and ownership of immovable property by foreigners. The Cyprus legal system is primarily based on its English counterpart. Buying a home in Cyprus is not as complicated as in other countries. As a foreigner wishing to purchase land or property in Cyprus, authorisation is required from the Council of Ministers. The permission of The Council for the 'acquisition of immovable property by non-Cypriots' is obtainable in all bona fide cases, and is granted for residential properties almost as a matter of course.

"AKATHIOTIS" in co-operation with their lawyers can handle all legal formalities on behalf of their purchasers. Alternatively you can appoint your own legal advisers who will look after your interests and guide you through all the stages of acquisition. It should be noted that all properties sold by "AKATHIOTIS" are freehold. Purchasing property in Cyprus requires a contract which is thoroughly checked on your behalf by the local lawyer, whose work includes carrying out searches at the District Land Registry to check the title-deeds, planning permission, road access, water and electricity supplies, so that the eventual transfer of the property and the issue of the title-deed will be free from any hindrance.

The lawyer will also ensure that:
1. An application is made using the proper form for obtaining the permission of the Council of Ministers. The approval may take 1-2 months, but there are no restrictions on using the property until permission is granted.
2. An application is made to the Central Bank of Cyprus for an exchange control permit.
3. A copy of the contract is deposited with the District Land Registry within two months of its completion, thus creating a right to specific performance in favor of the purchaser.

This last step is required and is also a safety element for your investment. By depositing the sales contract the property is registered in your name, until the transfer of title can occur. Stamp duty is CYP1,5 per thousand, up to a value of CYP100.000 on the purchase price. For any amount in excess of CYP100.000, the rate is CYP2. per thousand plus CYP1 for depositing of the sales contract.
Following permission from the Council of Ministers and the Central Bank for your purchase, the lawyer assists for the quickest possible transfer of the title-deed through the District Land Registry. Prospective purchasers are advised that the local lawyers' expenses/fees are in the region of CYP500.
Transfer fees are payable by the purchasers on the contract price or the current market value as follows: First CYP50.000 3,0
Next CYP50.000 5,0
Over CYP100.000 8,0
Owners may bequeath their property upon their death; this is passed on to their legal heir(s). In the event of the new owners reselling their property, the Central Bank of Cyprus will allow immediate exportation of a sum equivalent the original amount imported for the purchase. The profit made on the property, can be remitted subject to a limit of CYP10.000 per annum, plus the interest rate earned during that year.

It is essential that documentary evidence such as bank statements and receipts, are retained in order to prove that the funds for the original purchase of the property were imported from abroad and paid into local accounts.
Owners are advised that there is an annual immovable property tax of between CYP2,0 - CYP3,5 per thousand of the market value of the property. In the case of individuals, however, the first CYP100.000 of the value is tax exempt.
All in all, a transfer system which is easy to comply with.