Sale Of Immovable Property in Cyprus
Moreover, investment in land is interlinked with high social and economic status as well as financial stability and progress. Inflation, instability of monetary systems and restrictive fiscal policies of advanced economies are among the primary consequences of the recent economic crisis. Investing in real estate thus becomes highly attractive. Despite the fact that in the short term there is a softening of real estate values, land prices are essentially growing steadily in the long term.
Why invest in property in Cyprus?
Cyprus' geographic location between Europe, Asia, the Middle East and Africa, combined with a well-established legal, communication, banking and accounting infrastructure, compels Cypriot and non-Cypriot entrepreneurs to invest in real estate. Cyprus joined the EU in 2004 and adopted the Euro in 2008, two facts that have made it easier to buy and sell real estate in Cyprus. In addition, demand for real estate investments has increased. The primary advantage of Cypriot legislation is the protection of property without discrimination. In other words, Cypriots and foreigners can enjoy all the rights associated with the ownership of their property without any interference from the state or other persons. In addition, Cyprus has double taxation treaties with more than 40 countries.
Real estate sale rules:
The Sale of Land (Special Performance Act) No. 81(I)/2011 provides the necessary protection to both buyers and sellers.
On the one hand, the law provides that the buyer of immovable property can protect his interests by submitting a duly stamped copy of the contract to the Cyprus Land Registry within six months of the date of its conclusion. As a result, the provisions of the law prevent the seller from transferring the property elsewhere or accounting for it while the contract is valid and legally effective. If the seller does not transfer the property, the buyer can apply to the court for an order to transfer the property to his name.
On the other hand, the provisions of Section 15 of the Act protect the seller from any breach of contract. For example, if the buyer is late with payment or refuses to pay the purchase price or any part thereof, the seller may take legal action against the buyer. Before commencing any legal action, the seller must give the buyer written notice that if the buyer does not pay within the specified period, it will take legal action against the buyer.
According to section 3 of Law 81(I)/2011, if the property is part of a co-owned property, such as an apartment or a percentage of land, and there is no separate record in the district land registry, then all property owners must properly sign the declaration of division. Signatures must be properly verified. Subsequently, the bill will be submitted to the district land registry and will enable the sale of the property. Please note that the distribution statement will be taken into account when issuing the title deed.