Information for our UK Clients relating to Brexit
This summary is from an article in The Times newspaper and responds to two questions you may have now that the UK are out of the EU, although of course, little will change during the transition period until 31 December 2020.
Until the end of the transition period you may buy a home in Cyprus just as you have been able to do before without restrictions. A deal on citizen’s rights may be negotiated and come into effect before December. Experts are advising anyone considering buying a holiday home in the EU to accelerate their purchase to take advantage of existing rules because their position is likely to be protected afterwards.
UK pensioners living in Cyprus will not have their pensions frozen and will continue to benefit from lifelong uprating in the same way as pensions paid in the UK, i.e. the triple lock guarantee. This protection will also apply to anyone who moves to Cyprus before the end of 2020.
In any event, clients should confirm their individual position on these and any other issues with their legal representative.
Please contact us with any further queries you have regarding the effect of Brexit.
THE BUYING PROCESS
You are about to start one of the most important actions in your life – buying a home or maybe a plot of land. We are here to make it as easy and stress free as possible, after all, we understand the buying process here in Cyprus and will guide you through what might be unfamiliar territory.
Before beginning your property search, we recommend that you have your finance and funding arrangements agreed, at least in principle, so that you are able to move swiftly when you do find that special property. If you need some assistance with this, we can point you in the right direction.
Make an initial search of available properties to obtain an idea of the current market, then register your property requirements. We have made this as simple as possible. You can register online here, by calling us directly on +357 26 258 606 dropping us an email at firstname.lastname@example.org , or by calling into our local office in Latchi, overlooking the marina.
Once we have a clear indication of your requirements, we can start searching for that special home, whether that is from our existing property portfolio or on an on-going basis, as soon as it becomes available.
Once we have found suitable properties and arranged viewings, we will accompany you on each viewing so that we can provide you with advice and information on each property, to help you make informed decisions.
Once you have decided that you would like to make an offer, we will pass that on to the vendor immediately. At this stage you might be asked to provide some evidence that you are able to proceed with the purchase.
If you haven’t already done so, now is the time to engage a lawyer to represent your interests in the purchase. We can help if needed, we have a lawyer resident in our office to give advice and a free initial consultation.
Once your offer has been accepted by the vendor you will need to pay a refundable deposit to ensure that the property is removed from the market, until you sign a contract for the sale.
Once the immediate formalities have been completed, you will sign a contract and pay a deposit of 10% of the sale price, which will be deposited with your legal representative.
Your legal representative will check, among others, the following:
There are certain fees to be paid to the tax authorities, etc. at the time of the sale:
1. Stamp duty (paid by the buyer)
|Sale Price||Stamp Duty|
|€5,000 - €170,000||0.15%|
*Maximum duty to be paid €20,000
2. Transfer Fees (paid by buyer)
|Sale Price||Transfer Fee|
|Up to €85,000||3%|
|€85,001 - €170,000||5%|
There are certain exceptions to this, which your legal representative can explain.
3. Agreed estate agency marketing fee on the sale (paid by the vendor)
Foreign buyers of property have to obtain approval from the Council of Ministers to own property in Cyprus. This is usually a formality, but this has to be received before you pay the balance of the sale price. Your lawyer will usually deal with this for you.
Property in Cyprus is usually sold with title deeds, although it is possible to buy without these being immediately available. Again, your lawyer will explain the process.
Once the balance of the sale price is paid, your home is yours! We are here to make your move as easy as possible, whether it is with moving, utilities, Municipality matters, etc. and answering those questions that begin "how do I..."
So, are you ready to start that search of properties? Remember that we can help not only with your search for a home or a residential plot of land, but also with commercial property, industrial and agricultural land.
Cyprus offers two “golden visa” programmes through real estate investment. One for permanent residency and one for citizenship. The two Cypriot immigration investment schemes are quick and efficient at granting a residency permit and second passport, from an investment as little as €300,000. Further details are available on our Investing In Cyprus webpage
Please contact us and we can provide you with the most up to date detail of the process.