Even if you are buying from a property developer in Cyprus always purchase your plot of land first from the developer with a seperate contract and save money.

Why? What is the benefit?

Land transfer fees are paid only when the title deeds are transferred to your name.

When the title deeds to the plot are first transferred to your name a transfer tax is imposed.

But before a house is built on the plot, as the law stands now, you will NOT be required to pay any transfer tax on the value of the house as you did NOT purchase a plot with a building on it. Also there is no contract filed at the land registry which states that you have bought a plot and house for am X amount.

See how much you can save !!

TRANSFER FEES

The purchaser will be liable to pay the following transfer fees for the property acquired, when this is registered in their name at the District Lands office. The fees are charged on the property's market value at the date of purchase.

Value of Property Cy£ Transfer Fee Rate % on property value

Up to £50,000 3.0% £50,001 - £100,000 5.0% Over £100,000 8.0%

For example:-

Transfer fee of a property valued at CY£130,000, provided such property is in one name the transfer fee will be:-

3% for the first CY£50,000 = CY£1,500 5% for CY£50,000 to CY£100,000 = CY£2,500 8% for CY£30,000 CY£2.400 Total Transfer Fee CY£6,400

Should the property be in joint names the transfer fee will be:-

3% for the first CY£50,000 X 2 = CY£100,000 = CY£3,000 5% for CY£30,000 = CY£1,500 Total Transfer Fee CY£4,500

IMMOVABLE PROPERTY TAX