Northern Cyprus Property Buying Guide
Freehold
When purchasing a property in Northern Cyprus there are certain regulations
and restrictions that must be taken to enable you to take the title deed (known
locally as a Koçan – pronounced Ko-ch-an) to be transferred into
your name. These include checks carried out by the Ministry of Interior and
like much of the North Cyprus bureaucracy this means delays! The transfer of
title may take 9-18 months to fully complete, this however will not affect when
you take possession of your property.
- The procedure for buying freehold is as follows:
- Select property and agree price.
- Contract to be drawn up by a solicitor based in Northern Cyprus, to include price, timescale, payment terms, specification.
- Both vendor and purchaser to sign.
- Purchaser provides deposit (the amount will vary from one property to another).
- Solicitor applies to Council of Ministers on your behalf for purchase permit (this is your permission to buy in Northern Cyprus).
- Final balance payable (new build properties will be in stage payments spread over the duration of the construction. In most cases a 5% K.D.V. (V.A.T.) will be levied on the property).
- Once purchase permit has been received vendor transfers title into purchasers name.
- Purchaser pays 6% stamp duty and 1% of the stamp duty charge is paid to the local Authority/Belediye (you may use the right to be exempt from 3% of the duty on one purchase).
- Sale complete.
Leasehold
There are a number of leasehold properties in and around the Girne
area in Northern Cyprus and the process is very similar to purchasing a freehold,
however an application is made to the Ministry of Tourism and not the Ministry
of Interior.
The procedure for buying a leasehold is as follows:
- Select property and agree price.
- Contract to be drawn up by solicitor based in Northern Cyprus, agreeing terms and conditions.
- Both vendor and purchaser sign.
- Vendor applies to Tourism Office to transfer lease.
- Purchaser applies to take over lease.
- Once purchaser application is approved, 10% deposit transferred.
- On completion, remaining balance paid to vendor and lease transferred.
- Sale completed.
Please Note: legal fees will be charged at a standard rate of £1,000 for Freehold, and £300 for Leasehold. Stamp duty for leasehold will also be a set registration fee of £500
For more information read out buying in Northern Cyprus FAQ's