A GUIDE TO BUYING PROPERTY IN CYPRUS

BuyRentCyprus.com offers to you the following guidelines in order to help you to make your purchase a happy process.

The process
Purchasing property in Cyprus by foreigners is relatively simple.
Non Cypriots are permitted to purchase (for their personal use) either:

an apartment
a house on a site not exceeding 2 donums (2,675 sqm)
a piece of land not exceeding 2 donums.

Permission to do so must be sought from the Council of Ministers. However this is granted more or less as a matter of course to all bonafide purchasers. And in certain circumstances a non-Cypriot may be given permission to own a property that exceeds these dimensions.

Property Registration/Transfer Fees
Upon transfer of the property and registration in the purchaser's name, the District Land Registry Office will charge Transfer Fees which are based on the value of the property and calculated as follows:
Value up to -

C£ 50,000 3%
C£ 50,001 - C£ 100,000 5%
C£ 100.001 and over 8%

Stamp Duty
Due at the time of signing the contract, stamp duty is levied at the rate of C£1.50 per C£1,000.

Acquiring the Title Deed
Transfer of ownership from vendor to purchaser is undertaken by a simple procedure through the Cyprus Land Registry Office, either by the buyer in person or by appointing a third party( ie a licensed Estate Agent ) with a Power of Attorney.
In the case of the non-Cypriot, a prerequisite of registration is evidence that the property has been paid for with foreign exchange.

Legal Safeguards for Foreign Investors
Contrary to the risks inherent in the purchase of property in some countries, Cyprus has never been involved in the nationalisation of any sector of the economy, nor in the expropriation of property owned by foreigners.
Indeed the Republic has often guaranteed foreign investments jointly and severally with local participants - consistent with its efforts to create a favourable climate for such investments.

Selling your Property
In the event that the purchaser would wish to sell the property at some time in the future, Cyprus law permits the full amount paid for it in foreign exchange to be remitted abroad at the time of the sale.
The proceeds from any increase in the value of the property can be remitted subject to a limit of C£10,000 profit per year, beginning the year following the sale.

Cyprus offers many advantages to the overseas visitor, apart from the superb climate and low cost of living the Cypriot and tax laws are extremely advantageous for non-Cypriot residents.

Tax benefits

Taxation

There are substantial tax advantages for U.K. citizens retiring to Cyprus.
The U.K./Cyprus double taxation treaty, which is unique in this respect enables United Kingdom pensioners to remit both government as well as private sector occupational pensions to Cyprus free of withholding taxes in the United Kingdom.
In practically all other United Kingdom double taxation treaties government pensions are almost always subject to withholding taxes at source. Hence the relief offered to British government pensioners resident in Cyprus is unique to Cyprus and generally not available elsewhere under the terms of other U.K. double taxation treaties.
Similarly foreign retirees living in Cyprus are taxed at only 1/10th of the local rate, foreign retirees pay income tax at the rate of 5% per annum on all imported pensions, with an annual exemption of the first Cyprus Pounds 2,000.

Estimated Savings

Assume United Kingdom pension of £UK2O,000 per annum

United Kingdom withholding taxes would therefore be £5,000

The above pension remitted to Cyprus income tax in Cyprus would be only £875

Gross saving in respect of United Kingdom income tax £4,125

The United Kingdom also maintains a reciprocal agreement with Cyprus in respect of National Insurance pensions benefits which in the hands of foreign retirees living in Cyprus remain index linked.
Cyprus levies taxation only on a remittance basis, that is, it taxes only assets that are brought into Cyprus, rather than the more punitive system of taxation on world-arising income that is practised in may other countries including the U.K. and U.S.A. as well as Spain and Portugal. Residents of Cyprus can thus legally hold assets tax free in banks in tax havens such as the Isle of Man and Jersey, and suffer no taxation on bank interest or dividend income remaining outside Cyprus. No capital gains tax is charged on the remittance of capital assets to Cyprus such as money needed for the purchase of property and other similar capital assets such as motor vehicles.

Increasingly, Cyprus is used as a residential base for former residents of the U.K. Who wish to restructure their personal assets in a favourable tax jurisdiction, where U.K. capital gains tax and income tax exposure can be effectively and legally minimised. The potential tax advantages for retirees are thus truly substantial and the use of Cyprus as a fiscal base for retirees of all nationalities should not be ignored.

Duty Free Privileges
A duty free car is one example of the privileges available to persons retiring to this lovely Island. A medium size saloon car will cost just over half the U.K. price

Living in Cyprus
These notes are a brief summary of current advantages in living in Cyprus
for both United Kingdom citizens as well as for other English speaking foreign nationals.

Diet
The local diet in Cyprus is healthy and inexpensive, based on fresh locally grown fruit and vegetables, of which there is an abundant variety according to season. The centrality of fresh fruit and vegetables, the custom of grilling meat to reduce the fat content, and the relatively small use of dairy fats combine to make the Cyprus diet especially healthy.

Cost of Living
The cost of basic essentials such as food, drink and clothing is noticeably lower in Cyprus than in the U.K. Luxury consumer goods such as hi-fi and video equipment are subject to high levels of import duty, and are therefore relatively expensive in Cyprus. However, the retiree can import his/her previously owned luxury possessions to Cyprus as used personal effects free of import duty to minimise this drawback. A typical expatriate married couple retired in Cyprus and living in an owner occupied property can manage very comfortably on a gross income of £9,000 Sterling per annum.

Communications Cyprus has a modern and effective telecommunications system, with direct telephone dialling to more than 120 countries. Fax, Internet, modern and mobile telephone facilities are also available on the Island. The broadcasting system makes heavy use of English language programs on both television and radio, and Cyprus is also within the footprint of existing and prospective new European television satellites. Additionally, the British military bases in Cyprus broadcast on their own radio and TV channels, which may be received outside the base areas. The island has two international airports, one at Larnaca and the other at Paphos, all the major operate flights to Cyprus and most European capitals and large cities can be reached by direct flights.

Medical Services
Cyprus is well supplied with Medical practitioners, most of whom have qualified in either the U.K. or the U.S.A. Hospital fees are low, and the Island has both government and private hospitals with competent physicians in all fields. Health insurance is available locally but overseas policies may be arranged with a European company such as BUPA. A social security agreement exists between the U.K. and Cyprus, covering National Insurance and various benefits including pensions. Details are given in DSS pamphlet SA12.

Family Pets Family pets can come with you to enjoy your new home in Cyprus, they must of course have had all their vaccinations, most U.K. veterinary surgeons will deal with the documentation. Once in Cyprus your dog or cat can be quarantined at your own home so avoiding the upset of six months in kennels.

Education There are both Private junior and secondary schools throughout Cyprus of very high standards catering for English students. A detailed list of schools can be obtained from BUYRENTCYPRUS.COM.

Household Removals
Household removals to Cyprus can be easily arranged and BUYRENTCYPRUS.COM can recommend a well established shipping company that provide a personal and efficient door to door service

Crime Rates
No area is entirely free of crime, but Cyprus compares extremely well with other Mediterranean locations. Cyprus, according to Interpol statistics, has an incidence of crime of only one sixth the average for European countries. The retiree to Cyprus can thus feel happier about the security of self and wealth than in many other locations.

Distance between major locations in Cyprus

Larnaca Airport
125	Pafos Airport
45	169	Agia Napa
5	130	41	Larnaca
70	63	106	66	Limassol
50	142	80	45	83	Nicosia
140	15	175	135	68	146	Pafos
49	173	4	45	110	84	179	Paralimni
175	45	197	165	98	176	35	201	Polis
111	100	152	111	45	71	113	156	148	Troodos

Taxi fares between major locations in Cyprus
Fares are approximate and should be confirmed before the journey

Larnaca Airport
30.00	Pafos Airport
13.00	38.00	Agia Napa
5.00	28.00	11.00	Larnaca
18.00	16.00	22.00	16.00	Limassol
14.00	30.00	18.00	12.00	17.00	Nicosia
33.00	5.00	40.00	32.00	15.00	32.00	Pafos
42.00	12.00	42.00	38.00	25.00	40.00	9.00	Polis
14.00	40.00	4.00	13.00	24.00	19.00	42.00	45.00	Protaras
29.00	28.00	40.00	30.00	17.00	18.00	30.00	38.00	42.00	Troodos

Information on Taxi fares between major locations in Cyprus

These rates can increase by 20% between the hours of 2030 - 0600hrs
It is strongly advised to confirm fares before taking a Private Taxi.

Urban Fares CY£

Day Night
Tariff 1 Tariff 2
Initial Charge 1.25 1.65
Fare per km 0.22 0.26
Waiting Per Hour 5.00 6.50
Luggage weighing over 12kg .0.22 0.22 each piece

Information on Urban Fares

Day fares run from: 0601 - 2030hrs daily
Night fares run from:20.31 - 0600hrs daily
During Public Holidays an extra suppliment of 0.60cents per person.
The transportation of pets is not allowed unless they are carried in proper cases/cages. Where carried they are charged at 0.20cents per pet.
Complaints: Should be forwarded immediately to: Road Traffic dept Nicosia:
Telephone No: 22 807149, 22 807154, or through the Police on 22 802020

Information on Urban Fares

Taxi Service facilities:(shared)

This service is much cheaper as it offers the traveller the opportunity to travel and therefore share the cost of the Taxis with 4 - 7 other passengers.

It provides connection between all major towns within Cyprus. The frequency of the service is every 30 mins, Mondays - Fridays 0600 - 1800hrs. Saturdays and Sundays 0600 - 1700hrs.

Seats can be booked by telephone and passengers wishing to travel can be collected/dropped off within the municipal boundary at any point that they wish.

No Service offered on public Holidays

Service taxis do not "Officially Operate" between The Airports and Towns and Towns and Villages.

Travel Express.

Is a new company which has commenced operations between all the major points on the Island.

Routes & fares: 1 way ticket CY£ Weekday Sunday
Nicosia - Limassol - Nicosia 3.50 4.00
Nicosia - Larnaca - Nicosia 2.50 2.85
Limassol - Larnaca - Limassol 3.00 3.45
Limassol - Pafos - Limassol 2.75 3.00

Rural Taxis.

Can only be hired to ferry to and from their base village only. The name of the village is indicated on the taxi. An exception is made however when arrangements are made in advance for a pick-up at an airport or seaport. Where the taxi driver will be asked to produce proof of early booking. Charges only commence when the passenger enters the vehicle. Charges are as follows: These taxis do not have meters.

Tariff 1 Single trip - 20 cents per km. Return trip 2300hrs - 0600hrs - 20 cents per km.
Tariff 11. Return trip - 15 cents per km.
Tariff111. Single trips from 2300 - 0600hrs -25 cents per km
1 piece of luggage carried free of charge. Additional carried at a rate of - 20 cents per piece.
Delay or waiting time will be charged at a rate of Tariff 1 & 11 CYP2.00 per hour. Tariff 111. CYP 3.00 per hour.
Minimum charge is 75 cents.

CYPRUS AVERAGE TEMPERATURES

MONTH	AIR	SEA
	Temperature C	Temperature C
January	16.6	16.4
February	16.0	16.9
March	18.4	17.3
April	22.8	18.6
May	27.2	21.0
June	30.5	24.0
July	33.3	26.3
August	33.6	27.7
September	30.8	26.6
October	27.3	25.1
November	22.9	21.9
December	19.2	18.9