Are you among the many hundreds of people who have enjoyed a vacation in Cyprus and now want to buy a property here? Here, at Anisad, we give you a rundown of what you need to do before buying a property:
Practical First Steps
Never let your heart rule your head: You may be excited about the potential of owning a home in Cyprus, whether a holiday home, a property as a rental generator, an investment, or one to live in full-time. No matter the circumstances, never let emotion get the better when it comes to buying. While a property might pull on the heartstrings, you need to keep a cool head at all times.
Stick to your budget: Too often, buyers have overstepped their budget restraints and fallen to temptation. If you can afford it, then think about it, but committing to something that is a budget booster could cause problems later.
Never sign anything: Don’t sign any papers or hand over any money without consulting your lawyer first. If the paperwork is in a foreign language, ensure that it is translated correctly so that you understand what is written on it.
Find A Reliable Lawyer
If you do intend to purchase a property in Cyprus, then it is highly recommended that you find an independent lawyer who is not related or connected to the eventual property transaction. Ensure they are members of the Cyprus Association and have professional indemnity insurance. Find out, talk to them, and agree on any fees before undertaking any work.
Check Land Registry
If you are keen on a property, you and your lawyer will need to visit a Land Registry Office and carry out a title search to ensure the property’s deeds confirm it is registered in the name of the person or entity selling the property.
A check will also uncover any existing mortgages or other claims and debts tied to the property that could cause challenges. The deeds will also set out the property’s boundaries and any rights of way that could materially affect the sale.
If you plan to do the research yourself, then you will need the permission of the property owner and requires a specific signed search form from the property owner. A search will ensure that the property is registered with the Cyprus Department of Lands and Surveys (DLS).
You can ask the seller to provide a recent Certificate of Search issued by the Land Department, or request it from the office in person. This certificate shows all the encumbrances, third party rights and encumbrances registered against the particular property.
To independently research all the details of a property, you can click to the Land Department’s e-portal. Here, you can search for a certificate of immovable property for property ownership history within a specified period.
Before you start, you will need to a CY login account. It’s a secure online personal account that gives you access to government services. To register for one, go here: register for a CY Login account.
You’ll need to ‘authenticate’ your CY Login account when you use it for the first time. This means confirming your identity with CY Login. You can do this through online banking, or via video conference/video call, or by going to a Citizen Service Centre or District Post Office.
For clarifications or support relating to filling in and submitting an online application (e-Service), you contact the Department of Lands and Registry on +357 22804900, +357 22400600, +357 25804800, +357 24803300, +357 26804160, +357 23840611, +357 22804951. Alternatively, you can email: dls_portal_helpdesk@dls.moi.gov.cy.
Payments
When the time comes to make payments, ensure that you have agreed in advance on phased payments if you are opting to buy off-plan. Additionally, hold back a percentage of the money for any snagging issues. On both points, these should be written into your contract.
Resale Property
If you are buying a resale property, locate and employ a surveyor to conduct a survey of the property for peace of mind. This should be written into the contract. If work is required, then obtain written quotes.
Permits
Ask your lawyer to double-check on building permits or planning approvals on a property of interest, irrespective of whether they are a new build, off-plan or a resale. This ensures there are no hidden nasty surprises after a sale goes through.
Also, your lawyer will need to confirm water and electricity connections are in place and legal, and are connected to the electricity grid and mains water supply.
Contract
Make sure that your lawyer oversees the contract and that it includes all the reference points, such as payment dates, penalties for late delivery, legal compliance, any cancellation and resale options, the surveyor’s input, and anything else that ensures a cast-iron property deal.
Conclusion
Having all these matters in place and addressed as you proceed, will not only give you peace of mind, but ensure that your Cyprus stay gets off to the best possible start.
