Transfer of property
The Council Of Ministers Permission
In order to transfer title deeds from the developer to the buyer you have to receive permission from the Council of Ministers after submitting the necessary application form.
Transfer
The Land Registry Office, a government department, transfers the ownership right from the vendor to the purchaser. In order for the transfer to be completed, it is necessary for the buyer to pay the Transfer Fee which is calculated as follows:
VALUE OF PROPERTY (TRANSFER FEE)
Up to €85.430 (3%)
From €85.431 to €170.860 (5%)
Over €170.861 (8%)
Note: The tax is paid only once.
Example
If the purchase price is 250,000 Euro,
A) and the ownership right is under one name, the transfer fee calculation will be as follows:
The first €85.430 -> €85.430 x 3% = €2,562.90
€85,430.10 to €170,860.14 -> €85,430.10 x 5 % = €4,271.51
Any amount above €170,860.14 -> €79,139.86 x 8 % = €6,331.18
TOTAL = €13,165.59
B) If the purchase is made in joint names, and it is above 85.430 EUR, then the amount is halved. The calculation will be as follows:
1st Buyer: €85,430.10 x 3 % = €2,562.9 AND €39,569.90 x 5 % = €1,978.5
2nd Buyer: €85,430.10 x 3 % = €2,562.9 AND €39,569.90 x 5 % = €1,978.5
TOTAL = €9,082.8
Stamp Duty
The stamp duty constitutes 0.15% up to the value of EUR 170,860. It should be paid within thirty days of signing the contract.
Example
If the purchase price is 250,000 Euro:
The first €170,860 -> €170,860 x 0.15 % = €256.29
Any amount above €170,860 -> €79,140 x 0.20% = €158.28
TOTAL = €414.57
%: per thousand
Immovable Property Tax
Owning a property in Cyprus requires annual payment tax which is approximately €50 – €250 per year depending on the size of your property. The property tax is calculated as follows:
Real Estate Price (Annual Tax)
under €170.860 (No tax)
€170.861 – €427.150 (0.25%)
€427.151 – €854.300 (0.35%)
over €854.301 (0.4%)
Capital Gains Tax
If you want to sell your property you pay 20% of the profit, as required by the Capital Gains tax. Owing a house for five years an 84,430 EUR tax- free allowance is made.