Cyprus is a popular destination for sun-seekers, so it’s no surprise that many people dream of relocating to the island in the future. Thankfully, with a little forethought and the correct information, that move may be made a reality. To assist you, we’ve put together this comprehensive guide to buying property in Cyprus, which will walk you through the entire process.
Thousands of movers have used Cyprus Buying Guides’ help to purchase and relocate to a lovely new property in Cyprus. You’ll be able to avoid many of the common dangers involved with buying a house overseas if you follow our advise and engage with our trusted network of property professionals.
Should you invest in Cyprus real estate?
Are you curious as to why Cyprus is such a popular expat destination? It’s easy to see why, given the wonderful climate, lovely beaches, rich culture and history, and high quality of life. Here are some of the best reasons to buy property in Cyprus if you still need convincing.
Your viewing trip is a critical time for us to narrow down our property search. Use the free Viewing Trip Guide to ensure you’re well prepared.
The majority of the population speaks English.
Because of the island’s colonial history, a big British expat population, and a strong educational system, practically everyone you encounter in Cyprus will be able to communicate in English, even if only a few sentences. That isn’t to say that the locals won’t welcome you learning the language once you arrive. Learning a new language is also beneficial to the brain’s grey matter.
Beaches with blue flags and sunshine
The island’s beautiful beaches and sun are two of its best features: there are 49 pristine Blue Flag beaches and 3,500 hours of sunshine every year. For the majority of the year, you can enjoy the weather while spreading out your towel or relaxing on a sun lounger.
The Blue Flag status is an excellent benchmark for anyone looking for a holiday home near a beach that is guaranteed to be clean and meet certain standards, such as hygiene, sanitary conditions, safety, accessibility, and lifeguarding, as determined by the Foundation for Environmental Education (FEE).
There’s enough room for a tiny island.
Cyprus, the third largest island in the Mediterranean, isn’t recognized for its size, but it surely doesn’t lack for room. Three-quarters of the population is concentrated in the five main cities of Nicosia, Limassol, Larnaca, Paphos, and Famagusta, thanks to the country’s mountainous interior and gorgeous shoreline. Despite being only 3,500 square miles in size, this offers plenty of room to rest elsewhere in the country. In less than an hour and a half, you can drive from one side of the island to the other, yet even when the tourists arrive in the summer, you can easily find peace and tranquility only a short drive inland from the coast.
Life moves at a more leisurely pace.
When compared to the UK, life in Cyprus moves at a glacial pace. Prepare to be immersed in a pleasantly tranquil Mediterranean lifestyle if you’re tired of everything whizzing by at 100 miles per hour back home. It may take some time to adjust to this laissez-faire mindset, but you’ll soon find yourself becoming more zen.
Shopping, dining, and entertainment
The variety of food, shopping, and entertainment is one of the major advantages of living in Cyprus. The high quality of the food, as a result of the input from a diverse range of countries, ensures that there’s something for everyone, from Indian to Cypriot, Israeli to Italian — and everything in between.
There is also a greater variety of buying options, particularly for food. Cadbury’s chocolate was unavailable in other Mediterranean locations, including shops and supermarkets. Nonetheless, in Cyrpus, all supermarkets provide the greatest in home comforts. It’s a no-brainer when you add McVities biscuits and other UK-related businesses to the mix.
On the island, you may enjoy a more broad collection of performers and shows in terms of entertainment. Some UK-based performers, such as Rod Stewart tribute acts, Kylie Minogue tribute acts, the Bee Gees tribute acts, and other renowned singers, appear to be on tap for the expat population.
Possibilities for skiing
For a moment, try to shift your focus away from ideas of lounging on sandy beaches and toward shredding powder on snow-capped slopes. We’re not talking about the Alps in France or Switzerland; we’re talking about Europe’s most southerly ski lifts. Yes, you may ski in the Troodos, which is 2,000 meters above sea level. The ski season in Cyprus lasts from January to April, according to Mount Olympus. Few destinations in Europe provide the opportunity to ski in the morning and sunbathe on the beach in the afternoon.
Potential for rental income
Cyprus is a tourist attraction, with resorts routinely filled, particularly during the summer months. This is good news for more than just hoteliers, restaurant operators, and ice cream vendors. Anyone hoping to make money from their property by renting it out can count on a continuous stream of visitors. You should have no issue inviting guests to your lovely property using services like Airbnb.
To learn everything you need to know about buying property in another country, read the Emigration Guide.
There’s enough to do.
There are several events held throughout the island each year if you want to get away from the beach and frolic in the pristine waters of the Mediterranean. Here are some suggestions to start your creative juices flowing:
- Limassol Carnival: A week of exhibits, masquerade balls, serenades, and parades with floats and parties takes place in Limassol, the island’s liveliest carnival.
- The island’s most prestigious film festival, Cyprus Film Days International Film Festival, takes place at Limassol’s Rialto Theatre and Nicosia’s Zena Palace Cinema.
- The yearly presentation of a Shakespeare play by locally based actors takes place in late June in the Kourion amphitheatre.
- Limassol Wine Festival: Since 1961, tourists have been able to enjoy folk music and dancing performances while sipping local wine in Limassol’s municipal grounds.
How to Purchase Property in Cyprus: A Step-by-Step Guide
It is feasible to buy a property in Cyprus in six months with careful planning, so you may be able to move into your dream home sooner than you expect. We’ve created a timeline to assist you in staying on track for the big relocation. Setting a fixed end goal, such as the day you want to relocate, and then working backwards from there is a good idea.
There are six months left.
- To obtain an idea of what to look for, consider why you want to move, where you want to go, and what style of home you want to buy.
- Begin assembling a team of property experts to assist you with your relocation, including a lawyer, estate agent, currency specialist, and financial consultant.
- Make a budget based on your financial situation.
With only five months left,
- Begin your thorough search for a home.
- Open a bank account in Cyprus.
- Consider how you’ll structure your finances for any transaction and, if necessary, consult your lawyer and financial consultant.
With only four months left,
- Talk to your real estate agent about your alternatives and start planning a viewing trip.
- Meet with your team to ensure that all aspects of your property purchase are on track. Discuss your deposit and legal structure with your lawyer and a currency specialist.
There are three months left.
- Begin meeting with professionals who can assist you with the most difficult aspects of your move, such as inheritance laws and property taxes, as well as removals.
- Continue to go on viewing trips; you are not obligated to buy on your first trip; it may take two or three to discover the perfect home.
- Once you’ve located the home of your dreams, make an offer.
- To lock in a single exchange rate, talk to your currency specialist about using a forward contract.
- Get your home surveyed if necessary to identify any problems.
There are only two months left.
- If necessary, sign your reservation contract to have the property removed from the market.
- To lock in a deposit amount and begin payment, sign a deposit contract.
- While you wait for the deal to go through, finish any decorations and make sure all utilities are turned on.
- Sign the contract and make your final payment.
- Take possession of your keys and settle in—welcome to your new home in Cyprus!
What should you think about before purchasing a home in Cyprus?
There’s a lot to consider when purchasing a home in Cyprus, so think about your objectives as well as important issues like where you’ll buy and what kind of property you desire.
Consider the following:
Your goals and dreams may alter as the process progresses, but organizing your early ideas is a good place to start. These are the five basic questions you should ask yourself.
Why are you making this purchase?
So, you’ve decided to purchase a house in Cyprus, but why? Analyzing and articulating your thoughts might assist you in being more motivated and directed. Begin by jotting down your thoughts.
Some instances are as follows:
- “We want more room, more sun, and warmer weather.”
- “In Cyprus, our pension will stretch further.”
- “I want a home where I can spend special holidays with my family and friends.”
- “Now that the kids have moved out, we’re looking for a new adventure.”
- “Investing in real estate in Cyprus has a lot of potential.”
- “I never want to look back on my life and regret not making the change.”
What will you do with it?
This is essential if you want to get the most out of your property. What are your plans for it? Long weekends, three weeks throughout the summer, for investment, relocation, vacations, and then retirement? Be truthful to yourself. If you don’t anticipate you’ll be nipping down for weekends, staying further away from the airport will save you money. Why care about rental or investment potential if you don’t want other people to use it and don’t need the money?
What do you not require?
It’s good to be upbeat, but concentrating on what we can’t tolerate may be freeing as well! Wouldn’t it be a pain to have to rent a car every time you visit Cyprus? Do you prefer your own swimming pool than a sandy beach? Are you concerned that you’ll be responsible for all pool cleaning and cooking? Would you find the constant presence of tourists on your doorstep during the summer bothersome? Now is the time to declare it clearly and forcefully. You want to adore this house, so write down what will keep you from doing so, and then see if your partner or spouse shares your sentiments!
What are the essential features of your Cypriot home?
What are your must-haves and deal-breakers? Do you require a certain number of bedrooms or bathrooms? Is a pool absolutely necessary, or would a local beach suffice? Is there any outside space available? Is it critical that you be able to walk to a nearby cafe or bar? And what features would you like to see in your Cypriot home? What characteristics would make it ideal for you? Are you looking for a terrace, a garden, or a swimming pool?
How much money do you have?
There may be methods to raise more funds or even split the expenditures, but start with a reasonable budget. After all, knowing how much you can spend up front will help you to look for homes in Cyprus without pricing yourself out afterwards. It’s also important to keep in mind that you should set aside at least 10% extra for purchasing prices.
Furthermore, you should consider the fact that you will not receive the “interbank” rate promoted by banks and in publications while making financial plans. Rather, you should budget for an exchange rate that is at least a percentage point higher or lower than the current rate. Also, knowing the local market may usually save you money on a property – for more information, see our Cyprus financial guidelines and Smart’s Property Buyer’s Guide to Currency.
Where will you buy in Cyprus’s top neighborhoods?
Cyprus offers to a wide range of tastes, allowing you to discover the ideal spot for retirement, a vacation house, or a new job. Purchasing a house in a foreign country is a big decision that you’ll want to make carefully, both financially and emotionally. So, let’s take a deeper look at the various types of destinations available on this diversified island.
We’ll show you around some of the island’s regions and cities, as well as some of our favorite spots if you’re looking for anything specific.
Regions and cities
- Ayia Napa is a town in the Greek island of Ayia
- Mountains of Troödos
- Peninsula of Akamas
Guides to round-ups
- The greatest spots in Cyprus to buy a holiday property
- The greatest family-friendly areas in Cyprus
- The top spots in Cyprus for British visitors
- The greatest spots in Cyprus to retire
- The most affordable areas to live in Cyprus
- The most affluent neighborhoods in Cyprus
- The greatest views of the sea in Cyprus
Overseas property buyers continue to flock to Paphos to take advantage of the well-established expat population, one of the most beautiful harbors in the Mediterranean, and year-round affordable flights from the international airport. Following the town’s tenure as a 2017 European City of Culture, there has been major investment in the town’s infrastructure. Public spaces, the ancient commercial center, and roadways have all received upgrades totaling more than €25 million. This is fantastic news for house values and rental appeal.
Paphos has been divided into two sections. There is Old Paphos (or Paleo Paphos), which occupies the hill at the back of town, and Kato Paphos, which is the livelier, more touristy area concentrated around the harbour and seafront.
Kato Paphos is the major region of the resort for property owners looking for a handy, lock-up-and-leave holiday house in Cyprus that is close to the tourist action and easy to rent out. It’s well-known for being close to everything you’ll need for a fun-filled vacation, including groceries, restaurants, the beach and harbor, entertainment venues, and nightlife. Typical one-bedroom flats cost between €80,000 and €100,000, typical two-bedroom apartments cost between €120,000 and €140,000, and townhouses cost between €150,000 and €150,000 — not that premium options aren’t available.
With EasyJet, you may fly to the local international airport for a low price all year. You’ll be able to enjoy one of Europe’s most stunning harbors, as well as all the social activities that living among a well-established expat community brings — amateur dramatics, walking groups, art classes, golf, horseback riding, and even rugby.
Old Paphos appeals to individuals who desire a more traditional setting while yet being accessible to utilities and tourist attractions.
Paphos and its environs
Many buyers, especially those who are transferring to Cyprus, choose to visit one of the old towns buried in the hills behind Paphos. In truth, many individuals claim to own a home in Paphos, although it is unlikely to be in the resort itself.
For these customers, the beautiful Mediterranean lifestyle is created by a compelling combination of location, climate, and a more traditional way of life. Many of these villages have developed small expat populations over time, with enough amenities to offer the necessities, like as traditional tavernas and coffee shops, without jeopardizing the village’s originality.
Being above sea level means summer temperatures are more bearable and a few degrees cooler than they are by the coast. Many communities have microclimates with enough rain and subterranean water to support a wide range of fruit trees, particularly citrus, giving the area an exotic feel. Winters, on the other hand, can be bitterly cold, depending on how far inland you are.
Every type of customer will find a community in the Paphos area to suit their needs. With its own marina, Coral Bay is ideal for sea lovers and yachties. A house in the Tala area, eight kilometers inland, avoids the humidity and offers a better off-season social scene, while still benefiting from Paphos’ infrastructure and commercial center. Peyia, which is located on the slopes above Coral Bay and contains stores, restaurants, pubs, and a good bus service, has a little bit of everything. The famous Aphrodite Hills property, with its golf course, tennis courts, and spa, offers a touch of luxury.
Five or six kilometers inland from Paphos town, things begin to feel more rural; good examples include Armou village, which is still only 15 minutes from the beach, and Tala, a popular destination for expats and graced with a charming village square. Marathounda, a comparable distance inland, offers a calmer, especially traditional option.
A handful of settlements overlooking the sea, notably Timi and Mandria, run south of Paphos town, where the airport is located and home to a number of new buildings. These are five minutes from the airport, 10 minutes from town, and close to the Aphrodite Hills and Secret Valley golf resorts.
The cost of living in Paphos’ historic villages varies according on the type of property. Traditional stone buildings can cost anywhere between €100,000 and €200,000, depending on their condition and size, while more modern bungalows or small villas should cost less than €200,000. Prices for a large detached property with pool and views begin about €250,000, with lots of options above €300,000. Small apartment complexes with properties for under €100,000 can be found in the major villages.
Larnaca is a calmer and more levantine option if you prefer a slower pace of life away from expat and tourist hotspots. With its salt lake and palm trees, Larnaca could be the right destination for you. The average housing price in Larnaca is cheaper than in Paphos, Nicosia, and Limassol, in part because the city is more traditionally Cypriot than its contemporaries.
Despite not being as well-known as other towns, this charmingly compact city has everything most international property buyers want from a Mediterranean lifestyle: a city center beach backed by a palm-lined promenade, a mix of traditional and cosmopolitan influences, ancient monuments, and fascinating architecture. While strolling down the palm-lined promenade of its beach or taking in the ancient structures, property owners in Larnaca may ask why more purchasers don’t come here.
From €150,000, you may find charming bungalows or modest villas that are a little cheaper than elsewhere. Flats are also less expensive, with a two-bedroom unit costing roughly €75,000 as a reasonable starting point.
Limassol is the island’s second largest city, situated on the shores of Akrotiri Bay between Paphos and Larnaca on Cyprus’ southern coast. Visit this unique mix of modern buildings and relics from the island’s turbulent and ethnic past.
The old town’s winding lanes and the Old Fisherman’s Harbour, which make up the traditional historic centre, serve as a reminder of the town’s past. While state-of-the-art developments like the marina and Limassol Del Mar, a €350 million landmark development comprised of luxury apartments planned for completion in 2019, properly demonstrate its vibrant, modern opposite ego.
You can choose to live an active or sedentary lifestyle. There are plenty of properly skilled water sports instructors and several gyms where you may do martial arts, maintain fit, or yoga sessions for those of you who prefer action. Secretarial, teaching, administration, accounting, and management vocations are all viable options. Work in offshore corporations, primarily in the shipping and insurance industries, is also an option.
Those who prefer a more relaxed atmosphere can go for a run along the coastline, sunbathe with a nice book, or lounge in one of the many cafes drinking a hot or cold coffee or beer. Cafes are open until late in the evening, and bars, taverns, and nightclubs are open until the wee hours of the morning. Also, keep in mind that Cyprus recently legalized casinos, and there are a slew of them opening up in Limassol right now.
Limassol has a larger selection of apartments than Larnaca. Although there are some high-rise residences with prices above €3 million, a two-bedroom apartment in Pissouri, for example, may be had for €100,000.
The island’s capital, located 50 kilometers from the coast, is ideal for people who thrive in the rush and bustle of city life. If you buy a home here, you’ll have the Venetian walls of the interesting old town on your doorstep, as well as a contemporary cafe and bar scene, a Debenhams, and a Mark and Spencer. With contemporary apartment living dominating the local housing market, it’s a wonderful advertisement for modern life in Cyprus.
Museums, art galleries, and plenty of historic character may be found within the 16th-century Venetian walls of the star-shaped old town. A trip through the evocative Laiki Geitonia district will reveal small lanes packed with cafés and artist workshops.
You’ll undoubtedly also find yourself looking for the nearest Debenhams, but not only for your home-based shopping fix. Its top floor provides a spectacular panoramic view of the city and beyond the Green Line, which has divided Cyprus into Turkish north and Cypriot south since 1974.
Famagusta – Ayia Napa
The eastern vacation resort of Ayia Napa has a negative reputation due to the hedonistic excesses of certain young visitors. However, in recent years, the town has been thoroughly cleaned and is now more family-oriented. The luxury marina, for example, has 600 berths, retail outlets, and a private beach club, as well as a variety of luxury homes. The 500-meter Nissi beach and adjacent cliffs in Ayia Napa are popular with visitors and residents alike.
Property purchasers in Famagusta will be able to add rental revenue into their calculations, which is why apartments in this neighborhood are more expensive. While an investment apartment will set you back between €100,000 and €150,000, a villa should set you back between €200,000 and €250,000.
Mountains of Troödos
If you want to spend your days away from the hustle and bustle of big towns and tourist resorts, the Troödos Mountains, which rise to approximately 2000m/6500ft north of Limassol, might be the place for you. This vast swath of volcanic rock is blanketed in thick forest, giving cool, pine-scented air and peaceful settlements such as Argos, Prodromos, and Fikardou. In the winter, you can even go skiing.
Here are a few alpine hotspots to visit:
- Troödos Village: At 1,750 meters above sea level, Troödos Village is only 250 meters below Mount Olympus, the island’s highest peak, and serves as a ski resort during the winter months.
- Argos: The Pitsilia region’s main settlement is studded with red-roofed buildings, many of which are built on stilts, cupped by the mountains at the Agros valley’s head.
- Pedoulas: Pedoulas is a little village in the Marathasa Valley north of Prodromos with a magnificent painted church and dwellings that slide down the slope in a succession of terraces.
- Fikardou: The meticulously preserved village of Fikardou is a wonderful representation of a Cypriot mountain village in the eighteenth or nineteenth centuries.
- Kakopetria: This village stands on the banks of the Karyotis River and offers all of the contemporary facilities, as well as a charming old town with narrow lanes and crumbling cottages.
Peninsula of Akamas
The unspoiled Akamas Peninsula is a world away from the southern coast’s hustle and bustle. It is located in the island’s northwesternmost point, with a densely forested headland separated by a series of high hills. Akamas, the fabled home of Aphrodite’s fountain, has gorges and deep forest that are entirely inaccessible by road, making it a haven for outdoor enthusiasts and one of Europe’s most biodiverse places. As you approach the stunning blue waters of Cape Arnaoutis, the landscape flattens out.
One of the primary attractions is Lara Beach, a stretch of golden sand only accessible by foot, bike, or boat and home to a loggerhead turtle colony. Despite this, the big resorts of Paphos and Limassol, with all their amenities and services, are only a 50-minute drive away.
Peyia, or Pegeia, is the peninsula’s southernmost settlement and the most popular among British property purchasers. From its hilltop vantage point, you can view all the way to Coral Bay. There are various tavernas, meze houses, and cafés along the main route, with more options in Kathikas. You have a butcher, baker, and grocer right on your doorstep in terms of services.
The environment is warm and bright enough that the community is surrounded by banana plantations! Lower Peyia is closer to the shore (though nothing is more than a few minutes away!). There are a lot of huge villa complexes in the area that are popular with international purchasers. Townhouses start at roughly €150,000 and detached residences start at around €250,000.
Poli Chrysochous, located on the northern coast of Cyprus’ Akamas Peninsula, calls itself “Cyprus’ best-kept secret.” It stands on the Laomas-Akamas wine route and features a Blue Flag beach that is largely free of crowds even in the summer. The major gathering spot is the main square, where you may sit outside and sip a drink on long summer evenings. In the summer, ‘Music under the stars’ brings live concerts to the town, while the annual flower festival welcomes May with a blaze of color.
Villas range in price from roughly €210,000 to €600,000 or more. Semi-detached residences may be bought for as little as €110,000. Many of the houses in Neo Chorio, or the newest portion of town, enjoy spectacular views down to the sea.
Latsi or Latchi is located directly on the beach, with a newly renovated harbour and marina, as well as several great fish restaurants — locals claim that the hamlet serves the best seafood on the island. If you’re looking for a little extra pampering, there’s a five-star spa that Condé Naste ranked the “5th Best Overseas Spa.”
While few villas are available for around €200,000, the majority of the market is made up of swanky modern residences priced between €500,000 and €2,000,000.
Drouseia, or Droushia, is a famous mountain riding and trekking destination in the Laona highlands. It gets its name from the cooling wind it gets in the summer, thanks to its greater altitude than many of the peninsula’s inhabited areas.
It’s a primarily ancient village, centered on the religiously significant Agios Georgios Nikochilitis Monastery, with stone-built homes typical of Cyprus’ highland regions. It’s becoming known as an agrotourism hotspot, making it an ideal site for starting a vacation rental business. Detached houses, which account for the majority of the housing stock, often sell for €220,000 to €340,000.
Getting to the Akamas Peninsula from the United Kingdom
Akamas, like the rest of Cyprus, is easily accessible from the United Kingdom. Paphos Airport is about forty minutes away and has flights to most major cities in the UK and Ireland. Buses run between Paphos and Polis (which isn’t usually the case in rural areas!). If you’re looking for a vacation house rather than a permanent residence, it’s a fantastic combination of convenience and peace and quiet!
The greatest spots in Cyprus to buy a holiday property
Cyprus enjoys temperatures of up to 25°C long after summer in the UK has ended. It’s no surprise that over 65,000 British expats live here, with one out of every ten owning a vacation house. If you don’t want to live in a foreign country full-time but yet want a sunny getaway, Cyprus is the place to go.
Although the land is all on the Cypriot side, this small village is located partially in Cypriot territory and partially in the British Overseas Territory of Akrotiri and Dhekelia. With an old castle and a tiny historic center, it is noted for its history. On the outskirts, as well as in the neighboring villages of Episkopi and Erimi, there are numerous modern structures.
The closest beach is in Kourion, which is about a ten-minute drive away. Although it is legally British territory, unless you are arriving from Turkish-controlled Cyprus, you do not need to present your passport. In 40 minutes, bus 17 will take you to Limassol, or 15 minutes if you drive.
For roughly €300,000, you can get a three-bedroom resale property with a pool. You should expect to pay roughly €240,000. for villas or townhouses without a pool.
Among expats, Peyia is very popular. It includes a tiny, crowded downtown area with all of the essential services and entertainment options, including restaurants, bars, banks, and two huge Philippos supermarkets. Coral Bay, which is close by, boasts a beautiful location with a sandy beach.
Many of the homes here are fairly spacious, with plenty of outdoor area. Many are specifically designed to appeal to expats or foreign citizens. Townhouses with two bedrooms sell for roughly €150,000, while three-bedroom villas cost over €300,000.
Another little community with a beautiful coastal position, this one is more tourist-oriented. It overlooks Governor’s Beach, one of the island’s most beautiful stretches of sand. Although it is quieter in the winter, Limassol is only a 20-minute drive away (or an hour on the 90A bus). As a result, you can still get to shops, services, and entertainment with ease.
The historic village’s nucleus is made up of a few traditional stone-built dwellings. In restored condition, they retail for roughly €250,000. Otherwise, modern homes start at €200,000 and go up to €350,000 or more for a pool and a view of the sea. It might cost over €1,000,000 to be right on the beach.
This lovely village, located in the Greek-Cypriot portion of Famagusta, is in one of Cyprus’ greatest locations for winter sun. It boasts charming little lanes and buildings made of the honey-colored stone native to the area. Although it is significantly inland, the surrounding beaches of Trinity and Kalamies are only a short distance away. Pantachou and Ammos Kambouri beaches are also just a short drive away.
Because it is a rather large town, there is a wide range of property available. Two-bedroom townhouses can be purchased for as little as €150,000, while one-bedroom apartments can be purchased for as little as €65,000.
Lefkara is one of Cyprus’ most well-known villages, noted for its lace industry and charming old buildings. The majority of settlements in Cyprus are modern, although there are a few renovated stone houses here. Most attractions are open all year as a favorite tourist destination among Cypriots.
Because of the greater elevation, it is a little colder in the winter, which is ideal for hiking in the neighboring mountains. Renovated three-bedroom residences are available for roughly €145,000.
Polis, or Polis Chrysochous, is a naturalist’s paradise. The Akamas Nature Reserve and Paphos Forest are both nearby. Several magnificent beaches may be found in the fishing communities of Latchi and Limni. Latchi Beach also has a marina and is a sailing hotspot in the area.
For around €225,000, you can discover some truly exceptional detached homes with a swimming pool and grounds. The main benefit is that you are further from the major cities. Paphos is a forty-minute drive away or an hour away by bus 645.
The greatest family-friendly areas in Cyprus
Cyprus is well-known for its love of families. Locals always greet children with a friendly greeting, and they frequently give them a sweet gift in restaurants. So, if you’re looking to buy a vacation property, where are the greatest places for families to go?
Paphos and Limassol are two cities in Cyprus.
Limassol and Paphos are famous holiday destinations, particularly among the British. There will never be a dull moment here.
The sandy beaches and the beautiful blue water are, of course, the biggest attractions for youngsters. The sea is deep enough to be safe, tranquil, and pleasant in the hot summer months. On the sand, you’ll see kids of all ages enjoying beach activities, and you may join in with volleyball or tennis games as well. There is also a free outdoor Olympic-sized swimming pool near Tasoudi Beach in Limassol. You can also visit one of the hotels to use their swimming pools if you like.
Watersports are activities that involve the sea and sand. With UK/USA professional instructors, your children can learn surfing, sailing, canoeing, wind surfing, and scuba diving. If you’re only in Cyprus for the holidays, your children can pay to attend “summer schools.”
You’ll find age-appropriate activities with good training and supervision for children of all ages. Musical theatre, tennis, football, volleyball, dance, ballet, street dancing, canoeing, kayaking, boxing, and swimming are just a few of the activities available. Your children will make new friends and interact with the neighborhood kids.
Getting there: Paphos Airport is 20 minutes from Paphos and 50 minutes from Limassol by vehicle. Larnaca Airport is 45 minutes by vehicle from Limassol and 1 hour 25 minutes from Paphos.
Prices for three-bedroom villas with a pool start at €340,000. €145,000 for a two-bedroom apartment with a pool.
Larnaca and Ayia Napa
Ayia Napa is the place to be for those of you with teenagers. The sand and the sea are present in Ayia Napa, as they are in Limassol and Paphos, but there are also nightclubs and cafes catering to youths and young people. So your kids can tan and swim throughout the day and then dance and have fun in the evenings. In the meanwhile, they can visit cafés – most local youngsters frequent chain cafes such as Costa Coffee or Starbucks (these are island wide).
Some hotels host football or tennis coaching academy sessions with Premier League players such as Rio Ferdinand, Wes Brown, and others (these courses are also available in Limassol). On the island, Liverpool Football Club also maintains its own youth academy.
Larnaca is a new town on the horizon. It has recently been modernized, and it now boasts a brand-new marina, which hosts a variety of activities. It is also located on the coastline, and there is a strong focus on water sports, particularly boating and yachting. There are funfairs and a touring circus that arrive every summer, same like in Limassol.
Getting there: The Larnaca Airport is about a 20-minute drive away. By driving, Paphos Airport is 2 hours distant.
Price range: €260,000 for three-bedroom residences with a pool. €100,000 for a two-bedroom apartment with a pool.
You can make Platres your home base if you like quiet surroundings and cooler temperatures. This is a popular major community near the Troödos mountains that is also about 20–30 minutes from Limassol. Local walks and cycling trails with nature trails can be found in Platres. You can also go to Limassol or Paphos on a daily basis to take advantage of the activities available. Local eateries in Platres serve ice cream that is hard to top!
The airports of Larnaca and Paphos are 1 hour and 10 minutes away by vehicle.
Price range: €300,000 for three-bedroom residences with a pool. €120,000 for a two-bedroom flat.
The top spots in Cyprus for British visitors
The decision to relocate to Cyprus is the easy part. It can be difficult to decide where you want to buy your ideal home on this beautiful island. However, there’s nothing wrong with following in the footsteps of others, so here are five popular destinations in Cyprus for British property purchasers.
We had to start with a perennial British buyer’s favorite. Brits continue to come to Paphos, where we can immerse ourselves in a well-established expat community, enjoy one of the most stunning Mediterranean harbors, and fly in and out of the area on year-round inexpensive flights from the international airport.
After being selected a 2017 European City of Culture, the town’s infrastructure has seen significant investment, and the future looks bright. Improvements to public spaces, archaeological sites, the ancient business center, and highways have cost more than €25 million. This is fantastic news for real estate values and rental attractiveness.
Peyia is located in the Paphos district and is roughly a 30-minute drive north along the coast. Property owners can enjoy the sun on Coral Bay, tee off on one of the four championship golf courses, or simply relax with a cup of coffee in the town’s cobbled square with its charming fountains. Its ancient whitewashed cottages are strewn throughout the mountain, providing breathtaking vistas of the glistening waters below. Because Paphos airport is only a 40-minute drive away, you may make the most of a long weekend getaway to your holiday property here.
Limassol provides citizens with the best of both worlds: a historic core and a buzzing modern atmosphere. The core old town’s winding cobblestone lanes ooze charm and character, while the Old Fisherman’s Harbour provides as a reminder of the city’s former appearance.
Limassol’s role as the island’s worldwide economic center, combined with the city’s tourism development, has ensured that the city keeps up with the changes. This is a city that is looking to the future while not forgetting its past, from the state-of-the-art marina construction finished in 2014 to Limassol Del Mar, a €350 million landmark building comprised of luxury villas.
If you’ve always wanted to live in a Mediterranean coastal town, Cyprus has plenty to offer. We’ve already mentioned how amazing and popular Paphos and Limassol are in this regard, but Larnaca could be the place for you if you prefer a bit more traditional slice of island life. While strolling down the palm-lined promenade of its city center beach or visiting the historic structures, you’ll wonder why it’s not packed with tourists — but you won’t be complaining. From Manchester, you can fly to the city’s international airport.
In a list like this, we couldn’t leave out the island’s capital city. Take a viewing trip to Nicosia if you’re satisfied living 50 kilometers from the seaside and thrive in the hustle and bustle of city life.
Most visitors to Cyprus just stay for a day since they don’t want to be away from their sun loungers for too long. But why not have the historic old town’s Venetian walls, a modern cafe and bar scene, a Debenhams, and a Mark & Spencer right on your doorstep?
Apartment living dominates the property market in Nicosia, therefore anyone looking for one will be glad to learn that prices have increased by 2.8 percent annually in the city.
The greatest spots in Cyprus to retire
Imagine your ideal retirement in Cyprus: year-round sunshine, delectable cuisine, and easy access to the beaches and mountains. It only gets better when you add affordable housing to the mix. But where in Cyprus are the greatest spots to retire?
In Limassol, you can have a very busy retirement. In the town, there are an increasing number of fitness and workout groups. Of course, there’s also the fantastic beach and sea for swimming and water sports. There are numerous cross-country running clubs for people of all ages, or you can simply go for a daily run along the seaside.
One of the advantages of Limassol is the variety of property available. A detached two-bedroom villa type house costs between €150,000 and €200,000, a two-bedroom apartment costs between €230,000 and €240,000, and a bungalow with a swimming pool costs between €220,000 and €240,000. It will be more expensive to purchase a property with a pool. Bungalows appear to be particularly common on the island of Cyprus.
Swimming is one of Paphos’ most popular retirement sports. The sea is close by, as it is in Limassol, but there are other swimming clubs, such as the Nautical Club, where retirees are urged to join small restricted groups for “exercise-the-joints swimming.” These lessons are held twice or three times a week at the gyms. Alternatively, you can use the pools at your leisure to practice swimming. Then there’s the Aphrodite Hills Hotel’s 18-hole golf course. This was a brand-new endeavor for Cyprus, and it has proven to be quite popular among British retirees.
There is also a large selection of property to choose from. Prices start at €150,000 and go up to around €270,000 for a detached two-bedroom villa style property with a pool. A two-bedroom apartment costs between €75,000 and €100,000, while a bungalow costs between €130,000 and €280,000.
If you wish to retire to Cyprus and live in a village with easy access to the city, Paraklissa and neighboring Agios Trychonas are wonderful options.
Paraklissa, sometimes known as Pareklisia, is a large village around ten or fifteen minutes from Limassol that is popular with British retirees, primarily because of the peace! But there’s still something going on here. The village’s British residents frequently create workout clubs in the local town hall and organize running events and other group activities.
A two-bedroom house costs between €150,000 and €200,000, a two-bedroom apartment costs €250,000, and a two-bedroom bungalow costs €280,000.
Pyrgos is very close to Limassol, so you may participate in a variety of activities by going into town. You can also enroll in various classes in the village to learn a new language or a new skill (gardening is a popular choice!). These are frequently free and provide an excellent opportunity to meet new people and establish friends. Pyrgos is also an excellent place to go hiking, with stunning views from every direction. Group walks are routinely organized, and they usually take place on weekends.
A two-bedroom detached villa will cost between €210,000 and €220,000 in this area, while an apartment will cost between €100,000 and €150,000 and a bungalow would cost around €200,000.
Lania, in the Troödos Mountains, is ideal for those who like a slightly milder environment. You get bright weather in the summer, with temperatures ranging from 25 to 280 degrees Celsius, but you can escape to the colder weather up in the mountains whenever you want.
You could imagine that retirement activities aren’t available in mountain settlements like Lania. They do, but on a much smaller and quieter scale. Because Limassol is only 20 minutes away, many retired British people stay active in Lania and also drive to Limassol to participate in various sport-related events. You can engage in leisure activities in the village, such as studying a craft like lacemaking or cooking.
In Lania, two-bedroom houses cost between €100,000 and €200,000.
The most affordable areas to live in Cyprus
Have you taken the major choice to buy a home in Cyprus but aren’t sure where your money would go the furthest on the island? Let’s have a look at some of Cyprus’s more affordable cities, where you may get more property for your money.
Limassol, on Cyprus’ southern coast, is between Larnaca and Paphos and offers a fascinating mix of historic old town and modern activity. Limassol has something for everyone, whether you wish to browse the city’s winding cobblestone streets or rest in the state-of-the-art marina. While Limassol is becoming known for its sophisticated high-rise constructions that dominate the skyline, the surrounding countryside is full with affordable homes in a peaceful rural setting that are nevertheless close to the city’s facilities.
Limassol’s affordability is evident when compared to other European island resorts, while being pricey by Cypriot standards at €2,400 per square metre. In Palma de Mallorca, for example, the average price of a city center apartment is approximately €3,700 per square metre.
Nicosia should be at the top of your sightseeing list if you want all the facilities of a major city at a reasonable price. Residents appreciate the sophisticated, global city’s metropolitan refinement. All of this is just a short drive from the glistening Mediterranean Sea and the magnificent forested highlands. Around here, apartment living is the name of the game. An apartment in central Nicosia costs roughly €1,800 per square metre on average.
Despite being the most popular area in Cyprus for British purchasers, central Paphos apartment rates (€1,475 per square metre) remain lower than Limassol and Nicosia. The appeal of living in the midst of an established expat community, with Blue Flag beaches and an international airport right on your doorstep, is enhanced. It’s worth noting that the Paphos area is popular with young families and retirees searching for large properties to accommodate their children and grandchildren. This tendency diminishes apartment demand while driving up house prices.
The cheapest average apartment price is €1,280 per square metre in the port city of Larnaca. Outside of the city center, the average price is less than €1,000. Perhaps this is due to the fact that Larnaca is more typically Cypriot than some of the other destinations on the list. If you want to escape expat communities and their normal lifestyle while yet having access to a local international airport, this is the place to be. So, come to Larnaca to get a good deal and take advantage of rising prices, which could increase the value of your home.
The most affluent neighborhoods in Cyprus
Cyprus is a great place to buy a home regardless of your budget. Luxury houses in all forms and sizes may be found all across the island, from Paphos to Ayia Napa, for those at the top of the scale. If you’re looking for a luxurious pad in Cyprus, here are the best spots to look.
Hills of Aphrodite
The award-winning Aphrodite Hills resort is set in the hills above Paphos, overlooking the Mediterranean Sea’s crystal clear seas. The resort has it all, whether you’re looking for magnificent accommodations, world-class sports facilities, fine food, relaxation, entertainment, or all of the above. There’s even a village square to assist give the event a sense of community. Luxury six-bedroom villas can cost up to €5.5 million in this area.
Marina Ayia Napa
The hedonistic nightlife that made Ayia Napa famous at the turn of the millennium has faded away. While it still has a thriving social life, this old fishing community, along with Limassol, is now a significant player in the elegant new waterfront complexes that are luring wealthy international property buyers to the island.
The historic Ayia Napa Marina project, which will cost £109 million and be completed in 2021, will include 190 premium apartments and 29 luxury villas, 18 of which will have access to secure docks. It will also include a large mooring capacity and world-class facilities for 600 yachts, as well as a shipyard and a series of chosen shops and restaurants that will provide top-notch services to individuals who live in and visit the marina.
If you buy one of the €5.5 million four-bed new construction villas in Ayia Napa Marina, you’re almost guaranteed a long-term investment. Each plot has an infinity plunge pool, views of the sea, a roof garden, and underfloor heating – not that you’ll need it on this sun-drenched Mediterranean island.
Because of its ever-increasing high-end, high-rise skyline, Limassol is quickly becoming regarded as the “Dubai of Cyprus.” While some regions of the island are desperately trying to hold on to their heritage, Limassol is openly adopting a more modern approach. As a result, there are plenty of high-end apartments in the area. And if one tower is scooped up by eager buyers, it appears that another is already in the works to fulfill the demand, with several more massive projects on the way.
For just €3 million, you might own a two-bedroom apartment in Europe’s tallest oceanfront residential tower, complete with an extended balcony, magnificent sea views, and access to a pool, bar, spa, games area, and wine cellar.
The greatest views of the sea in Cyprus
Whether it’s the steamy heat of summer or a mild winter day, the sea vistas in Cyprus never get old. The nicest part about Cyprus is that, as a hilly island, it offers breathtaking views even while traveling interior. Sunsets and sunrises are breathtaking. So, if you’re looking for a place to buy in this area, check out my top five sea view communities.
Pachyammos is a lovely seaside town located between Paphos and Nicosia. The scenery is really magnificent here. The little mountains descend into the ocean bay first, followed by the beach directly beneath them. You can virtually look down on your own private beach from a house in the community! The sunsets are spectacular here. Pachyammos is roughly 60 kilometers from Paphos. A four-bedroom detached house (villa) with a pool costs over €400,000, while a three-bedroom flat costs around €167,000.
This community is 3 kilometers from Larnaca, and Larnaca Airport is easily accessible. This one is encircled by cliffs and has its own beach and sea, just like Pachyammos. If you’re feeling lonely, a route goes to Aldiana Zypern, a newly developed tourism destination. A small harbour is also located in the hamlet, and a beach kiosk serves refreshments at non-tourist pricing. A new three-bedroom apartment costs over €340,000, while a three-bedroom villa with a pool costs around €293,000.
Peyia is a major seaside hamlet about 17 kilometers from Paphos. Restaurants, a huge supermarket, and a fresh fish market are among the amenities available. The community also has one or two bars, and many British residents dwell here. The village also has a traditional feel about it. Peyia is located on the edge of a hill, thus the homes enjoy beautiful views of the sea.
A three-bedroom apartment (with pool) costs between €100,000 and €344,000, while a three-bedroom villa costs around €199,000.
Pomos is a lovely seaside town 56 kilometers from Paphos. It is very undeveloped, and there are wonderful nature trails and trekking opportunities here, all of which are surrounded by miles of sea views. The hills descend to the sea, with pine and fruit trees growing in between. This area is known for its natural wildlife and sea caves, as well as a small harbour where traditional Cypriot fishing boats can be found. Here you can expect to find a classic village with all of the necessary conveniences. A three-bedroom apartment costs over €287,500, while a four-bedroom villa with a pool costs around €261,000.
Last but not least, Pissouri village is a lovely place to visit. Limassol is 36 kilometers away from the settlement, which is perched high on the cliffs above the sea bay. It’s a sizable village that’s popular with both locals and visitors from the United Kingdom. A variety of coffee shops, one or two small supermarkets, pubs, and tavernas are all available. There are plenty of activities to keep you occupied, including nature walks, cycling, and hiking. Don’t forget that, like other of these seaside villages, the sea offers water activities as well. A three-bedroom apartment costs around €145,000, while a three-bedroom villa with pool costs around €400,000.
What kind of property should you invest in?
Whether you’re looking for a large budget villa with sea views or a one-bedroom apartment near the beach, Cyprus offers the perfect property for you. If you’ve already decided on a city or region of the island, the next step is to set a reasonable budget and then decide on the type of property you wish to buy. The latter is impacted by the amount of money you have available, the size requirements, the frequency of use, and the area of the island where you want to dwell.
In its towns, resorts, and countryside, the Cypriot property market provides a diverse range of styles. We’ll go over some of your alternatives below to help you narrow down your search.
While there are many Mediterranean style villas of various sizes and shapes available on the island, it’s worth remembering that an average sized villa in Cyprus is roughly equivalent to a detached house in the United Kingdom. These local real estate classics often have three to four bedrooms, a garden, a private or communal pool (depending on whether it’s part of a complex), private parking, a barbecue area, and, if you’re lucky, a breathtaking view.
Families who demand a large amount of room both inside and out prefer villas. Couples who own a villa can use the extra space to set up a home office and entertain guests. The cost of keeping a private pool, particularly if it’s a vacation property, is a significant factor to consider. Whether you do the maintenance yourself or hire a professional, bear in mind that heating, water, and cleaning bills can mount up quickly.
Apartments appeal to couples and retirees looking for a permanent or vacation home because of their affordability and proximity to amenities and the beach. Apartments often come with a balcony with wonderful views and space for alfresco entertaining, despite sacrificing outside area for a superior location.
If you’re looking for an apartment in Cyprus, make a viewing trip to Limassol, the harbor city. You’ll find yourself craning your neck to take in the city’s ever-expanding vertical skyline, which is dominated by high-rise residential developments. While comparisons to Dubai are premature, new projects such as Limassol One, Europe’s largest residential beachfront skyscraper at 37 stories, are putting the city on the map.
Because the tourism industry in Cyprus is flourishing — up to 3.5 million tourists visit each year — easy to clean, operate, and rent flats are a popular choice among investment buyers in tourist hubs like Paphos.
While a maisonette conjures up images of a classic two-story flat, the duplex is its hipper younger sibling, appealing to people seeking something a little more modern. Limassol, with its modern Manhattan-style cityscape, is a center for this type of modern development, which is fitting given that they originate in New York City.
A complex’s properties
Living in a resort complex, whether in an apartment or a villa, may be a very social environment. Gardening, bars, a swimming pool, and a gym are just a few of the communal amenities that make meeting friends in your new home a breeze. However, this sense of community comes at a price, so be prepared to pay common upkeep costs. If you totally immerse yourself in complex life when you arrive, you may find yourself on the committee in charge of looking after your small village – a type of sun-drenched parish council.
Stone homes in the countryside
If you want to get away from the crowds and enjoy a slower pace of life, head to the island’s interior mountains and forests. Traditional stone houses with high walls that keep the heat out during the summer and a lot of potential may be found in these peaceful settlements. Renovating a rural wreck may be a really gratifying experience because you get to put your personal stamp on the property and possess a home with true character in a beautiful environment.
Using a professional team to assist you with your move to Cyprus
Buying a home is stressful no matter where you go, but it’s ten times more so when you’re doing so internationally. That’s why you should hire a team of experts who can guide you through the market using their local expertise and talents.
We propose that you look for an estate agent, lawyer, currency specialist, and, if necessary, an independent financial adviser as you put together your team.
Using the services of a real estate agent in Cyprus
From Peyla and Paphos in the east to Larnaca and Limassol in the west, as well as Ayia Napa and the capital Nicosia, Cyprus has hundreds of estate agents. Many will cater to British buyers and speak the language. Estate agents are paid a commission of 3–5% of the sale price, which is far higher than most British estate agents, but it is paid by the seller.
Estate agents will show you a mind-boggling range of houses. With that in mind, it’s critical to concentrate on your true desires. This includes sticking to your budget and the area you’ve chosen. However, there should be some room for spontaneity in your property viewing.
Check that your real estate agent is licensed and regulated for peace of mind. Are they members of the Cyprus Real Estate Agents Association (CREAA) or the International Real Estate Federation (FIABCI)? They should be registered with the Council of Cyprus Real Estate Agents, which is governed by Cypriot law, and licensed as a real estate agency.
The CREAA is home to the majority of genuine and regulated agents. This organization is one of the most vigilant on the island when it comes to monitoring persons who work illegally as “consultants” or “property finders.” Estate agents who are members of the CREAA are required to hold indemnity insurance. You may verify an estate agent’s registration by simply asking for their registration number and looking it up on the internet.
You could also go with an agent who belongs to the Association of International Property Professionals (AIPP). The organization, which is based in London, aims to enhance ethical standards for international estate brokers.
Using the services of a lawyer in Cyprus
Finding an independent English-speaking lawyer who is also a member of the Cyprus Bar Association should be high on your priority list. Your lawyer may end up saving you a lot of money in the long run. They will undoubtedly assist you in navigating the legal elements of purchasing and selling property in Cyprus, as well as ensuring that you do it safely. A list of English-speaking lawyers in Cyprus is available on GOV.UK.
We usually advocate hiring a Cypriot who is fluent in English and is well-versed in the local language and laws. They will frequently be able to provide you with advice on inheritance and personal tax, which is crucial in ensuring that your time here is trouble-free. For aid and direction, be sure they’re registered with the Cyprus Bar Association and specialize in Immovable Property Law.
Using the services of a currency expert
A currency specialist will work with you, together with the rest of your professional team, to ensure that your money is not exposed to currency risk when it is transferred to euros prior to your home purchase. As a result, it’s critical to identify the ideal person for the job.
If you’re unfamiliar with this danger, it arises when a substantial sum of money must be paid in another currency, which necessitates exchanging money at a fluctuating rate. With the rate fluctuating, there’s a chance your money will decline in value and be worth less, making it more expensive to buy a home. A 1% reduction in the value of the British pound, for example, can boost the price of a €150,000 house by more than £1,000. If the percentage is multiple percent, you may end up spending much more.
Your currency expert will offset this by acquiring a forward contract, which is a contract that locks in an exchange rate for a specific length of time. You may get the most out of your money if the exchange rate is favorable. For many years, we’ve worked with our trusted partner Smart Currency Exchange to create forward contracts for buyers – check out their Property Buyer’s Guide to Currency for more information on how to protect your finances.
Using the services of a financial advisor who isn’t affiliated with a company
As you move forward with your property acquisition, you’ll need to make a financial plan. It may be important to seek the opinion of an independent financial consultant in these instances. An adviser will walk you through your options in order to determine the best financing solution for you, as well as make product recommendations and assist you in budgeting for the costs of buying in Cyprus.
At Property Guides, we’ve partnered with a number of reputable financial advisors who specialize in assisting clients who are considering relocating abroad. They can assist you with not only your purchase, but also other financial matters such as pensions, succession planning, and tax. We can put you in touch with them if you contact us at [email protected] or call 020 7898 0549.
If you aren’t buying your home outright with cash, you will almost certainly need to consult a mortgage expert. They can also assist with essential items such as life insurance. To learn more about the financial aspects of your move to Cyprus, read our financial guidelines.
Make a budget when buying a home in Cyprus.
If you want to finish your property acquisition, you’ll need to make sure you’ve thought about how you’ll pay for it. You’ll need to think about the big financial issues, budget for the unexpected expenditures of buying, and figure out how you’ll pay for your home.
Before buying in Cyprus, we also recommend reading our guide to financial preparation for all the guidance and information you’ll need.
What are the most important financial considerations?
To begin, you must determine what your primary sources of financing for your Cypriot property purchase will be. Consider the following:
There are funds available.
Calculate the total amount of cash you have available to buy a home. This is critical information for understanding how to buy in Cyprus. Cash, savings, goods you can sell, pension drawdown, and investments you can cash in are all possibilities. If possible, consider purchasing with friends or family.
Is it possible to buy a house with a mortgage? To evaluate your possibilities, speak with an estate agent, an independent financial consultant, a bank, or another lender. If that’s the case, how much of a down payment would you need, and how will you handle the monthly payments? What would you do if you found yourself unemployed or ill?
After you’ve purchased the property, you’ll have to pay for local property taxes, maintenance, and transport expenditures to get there. What plan do you have in place to address these issues? Remember that exchange rates fluctuate, and a pension or investment paid in pounds does not guarantee a return in euros.
If you’re relocating to Cyprus permanently, you might want to consider transferring your pension to a self-invested personal pension (SIPP) or a Qualifying Recognised Overseas Pension Scheme (QROPS). There are some restrictions, but you should be able to gain more control over your pension and lower your tax cost.
Please note that the UK authorities will only allow you to transfer your pension into one of these schemes if you meet the following criteria: you must be living, or planning to live, outside of the UK, and you must continue to live there. It’s crucial to remember that a QROPS can only demonstrate real benefits after ten years of being a non-resident and relocating the pension, so it’s critical to think about your alternatives now rather than later.
How much does it cost to buy something in Cyprus?
You must include the hidden extra costs of buying in Cyprus in your budget in addition to the property’s sale price. To cover all of the fees and taxes associated with the transaction, you should budget up to 15% of the buying price. These are the following:
Land Registry fees: These are usually handled by your lawyer and are usually quite low.
Legal fees: You should budget about 1% of the property price to hire a lawyer to handle the conveyancing and paperwork with the local authorities.
Municipalities and localities must pay a local property tax. The tax is based on the valuation of the property as determined by the Land Register in 2013.
Property Transfer Costs: If the property was purchased with VAT, there are no property transfer fees to pay. If no VAT was paid on the property, the transfer fees are lowered to 50%. However, if the Land Register office determines that the contract price is undervalued and not in line with the property’s market worth, the full property transfer fee may be charged.
Stamp Duty: This is based on the purchase agreement’s worth and is currently fixed at the following rates: €0 to €5,000 — zero; €5,001 to €170,000 — 0.15 percent more than €170,000 — 0.2 percent.
VAT (Value Added Tax) is imposed at 19 percent on the first home transaction as of 2018. The first 200 square meters of the property to be used as the buyer’s primary and permanent dwelling for ten years are charged at a reduced rate of 5%. The remaining square metreage is subject to a 19% VAT charge.
Fees paid to a sales agent are usually split equally between the buyer and the seller. These can range from 2% to 5% of the total sales price.
Inheritance and Immovable Property Taxes: In Cyprus, there is no inheritance tax on property, and the Tax Department’s Immovable Property Tax was abolished in 2017.
Property insurance is required if you wish to receive credit from a Cypriot bank. Nonetheless, it is one of the “hidden expenses” that buyers overlook once the property is transferred to their name. You can shop around for property insurance in the same way that you would in the United Kingdom.
How do you pay for your Cyprus property?
You can pay for your property in Cyprus in a couple of different methods. To begin, you can use your own funds. This could be a wage, savings, or even the sale of heirlooms that are no longer needed. Alternatively, you might be able to fund your project by renting out an existing house or selling one.
Second, you have a wide range of possibilities for borrowing money. You could, for example, employ a type of lifetime mortgage that allows you to maintain your house while borrowing against it. You might also get a typical mortgage from a UK or Cyprus-based lender depending on your wages and ability to pay each month. Around one in every four Britons who buy a home overseas takes out a loan, so there’s no reason why you shouldn’t do the same for your property in Cyprus.
How can you get financing for a house in Cyprus?
If you want to keep a place in the UK and don’t want to sell your British home to pay for your Cyprus property, borrowing money may be the best option.
The following are some of your options:
Mortgages for retirement
A retirement mortgage resembles a standard capital payback mortgage, but with a lower loan-to-value ratio. You will almost always be required to repay before reaching a particular age (depending on your lender’s requirements). There is typically no minimum age to obtain one, and the amount you can borrow is determined by the value of your property. When you don’t fulfill the lender’s requirements, an equity release plan may be a better option.
Release of equity
If you’re over 55, you can take advantage of the equity in your home as a tax-free cash option rather than selling or downsizing. The difference between the value of your home and the sum of any mortgage, secured loan, and levies on it is referred to as equity. This can amount to hundreds of thousands of pounds for somebody who purchased their UK house many years ago. And it’s money that isn’t doing anything for you. Because the equity is yours, you can release it in one of three ways:
Roll-up lifetime mortgage: This type of loan allows you to get a lump sum payment and keep 100% ownership of your home without having to make monthly payments.
You can accept a large sum of money and keep 100% ownership of your home with a flexible lifetime mortgage. There are no early payment penalties for voluntary payments.
Drawdown lifetime mortgage: You can use the money as and when you need it while still owning 100% of the property. Money can be saved in a reserve account until it is needed.
Depending on the age of the youngest applicant, the value of your house, and its location in the UK, you can unlock anything from £10,000 to practically the full worth of your home. For as long as it is your primary residence, you are not at risk of losing your house if you have a lifetime mortgage from an Equity Release Council-approved lender. You can also set aside a portion of your equity to be passed down to your children as an inheritance.
A viewing trip will be critical to your move’s success. One of the often underestimated advantages of purchasing property in Cyprus is that the island is not so huge that you are overwhelmed by choices. This means that a comprehensive viewing vacation can be planned in as little as a week or two.
Most buyers look on the 150-kilometer stretch of the south coast between Larnaca and Paphos, as well as communities in the north-west, but it’s critical to narrow down your search to the areas you want to buy in. Within a couple of relaxed weeks of viewing, you can gain a good understanding of the important areas. Many buyers choose to travel during the off-season, when the weather is cooler and the prices are lower, which is made feasible by the fact that Cyprus has year-round economy flights from the United Kingdom.
Agents’ trips are subsidized.
During the early 2000s property boom, developers offered subsidised property viewing trips to potential purchasers, which are still available on occasion. They’re frequently used to assault house-hunters with unrelenting hard-sell tactics, so be wary if you’re offered a “free” trip.
It’s more typical these days for an agent to simply offer you subsidized housing if you agree to tour their properties. If you’ve been made a slave to someone who stands to make a lot of money if you buy, you should still be wary!
It may be preferable to plan your own vacation, as there will be no pressure to buy, and you will be able to speak with locals, expats, and tradespeople. Viewing at different times of the year is an excellent idea.
Making the most of your viewing excursion
When you just have a limited amount of time to see many houses, it’s critical to make the most of your time. In light of this, we propose that you attempt to:
- Take a peek around and talk to some of the residents who may soon be your neighbors.
- To get a sense of the area’s alternatives, eat at local restaurants, cafés, and pubs.
- Make a list of any local amenities that you will undoubtedly require – is there a gym nearby, for example? What are the distances between the local schools? Do you have a hospital nearby?
- Have a few quiet days where you try to live as if you were relocating to the area to get a sense of what life is like there.
When it comes to viewing trips, how long should they last?
Rather than reserving just a week and attempting to squeeze everything in, try to arrange the duration of your viewing vacation based on what you need to see and see. You’re more likely to achieve more if you take a more deliberate approach. However, because Cyprus is not a particularly large island, a couple of weeks will be sufficient to see the sights and get a taste of island life.
When is the best time for me to travel on my viewing trip?
Visit a potential new region at different seasons of the year if possible. Visit in the winter, when the weather may be less pleasant, to get a sense of what to expect all year.
On my trip, where should I stay?
To get a true sense of what the location has to offer, try to remain as near to the area as possible to the properties you’re looking at. You can have firsthand experience of shopping, dining and drinking, and simply moseying around the region without having to travel far.
What is the greatest way to make the most of a viewing trip?
When going on a viewing trip, keep the following in mind to ensure that you acquire all of the necessary information:
Make sure that any estate agent you use for your viewing trip has a good understanding of the locations you want to see, and that his or her portfolio includes properties that meet your requirements in terms of budget, features, and location.
Take the time to provide a list of your requirements to your preferred requirements, along with any deal breakers, and discuss them. This should ideally ensure that they understand what you want and that no time is wasted.
If you’re thinking of renovating, find out what the estate agent thinks about the extra expense. They should, without a doubt, be able to recommend reliable local contractors.
Take a few photos and detailed notes when you visit a home to help you recall the highs and lows of each place you see.
Don’t be scared to ask as many questions as you want when viewing properties. In Cyprus, this could include questions such as: how severe are water shortages throughout the summer? Is there a steady supply of electricity at the property? Is the property encumbered by any loans or debts? What are the rental limits on the property?
Use the time you have in the car with your agent to ask them several questions and obtain information. As you travel through the neighborhood, ask them to point out any local amenities or describe what’s there.
Making a proposal
You might have found your dream property in Cyprus after a successful viewing trip or two. If this is the case, you must be willing to make an offer in order to close the deal. Rather of diving right in, it’s a good idea to assess your strategy to ensure you’re on the correct track. Here are our top seven suggestions for doing so.
1. Understand the market
Your agent will be able to advise you on an acceptable range for making an offer on a home in Cyprus, but keep in mind that they work for the seller in the end. The higher the payment, the bigger the commission. As a result, perform your own market research and read our Cyprus property news to double-check what they claim. You’ll feel more assured – and demonstrate that you’re serious about your work.
2. Put on your game face.
Strike a balance between being overly eager and being too laid-back. You should be serious but polite, and don’t be afraid to show that you know what you’re talking about. Recognize how your seller operates. Some people will respond better if you display more enthusiasm, while others will respond better if you keep your cool.
3. Make a lasting impression
Keep in mind that when you make an offer on a house in Cyprus, you’re placing an offer on something the owner adores. Excessively hostile behavior might be off-putting. Instead, make an effort to stand out by demonstrating how much you value the property. You should always negotiate through your agent, especially if you have a contract, but you can introduce yourself and explain your interest in writing to the vendor.
4. Take control of the conversation
Keep in mind that you’re the one with the cash at the end of the day. You’re in a strong position since the seller wants and needs to sell. When making an offer on a home in Cyprus, knowing this is a major benefit. You are free to leave; they require your assistance. Don’t be a passive participant in the conversation; take the opportunity to lead it yourself.
5. Make a financial plan
Plan your finances before placing an offer on a home in Cyprus, including arranging a forward contract so you can pay a deposit in euros. Organizing your funds can also ensure that you are prepared to make swift counteroffers, which are frequently required to obtain a house.
6. Make rapid counter-proposals
Any time you delay, the vendor has more time to evaluate other options. Before you start negotiating, decide on a price range. That way, if a counteroffer is required, you can respond promptly and decisively.
7. Don’t panic if it doesn’t work out.
If a deal falls through, don’t be too hard on yourself. In many situations, purchasers discover that the deal that went through was not exactly what they were looking for, and they go on to locate their dream house down the road. They finally look back, relieved!
Do you require a building inspection in Cyprus?
During the overseas purchase process, find a reputable building inspector in the same way you would an estate agent, lawyer, or currency specialist. You may save a lot of money by doing so.
Let’s begin by setting the scenario. You started your foreign property buying odyssey after falling in love with a villa outside of Paphos all those months ago. You finally got the keys to your dream home after what seemed like an infinite amount of careful planning and hard work, only to discover a short time later that it has subsidence and needs to be totally rewired.
Your agent had encouraged you to get a building survey done to avoid such a situation, but everything appeared to be in order on the surface, so you dismissed the suggestion as a waste of money. You now have a significantly larger cost to deal with.
Before you part with your money, get a building inspector to look over the property with a professional eye.
The building inspection
Don’t let your fantasy vacation house in the sun turn into an expensive nightmare with hidden costs. Before parting with your money, hire a building inspector to run a professional eye over the home, just as you would if you were purchasing in the UK.
A structural survey lowers the danger of overpaying for a mediocre property or one that may require expensive repairs in the future. The foundations, roof, walls, floors, electrics, and plumbing will all be inspected for signs of damage and decay by the building inspector. Any issues they uncover will be highlighted in their report, allowing you to make well-informed decisions. You may decide to cancel the purchase, reduce your offer, or include a condition in the contract stating the work that the seller must accomplish prior to the sale based on the results.
Finding a building inspector is difficult.
In Cyprus, look for a building inspector who is a member of the Royal Institute of Chartered Surveyors and is registered with the Cyprus Scientific and Technical Chamber. Choose someone who is not suggested or introduced to you by the estate agent selling the house. You can be sure that your survey will be objective this way.
How much does it cost to conduct a survey?
The typical cost of a building survey in Cyprus is roughly €500 (£450), although this will vary depending on the value of your home and the complexity of the report you seek. Remember that the cost of a building survey is likely to be far cheaper than the expense of having to pay to fix the problem and have the entire property rewired.
After you’ve made an offer, what happens next?
Concluding the transaction
It’s time to make a bid when you’ve seen the property and are certain you want to buy it. When the offer is accepted, the agent will remove the property from the market for a month. You might be required to sign a reservation agreement, which demonstrates your intent to purchase the property. You may also be required to pay a modest deposit.
Before signing anything or paying any money, consult with an attorney. Typically, the deposit will not exceed 1% of the purchase price, or €3,000, whichever is greater. This establishes the price and eliminates gazumping. You’ll need to know how and when you’ll be reimbursed if the deal falls through. This money should ideally be kept in a neutral account.
During this time, your lawyer will review all pertinent documents and do numerous searches. One of the most crucial topics will be ownership and title deeds, which has been a contentious subject in Cyprus. You must be certain that the vendor is the legitimate owner of the property.
They’ll check to see if the property has any liens or loans attached to it, as well as any exemptions that could stymie the sale. In recent years, this has also become a widespread issue. If you’re buying a new home, your lawyer will double-check that the required planning rights have been secured from the local government.
As a matter of course, any good independent lawyer will insist on completing due diligence on the property. Your lawyer should do the following as part of the due diligence process:
Examine whether the land has been encumbered by a mortgage or other encumbrances in the form of documents.
Make sure the title deeds accurately depict the property you’re buying. And that no changes to the property have been made that would necessitate new approvals.
You should also conduct some searches on your own. You can check with the local municipal planning department about the possibility of new roads or flying paths. There are various factors such as noise pollution to consider. For example, on any vacation island, be sure there isn’t a nightclub next door that opens at midnight.
Creating the sales agreement
Your lawyer will create a property sales contract if no concerns arise from the legal searches. The sale of contract should state that the property is protected until a separate title deed is issued in the case of a new development where deeds will not be issued until the project is completed.
They’ll next double-check that it’s been approved by all parties involved in the transaction. The Lands Office will stamp and register this document. There are two reasons for this. To begin with, it forbids the seller from selling the property to a third party. Second, it bans them from using the property as security for a loan or mortgage. The buyer is likewise protected by the Specific Performance Law before the deeds are formalized in their name.
At the same time, you’ll have to transfer a percentage of the agreed-upon property price, which is typically 10% of the sales price for a resale property and 20% to 30% for new construction. If necessary, you can also pay for the utilities to be connected at this time. It is critical to protect your budget from currency fluctuations during this time. If you don’t, you could end up paying thousands extra when the home is finished due to exchange rate fluctuations.
Your lawyer will also submit a request for the complete property acquisition to the Council of Ministers of Cyprus. This is in regard to character references, in order to assure that you will not face any legal troubles or be placed on Interpol’s wanted list. They will also submit an application for the 5% VAT rate reduction. You will transfer the full balance of the sales price once this has been approved. All of this takes around a month to finish.
Getting your hands on the title deeds
The title deeds are obtained from the Regional Land Chamber in the presence of the seller and buyer in the final stage. You must get a receipt indicating that the registration fee and property tax registration have been paid.
The title deeds transfer fee must be paid during this final stage. You are the owner of the property after you receive them. You can now apply to the water and power authorities to have your utilities transferred into your name.
If you are unable to be there, you may be able to arrange for power of attorney. Your attorney will arrange for your power of attorney to sign on your behalf. It’s crucial to limit your power of attorney to property transactions and not to all of your legal matters in Cyprus.
You must produce a valid passport and your tax registry number whether you utilize power of attorney or are there yourself.