Recent years have witnessed a skyrocketing demand of high-value properties introduced to the Cyprus real estate market. The Cyprus business hub and coastal city of Limassol has seen a steep rise in the construction of high-rise buildings, residential and commercial property, with the industry being primarily supported by foreign investment and demand.
Transaction Documents
Normally, a reservation agreement is entered into between the buyer and the seller upon payment of a deposit to reserve the property until the sale and purchase agreement is finalised. The latter should contain all the necessary terms and conditions of the transaction, including, but not limited to, the description of the property, purchase price and payment structure as well as ancillary documents.
Property Due Diligence
The Buyer’s lawyers will usually undertake legal due diligence on the relevant real estate or construction and on the respective documents governed by Cyprus law. Normally this includes title and up -to -date Land Registry searches and a review of any leases on the property. The buyer may be able to terminate the deal following a specified period if it is not satisfied with the due diligence results.
Process Outline
Reservation or Sale Agreement
Real Estate Due Diligence
Stamp Duty and Tax Clearances
Submission of Sale Agreement at the Land Registry
Transfer of Title Deed at the Land Registry
Facts & Figures
Transaction Value: In 2022, the Cyprus real estate market transaction activity reached EUR 5.2 BLN in value.
Foreign Buyers: In 2022, 5,928 properties were acquired by foreigners in Cyprus.
Total Transactions: In 2022, 22,500 transactions were completed.
Disclaimer: This article is intended for informational purposes only and should not be construed as legal advice. For specific legal guidance on Cyprus legal matters, it is advisable to consult with a qualified legal professional. If you have any questions or require any legal advice or assistance, please do not hesitate to contact us at contact@kourtellos.com.