In a global environment fraught with complex challenges, development in Cyprus continues at a remarkable pace. Within this context, purchasing property on the island remains an attractive option for investors from around the world. However, before deciding to invest in property, it is crucial to understand the legal aspects involved in the purchase and the critical stages where legal advice and expertise are essential. Let’s go through the main phases of the process that a prospective buyer must follow to achieve a successful property purchase in Cyprus.

The first and most important phase is the research and selection of the property. Start by researching the Cypriot real estate market, especially in the areas that interest you. Consider factors such as local amenities, accessibility to schools, and property prices. Determine your budget and the desired type of property (apartment, house, etc.). Once you have selected the ideal property and your offer is accepted, the purchasing process begins. At this point, you will need to sign a reservation agreement and pay a deposit to withdraw the property from the market. This agreement will take the property off the market for a specified period while your lawyer conducts due diligence.

At this stage, a lawyer with appropriate experience will conduct due diligence on the property to safeguard your interests throughout the purchase process. The investigation includes examining the title deeds and other legal issues that may affect the property purchase, such as checking for any encumbrances and restrictions that may burden the property, ownership disputes, etc.

Once due diligence is completed satisfactorily, the next step is preparing the sale contract. Depending on the type of property you have chosen (e.g., a property under construction or an already constructed property with a separate title deed), the sale contract will be prepared, considering the specifics of your case.

Depending on the type of property you intend to purchase, the transfer process varies as follows:

• For properties with a separate title deed, the transfer of the title deed to your name can be immediate. This usually occurs in resale cases (a property already constructed with an existing separate title deed).
• If the property is under construction, the seller typically does not have a separate title deed for it. Once the necessary permits are obtained and all legal requirements are met, a separate title deed will be issued, and the property ownership will be transferred to your name. Until then, your ownership rights are secured by depositing the sale contract with the Land Registry.

In a successful property purchase, legal expertise is crucial. With appropriate legal support, due diligence, and ensuring the integrity of the process:

• The interests of the investor-buyer are protected in the best possible way.
• Traps and mistakes that could lead to delays and financial burdens are avoided.
• The smooth completion of the purchase is ensured, with guidance at every step of the process, from due diligence to contract signing and the transfer of the property to the new owner.

By Eleni Simillidi, Lawyer Associate Partner, Andreas Demetriades & Co LLC

Andreas Demetriades & Co LLC, with international recognition, has extensive experience and specialized expertise in representing investors in the Cypriot real estate market. Responsibly and reliably, they safely guide prospective investors through every stage of the property purchase process. [email protected]
www.demetriadeslaw.com