10,000 Buyers Denied Title Deeds Due to Contractors' Faults

10,000 Buyers Denied Title Deeds Due to Contractors' Faults

Thousands Remain Trapped Property Buyers in Cyprus, Unable to Obtain Title Deeds

Thousands remain trapped property buyers in Cyprus, unable to obtain title deeds. The Ministry of Interior is making corrective moves to resolve this long-standing problem.

The issue falls into three categories.

The first category involves buyers trapped due to debts of contractors, despite having fulfilled their obligations. This group, which includes thousands of buyers, presents a challenge for both the Ministry of Interior and the Parliament, as a holistic solution has yet to be found. However, steps have been taken to prevent the creation of new trapped buyers. 

The second category concerns trapped buyers who have not received title deeds due to irregularities they have committed on their properties, while the third category pertains to property owners unable to obtain title deeds due to contractors' irregularities.

The Interior Minister aims to provide a solution and grant Urban Planning Amnesty without rewarding these irregularities, allowing the first group to receive amnesty for their violations by paying a fee, while also aiding the second group, who are not at fault, in obtaining their title deeds.

For the second category, the Ministry of Interior – as previously reported by Brief – has prepared a bill expected to be submitted soon to the Cabinet, essentially abolishing the fixed fee per square meter and replacing it with a "price list" for each type of irregularity.

Regarding the third category, namely those unable to receive title deeds due to urban planning irregularities caused by contractors, the Ministry of Interior, as informed by Brief, will again proceed with a relevant bill to regulate the issue. Sources indicate that the bill's purpose is to issue title deeds without burdening the buyer but imposing a fine on the contractor responsible for the irregularities.

According to data collected by Brief, currently, about 10,000 owners have been rejected, and no title deed was issued due to contractors' irregularities.

More specifically, as per the same data, before 2013, about 100,000 applications were pending. In 2013, this number was reduced to 65,000, and further to 50,000 in 2016. By 2021, there were 20,000 left, of which 16,300 were examined. Out of these 16,300, approximately 10,000 (60%) were rejected, and no title deed was issued due to irregularities/negligence/omissions by the contractors.

Ministry of Interior: Unblocking Buyers

The Minister of Interior, Konstantinos Ioannou, in his statements to Brief regarding the Urban Planning Amnesty, mentioned that there are several cases of residential unit buyers remaining trapped without being able to acquire title deeds, due to various factors and responsibilities, either their own or the contractors'.

To resolve this problem, as the Minister states, he has instructed the Department of Urban Planning and Housing to develop scenarios, after mapping the reasons that keep buyers trapped, with the aim of finding the most suitable solution that unblocks buyers without "rewarding" irregularities.

"Our intention is to establish a financial fee for each category of urban planning/building omission, which the affected parties can pay to proceed with the issuance of the title. The philosophy of any final plan is to link the fund from the revenues of the urban planning amnesty with the state's housing policy, so that these revenues can be channeled for the benefit of eligible affordable housing recipients," the Minister concluded.

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