Important information related to buying property in Cyprus.

According to Cyprus Law, purchasers need a written contract of sale, which will have to be properly stamped and lodged at the Land Registry Office for specific performance purposes. This provides purchasers with the security of a legal charge over the property, which will remain up until the time of transfer of the title deed to their name.

The purchasers must lodge the contract of sale at the Land Registry within two months from the date of signing; otherwise the purchasers will not be able to specifically enforce the transfer of the property through a Court in Cyprus, but will only have a claim in damages for breach of contract, in the event that the Vendor fails to transfer title unto their name.

Non-EU Nationals are restricted as to the size and type of the property (other than land) that they wish to purchase. They are only entitled to purchase one apartment, one house or a building plot or land up to 4014 sq. m.

However, a Cyprus company may also purchase premises for business purposes and for the residence of their foreign employees provided that they have a fully fledged office within the Republic. The Council of Ministers (now the District Officer) may at times approve the acquisition of a larger piece of property by foreigners subject to the land being used for tourist development and/or if this property is in an area where the State intends, to promote the tourist industry. This approach is also adopted by the Republic within the Industrial sector.

Non-European citizens and European non-residents of Cyprus must apply to the Ministry of Interior for permission to acquire immovable property in Cyprus.

Nationals of EU member states that are resident or work in Cyprus may purchase as much property as they wish. Such residence is ascertained by the local District Administration Offices.

Nationals of EU member states who are not resident and/or who do not work in Cyprus are restricted as to the size and type of the property (other than land) that they wish to purchase. They are only entitled to purchase one of the following that is to say one apartment, one house or a building plot or land up to 4.014 sq. m.

Cyprus Companies whose shareholders are EU-nationals, who live or work in the Republic, do not need a permit to own any kind of immovable property in Cyprus. If the shareholders do not live or work in Cyprus, then they need a permit to own immovable property in Cyprus.

Companies which are registered in any member state of the EU do not need a permit to own land in Cyprus but they need a permit to own a house or apartment.

European citizens can buy land without having to obtain any form of permission.

As soon as the above permissions have been obtained and as soon as a separate title deed has been issued by the Land Registry, the Purchasers will then be in a position to accept transfer of the title deed into their names.

Any company that is registered in any country of the EU and which has its registered office and/or activities in Cyprus will be allowed to purchase immovable property in Cyprus without having to apply for the above said permissions/permits.

Read more: http://www.pirilides.com/en/cyprus/practices/property-law/10