Buying real estate in Cyprus as a foreigner
Real Estate
Cyprus’ Mediterranean climate and the charm of its spectacular beaches make it an attractive base for Brits looking for a place to spend a long summer holiday or retreat in Cyprus. The process of buying real estate in Cyprus requires careful planning to avoid potential unpleasant nuances. A comprehensive guide to buying real estate in Cyprus will help you with this, because a new apartment for sale in Agios Tychon, Cyprus requires a thorough, competent knowledge of the real estate market, mortgages, commissions, and how the buying process itself works.
Moreover, it’s worth considering some of the island’s most attractive destinations, and the best ways to cover your overseas property costs, including using the Wise multi-currency account. This information can be a starting point when choosing real estate in Cyprus to buy your dream property.
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What is the Cyprus real estate market like?
The real estate market in Cyprus is divided into two key areas: the city centers of Nicosia, Limassol, and Larnaca, as well as the seaside resorts of Paphos and Famagusta, which are especially popular among foreigners who want to sunbathe. The property market in Cyprus is in much better shape than before. However, the country’s economy has become severely affected by the Covid-19 pandemic, with consequences for the real estate market. In addition, in the Cyprus real estate market over the past month, the total number of sales contracts has decreased. However, housing prices remain stable. And the consequences of the pandemic have seen the least impact on them, apartments for sale in Agios Tychon can become purchased at a good price.
Can foreigners buy real estate in Cyprus?
Yes, foreigners can buy real estate in Cyprus. In addition, it is easier to buy real estate here than in many European countries. EU citizens can buy real estate in Cyprus without restrictions. It is also possible for British citizens, but the rules have changed slightly since the UK left the EU. UK citizens find themselves entitled to buy and hold one property in Cyprus. Property – an apartment, house, dacha, or land plot with an area of no more than 4,014 square meters. In some cases, you may become allowed to buy a second property (such as a summer home).
The buying process has changed for shoppers since Brexit. When initiating a sale, you must apply to the Legislature for permission to purchase the property. The property will not become loaned to you until permission becomes granted. This is a formality, your application is unlikely to be rejected, but your legal contract should contain a clause that states what will happen if it is not allowed. It is not uncommon for applications to take months to a year. In addition, the property cannot become rented or leased, ownership rights can become purchased by unmarried couples or jointly owned.
What is the approximate cost of different properties in Cyprus?
The cost of ownership largely depends on the location of the property on the island. For example, in such key places as the capital of the country, Nicosia, and the popular wine regions of Limassol, real estate in these places is more expensive than real estate in other places. There are attractive properties all over the island, so where to buy depends a lot on your desired lifestyle.
For example, if you crave urban culture by the sea, Larnaca might just be for you. If you want to be close to the most beautiful beaches of Cyprus, Famagusta may be more than what you are looking for. Here’s an overview of some of the key destinations for British citizens. You can experience real island life. Paphos is a well-known area with a settled ex-pat community. A charming port, a historic town, beaches, and much more. There is a local international airport suitable for frequent travelers.
Famagusta – is located on the east coast and claims to have some of the best beaches in Cyprus, ideal for those who enjoy sunbathing, swimming, and water sports. The famous Ayia Napa is located nearby.
Limassol – located on the southern coast, is the second largest city in Cyprus and the capital of the Limassol region. The region became known as the center of the Cypriot wine industry. Larnaca is the oldest city located on the west coast. Culture and beach life combine to make it an attractive destination for many tourists from around the world. It is also easy to get to as it is home to a large international airport. Nicosia – The capital of Cyprus, is a lively city with its historic center, wonderful, lively shops, numerous museums, and art galleries. Nicosia can be the right choice for those who love city life.
How to buy real estate in Cyprus as a foreigner – step-by-step instructions
The process of buying a property is very similar to the process in the UK, however, there are some key differences. The most important steps:
Take out a mortgage. If you’re not buying real estate with cash, do your mortgage and loan research first to see how much your bank will lend you before you start the foreclosure process.
Hire a qualified local solicitor – ensure they are independent of the developers/sellers and estate agents involved in the sale to ensure your interests are fully protected.
Start looking for properties that match your desires and important search criteria.
Once you’ve found a property, it’s important to visit it to see if the conditions meet your expectations.
Make an offer – If you’re happy with the property you’ve found, make an offer through your estate agent.
Sign the sales contract. This contract is also signed by the seller.
Complete the sale. After approval and verification of funds, the property will become registered in your name.
How to avoid possible unpleasant nuances when buying real estate in Cyprus?
There are a few key points to consider when buying a property, you need to know exactly what to do to avoid trouble. Developers often mortgage land or property. You sign a legal contract of sale, according to which you bear full responsibility in the event of the insolvency of the organizer. Before buying land, hire an independent attorney to make sure the land is not occupied. Contact a qualified lawyer to obtain a cadastral deed from the land register.
Please note that buying real estate in Cyprus involves risks. In the north, ownership becomes often contested. With claims made by people who became displaced in 1974. Buying such property can lead to legal action. So if you are going to buy housing in the northern part of the island, we recommend that you familiarize yourself with the local market. A good lawyer can also help you purchase a property with proper due diligence.
How to take a bank loan or mortgage in Cyprus?
In case you need a mortgage to buy real estate in Cyprus, you can get a loan from a Cypriot bank. However, as risk is also important (especially with property in North Cyprus), you need a good international mortgage broker who can find the mortgage that best suits your situation. If you’re ready to apply, you’ll need to prove that you’re a low-risk borrower. Please prepare your passport as an ID. Even if you are self-employed. You must provide proof of your income in the form of a recent payslip, personal bank statement, or bank statement. Other savings must also be verified, such as stocks, bonds, pension funds, etc. Lenders must then obtain a property appraisal report. Mortgage applications become approved when the lender confirms that your finances and the property in question qualify.
Buying profitable real estate in Cyprus in 2023
Cyprus is a small state on the island of the same name. It is a popular vacation spot that attracts tourists from all over the world. The desire to buy real estate in Cyprus at a good price is a key dream for many people. Commercial real estate is a profitable investment and allows you to do business in the countryside. The apartment can become rented out or used during a vacation in a warm Mediterranean resort. Property prices in Cyprus in 2023 depend on the specific type of property. The real estate market is quite large, there are many options at attractive prices.
The real estate market of Cyprus is represented by houses, villas, apartments, and commercial buildings. If you want to buy an apartment in Cyprus cheaply, the secondary market is the best option. These are apartments, family houses, villas, and apartments. A wide selection of different types of properties at different prices allows you to choose the most suitable options that meet your search criteria. The biggest advantage is the location. The apartments are built in the most promising places. A key advantage of the secondary property market in Cyprus is that you can purchase fully furnished and renovated apartments in addition to low purchase costs. So, considering the advantages and disadvantages of buying real estate in Cyprus, this feature should become taken into account in the first place. Most often, foreigners buy apartments and houses in Limassol and Paphos.
Limassol is an excellent option for those who want to settle in this country. The city has a developed tourism sphere and the necessary infrastructure for permanent residence. Potential buyers need to know the price of an apartment in Limassol, Cyprus. Prices there are 20-30% higher than elsewhere. Property prices in Limassol start at around $65,000, with median prices in the $100,000 range and above. Another popular secondary real estate market in Cyprus is Paphos. Here you will find one-bedroom apartments for $40-45,000. However, it is worth bearing in mind that this is not the best option. The distance from the sea and the quality of repairs and equipment leave much to be desired. It should be noted that prices for renovated real estate located in attractive locations are higher than 60-70 thousand dollars.
Commercial real estate in Cyprus
Commercial real estate in South Cyprus is represented by such objects as hotels, restaurants, offices, shops, medical and wellness centers, and non-residential complexes. These types of properties are also in high demand among a wide range of investors. When buying commercial real estate, you should keep in mind that there is an opportunity to purchase a ready-made complex. This means the availability of commercial licenses, standard necessary equipment, and a developed client base.
Types of real estate in Cyprus
Villas: The island has many Mediterranean-style villas of various sizes and designs. These properties have 3-4 bedrooms, gardens, private or shared pools (depending on whether they are part of a complex), private parking, BBQ areas, and breathtaking views.
Condos: Because of their price and proximity to amenities and beaches, condos often attract couples and retirees looking for a permanent home or vacation spot. Resort apartments often have balconies with great views that provide extra space to relax. You can choose from different types of apartments, according to your wishes and financial capabilities.
Characteristics of a resort complex in Cyprus: Living in a resort complex, whether it is an apartment or a holiday home, can be a socially active experience. Shared amenities such as gardens, bars, pools, spas, seminar rooms, and gyms will allow you to meet friends in your new home. However, this sense of community comes at a price, so be prepared to pay.
Stone buildings: If you prefer a slower pace of life away from the crowds, head inland. Here you will find quiet villages with traditional stone houses with thick walls to protect you from the summer heat. Renovating a country house can be a really rewarding experience as it allows you to customize the interior to your taste and have a home with real character in a beautiful setting.
