Why Do You Need a Lawyer for Buying Real Estate in Cyprus: Essential Insights
The real estate market in the Republic of Cyprus, has seen substantial growth over the past few years and continues to thrive. While developers and real estate agents are generally trustworthy and the legal framework is robust, considering the complexities of property transactions, expert legal guidance is required. Obtaining reliable legal advice from the outset is crucial to avoid potential pitfalls and complications.
Why Cyprus?
Cyprus is not just a charming island; it offers real benefits for investors, families, and retirees. The Cyprus government’s program provides property owners and their families with the opportunity to obtain permanent residence permits. Additionally, the headquartering and relocation program is an attractive option for organizations looking to establish their headquarters in Cyprus, offering numerous benefits for employees and streamlining the registration process.
For Families and Retirees:
Cyprus is a top choice for families and retirees due to its excellent education system, high-quality healthcare, affordable cost of living, and favorable climate. Retirees enjoy significant tax advantages, with the first EUR 3,420 of pension income received from abroad being tax-free and the remaining amount taxed at just 5%. Cyprus’s Double Tax Treaties with over 40 countries further enhance its appeal.
The Risks Without Legal Advice:
Despite the attractive programs, the facilitation of the process and the incentives provided, many buyers make the mistake of proceeding without proper legal advice, leading to complications. Sellers often use “standard” agreements with terms that might not fit every situation. Even if sellers have their own lawyers, these professionals are primarily focused on protecting the seller’s interests, not the buyer’s.
We’ve encountered numerous cases where buyers discovered after their purchase that the property was sold to someone else, involved undisclosed co-owners, or had existing mortgages or charges. In some instances, buyers were shown one property but received another, less desirable plot. These issues often lead to lengthy and costly legal disputes, sometimes lasting for years.
Why Legal Guidance is Crucial:
To safeguard your investment and avoid unexpected issues, it is essential to engage a lawyer to:
- Review all property documents
- Conduct thorough due diligence
- Scrutinize the purchase agreement
Our legal team in Cyprus offers comprehensive support for both Cypriot and international buyers, assisting with all aspects of property acquisition. We help clients obtain necessary permits, approvals, and certificates, and provide expert advice on tax and succession planning to ensure your property investment aligns with your personal needs.
For further information, please contact our partner Christiana Antoniou at [email protected] or [email protected]
