Buying Property in Cyprus as a Foreigner
Buying immovable property in Cyprus is a very popular investment opportunity for foreign nationals, exercised with legal validity and with excellent prospects for private use and investment. Our experience in this field confirms that Cyprus, having a very good geographical position, excellent climate conditions and exceptional advantages, offers foreign investors a unique opportunity to invest in real estate. In the following, we will provide a detailed analysis of the basic procedures and the relevant legal issues related to the purchase of a property in Cyprus and the granting of a permanent residence permit.
Is buying property in Cyprus as a foreigner legal?
There is no legal restriction that prevents a foreigner from buying properties in Cyprus. However, there are certain conditions for EU citizens, as set forth in the current legislation. The Republic of Cyprus, through its institutions, supports the acquisition of real estate by foreigners, subject to obtaining the necessary permission from the Council of Ministers. The process of buying a property is governed by a legal framework. It is imperative, however, that individuals work with an independent lawyer and licensed real estate professionals who have a full knowledge of the relevant legislation and procedures.
It is necessary to mention that there are different procedures for the purchase of a property by EU and non-EU citizens. The first group of citizens has the benefit of a simplified process whereas the second group is required to meet additional legal requirements. Based on our experience in this field we would like to stress that it is extremely important for the interested parties to seek the advice of independent qualified legal consultants and registered real estate agents in order to ensure the proper preparation contract signing and submission of all necessary documentation.
We assure that the purchase of a property in Cyprus is still possible for foreign nationals provided they strictly observe all local legislative provisions and regulations.
buying property in Cyprus as a Foreigner: What are the most popular places?
Our firm’s experience in Property Law gives us the ability to say that there are some outstanding locations that emerge as the top choice when buying property in Cyprus as a foreigner. Our top choice is Limassol, which is the number one choice when buying property in Cyprus as a foreigner. Limassol offers the perfect combination of sophisticated lifestyle, beautiful beaches and a strong economy. We have seen that our international clients are very interested in the luxury apartments and new developments in Limassol, which makes it the best choice to invest in. Another area that we have seen a lot of interest in is Paphos, which is an area with a lot of historical interest. Our capital city Nicosia is also a very popular area as it is a great combination of history and commerce.
In addition to its full range of property law expertise, we would like to mention the new emerging markets of Larnaca and Ayia Napa, which have been of great interest to our international clients. Each one has its own advantages and opportunities, from seaside properties to residential areas, which are able to satisfy different clients’ needs. Either our clients are looking for holiday homes or permanent residences, we can assure them that there is a vast array of properties that can meet every need and budget. We strongly recommend to our foreign investors that before making the purchase, they have the market analyzed, which we do, in order to find a property that will meet exactly their needs and investment requirements.
Buying property in Cyprus after Brexit
What about buying property in Cyprus as a foreigner from the UK following recent legislative changes after Brexit? We are happy to inform all our UK clients that, although the framework for purchasing property has been slightly changed, it remains largely available. As experts in this field, we would like to point out that UK citizens are now considered as non-EU citizens and therefore they need to obtain a special license by the Council of Ministers for the purchase of property. Although the extra procedure may cause some extra processing time, we would like to reassure you that the Cypriot government remains committed to supporting foreign investment and Cyprus remains an attractive market for UK investors.
Despite the regulatory changes, we continue to witness a great interest from the British, taking into account the excellent weather conditions, the low cost of living, and the tax benefits. We would also like to point out separately that the permanent residence through the investment in the real estate market is still a great motivator for the buyers. Our company has extensive experience in fulfilling the regulatory requirements and the British buyers can buy their property in Cyprus with confidence.
We can safely say that Brexit has introduced new parameters to the table, but has not made the Cypriot real estate any less attractive. On the contrary, it has highlighted the importance of having professional legal assistance to ensure a successful purchase.
What’s the property market like for Buying Property in Cyprus as a Foreigner?
We are glad to inform you that the Cypriot property market has shown remarkable resilience and sustainable growth having been very successful in both the residential and commercial sectors in recent years. Following an in-depth analysis, we have found that property prices in Cyprus are at a comfortable level, thus creating a great opportunity for foreign investors to enter the market. We have seen with great interest that the most popular areas, such as Limassol and Paphos, have made significant progress in terms of property transactions due to significant foreign investment and our economy’s strong recovery. It is worth mentioning that these market conditions are also supported by Cyprus’ high standard of living and its favorable tax system, which we know are crucial factors for our clients in their investment decisions.
Foreigners Account for 47% of Total Property Sales in Q3 of 2023
As of Q3 2023, the Cyprus property market saw a 19.3% jump in real estate transactions compared to the previous year, with foreign buyers accounting for 47% of total property sales.
Property, as we see it with our professional eye, offers a broad spectrum of investment choices, from luxury villas to affordable apartments, and thus covers the needs of our esteemed clients. We should however point out, with our practical solutions, that the necessary due diligence and the right real estate professionals should be consulted in order to find the best investment opportunities. Based on our experience and the analysis we have made, we can say that the Cyprus property market is steadily moving forward, and therefore, it has great potential for capital appreciation and rental income.
For all our esteemed clients who are considering buying property in Cyprus, we suggest that the current market is the right time to explore all the options available.
Obtaining a Mortgage When Buying Property in Cyprus As a Foreigner
Obtaining a mortgage when buying property in Cyprus as a foreigner is a simple but planned procedure, in which our company has many years of experience in representing both local and foreign clients in the matter of the financing of their property. The banks of Cyprus operate legally and with responsibility and provide flexible mortgage solutions, always acting legally and responsibly with the interests of the client in mind. It is worth noting that financial institutions have strict rules as to the amount of the initial deposit, which is about 30% to 40% of the value of the property, and our experienced legal team will provide militant representation in the matter.
Additionally, the procedure for purchasing a mortgage is quite complex, requiring special attention to the documentation that is required. We assist our clients in preparing and presenting all necessary proof of income and identification documentation with the utmost professional diligence. Our priority is to face each case and each client with respect, explaining and presenting all financial implications, including property transfer fees, taxation matters and the respective fees, taking into account that our clients are always informed. We place great importance on the provision of practical solutions through consultation with financial experts and property experts, thus comparing the various mortgage products available in the market. Thanks to our personalized treatment and our extensive experience, we make your property investment journey successful. We always act with legal validity and in the best interest of our client.
Buying Property In Cyprus & the Permanent Residency by Investment Programme
The Republic of Cyprus is acting with legal validity and responsibility towards the Permanent residency by investment programme, for foreign nationals to acquire residency status in our jurisdiction through the purchase of real estate. The programme is being implemented in a transparent and methodical manner and requires a minimum investment in real estate worth €300,000, being at all times, legally valid.
Argentoula Ioannou LLC is willing to accompany our clients through this programme which has been developed with the utmost care in order to attract foreign capital and to provide a structured path for non-EU citizens to reside in Cyprus. The process of application which we handle with great professionalism and attention to detail is simple, and the successful applicant will have the opportunity to enjoy a number of benefits, including the fundamental right to reside, work, and study in Cyprus.
Buying a Property in Cyprus Gives is an Excellent Flexible PR Solution
In addition, we would like to point out that this permanent residency program, as a clear example of the jurisdiction we belong to, having the emphasis on practical solutions, does not impose on the holders of the program any significant obligations of stay and is considered as an excellent choice for clients who desire a flexible lifestyle. In the interest of our clients we emphasize that the investor can enjoy rental income from his properties and at the same time enjoy the rights of residency.
The program has been very successful among global investors due to the favourable conditions and the high standard of living that Cyprus offers. If you are considering a move or investment in Cyprus, our experienced legal team will be happy to provide you with full guidance on the permanent residency program, so that our clients are fully informed and can take advantage of the benefits of property ownership in our jurisdiction.
Additional Cyprus Residency Permits
In addition to our permanent residency and citizenship by investment programs, Cyprus has a range of other residence permits for various requirements. Such as applying for a temporary residence permit to stay and look for work or study in Cyprus. This selection is especially attractive for those who want to try out living in Cyprus before they make a long-term decision. Retirees and financially independent people could also benefit from a residency permit without needing to purchase property.
Different types of residence permits require documentation that can range from proof of income to health insurance, to accommodation arrangements, etc. A knowledge of such rules and regulations is essential for a hassle-free application process. An immigration lawyer can help clarify eligibility and required documentation. Cyprus also has a number of residence options and is increasingly popular with expats.
