EU & Non - EU buying property
In comparison to many other countries the process of purchasing property in Cyprus by foreigners is very simple.
Buying Property in Cyprus
European Citizens
Cyprus joined the European Union in May 2004, when this happened most of the procedural restrictions upon buying property were lifted for EU citizens, in May 2009 all of the remaining restrictions were lifted.
NON-EU Citizens
Non E.U. Citizens wishing to purchase property in Cyprus are required to apply to the Council of Ministers, by written application, for permission and when permission is granted, they must prove that the purchase consideration is from foreign currency. In the meantime, however, purchasers may take possession of their property without restriction. The application to the Council of Ministers to purchase immovable property in Cyprus can be made within a reasonable amount of time after signing the contract of sale.
Non-European Citizens are entitled to a freehold ownership of a villa, an apartment or a piece of land, with maximum allowed extention of 4014 sq.meters (four thousand and fourteen square metres).
According to recent articles the Cyprus Government has announced that NON-EU Citizens making a minimum investment of €300,000 in property on the island, subject to certain requirements, will be granted permanent residency through a special immigration visa.
BASIC INFORMATION
1. A Pink Slip is issued by the Immigration Office once someone has provided all the documentation required namely:-
Bank Statements
Proof of Income
Title Deeds or Contract for property that is owned in Cyprus
Details of all dependants
Birth Certificates
Marriage Certificate
2. With regard to a Visa - there are no multiple visas. People can come to Cyprus for a period of 90 days to look for property.
IN MORE DETAIL
For the issuing of a pink slip it does not matter what the value of the property is. The following are the requirements in order to issue the pink slip.
- TEMPORARY RESIDENCE PERMIT (PINK SLIP) OF NON EU passport holder:
Documents required:
- Copy of sale agreement or rental agreement or title deed
- Money deposited in the bank and proof from where it came from (CY and abroad, if any, of approx. Euro 100.000).
- Passports plus copy first page and last entry stamp
- Pension certificates + translation + copy (if any) and any other source of income as interest, rental income, other investments. What is actually needed here is to show steady and regular income, adequate for the maintenance of the applicant and his family from external sources.
- Bank guarantee for 24 months € 515 (+ copy)
- Marriage certificate + translation (+copy) apostille (Russians exempted)
- Birth certificate for children + translation + copy apostille (Russians exempted)
- 4 photos first issue / 1 photo renewal
- Medical Insurance automatically renewable.
This permit can be renewed every year under the same terms.
Holders of such temporary residence permit should not live abroad for a continuous period of 90 days and should live in Cyprus for a total period of 6 months.
The Cyprus Minister of Interior said that Non EU citizens that buy property in Cyprus more than about €350,000 can be given a permanent residence permit under category F, but this is not strict. Non EU citizens that bought property of less than €350.000 can also apply for the issuing of a permanent residence permit. The requirements for Category F are the following:
APPLICATION FOR PERMIT UNDER CATEGORY F OF REGULATION 5 OF THE ALIENS AND IMMIGRATION REGULATIONS CAP105
In case of wealthy Non EU citizens that can be given a permanent residence permit under category F. The requirements are enough money in the bank (€250.000, business activities, ownership of companies, shares etc.)
The requested documents are as follows:
a) Copies of Alien Registration Certificates (wife & dependants also)
b) Copies of Temporary residence permits (wife & dependants also)
c) Passport copies (wife & dependants also) valid for at least 2 years
d) Certificate of marriage, translation, apostille (Russians are exempted)
e) Birth certificates (legalized translation) of children, apostille (Russians are exempted)
f) Education Degree, diplomas etc Original + translation + apostille (Russians exempted)
g) Immovable property owned in Cyprus if any (title deeds or contract of sale)
h) Medical insurance (wife & dependants also) automatically renewable
i) Recent bank statements current and fixed (at least € 250.000
j) Documents of Companies owned by the applicant
k) Particulars of income and source from which derived.
l) 4 recent photos
m) CV
n) Certificate of criminal record + translation + apostille (Russians exempted)
As regards to the multiple visa, this has nothing to do with the value of the property in Cyprus as such. This is issued in the embassy or Consulate in Country the Non EU citizen lives and is under regulations that were imposed by the Ministry of Foreign Affairs of Cyprus. The Non EU citizen must prove that he has immovable property in Cyprus but it is also important to show that he has business and income that can support the need of a multiple visa.
FAQs
Are you interested in a residency permit under the €300,000 law?
Q. Can you buy three €100,000 flats instead of one €300,000 property?
A. The answer is NO.
Q. Are you allowed to rent the property out?
A. The answer is YES, but only for long term rentals (i.e. one year or more and not for daily or weekly rentals)
Q. If you are married with grown up children, Will they all become residence?
A. YES, provided they are under 18 years old.
Q. When Cyprus joins the Schengen zone (The Schengen Area comprises the territories of twenty-five European countries that have implemented the eponymous agreement signed in the town of Schengen, Luxembourg, in 1985) will the permit allow you to travel to other EU countries?
A. YES, you will be able to travel to all other Schengen countries.
Q. If for example you are 50 years old and have a €100,000 down payment and you need to borrow €200,000 Euros from the bank on a 15 year mortgage, how much will the monthly payments be? What is the interest rate at the moment? Will it be fixed for the whole period?
A. The interest rate will not be fixed. Actually it is to your advantage to use fluctuating interest rates rather than fixed ones. The reason is straight forward: Interest rates are much more likely to go down than up in the coming weeks/months/years. At the moment the interest rate is 6½%. The instalment would be € 1,650 per month. As mentioned above, this is more likely to go down than up as interest rates are going down internationally.
Q. What are the bank's requirements for granting a mortgage? And how long will it take?
A. The bank will want (a) Proof of income with the presentation of any official documents (for example tax clearance letter) and (b) Recent bank statements. Sometimes the Bank has the right to ask for some other information but the above are the two basic things. It normally takes 15-20 days for the Bank to answer about a loan.
Q. After your purchase, how long before your passport is stamped with permit and what is the law for keeping the indefinite leave in the future? Under what conditions can the permit be cancelled?
A. It is difficult to say how long it will take. The good thing is that from the moment the application has been accepted then you will get the permit. There is no Law for keeping the permit indefinite. However, the applicant must stay in Cyprus for more than 183 days per year and must be supported from funds outside Cyprus and without having to work in Cyprus. If they manage to get a job in Cyprus and have an income in Cyprus, this is irrelevant and separate.
СПИСОК ДОКУМЕНТОВ, НЕОБХОДИМЫХ ДЛЯ ОФОРМЛЕНИЯ ПОСТОЯННОГО ВИДА НА ЖИТЕЛЬСТВО
1. Соответствующая форма заявления
2. Паспорт, срок действия которго истекает не менее чем через 2 года
3. Временный вид на жительство (если есть)
4. Выписки о движении по счетам на территории Кипра и зарубежом
5. Свидетельство о доходах, исходящих из законного источника
6. Договор купли-продажи и/или титульный лист недвижимости
7. Расписка (счет) о покупке недвижимости
8. Медицинская страховка, если заявитель переехал на Кипр
9. Справка об отсутствии судимости, которая должна быть заверена печатью апостиль или переведена в Бюро прессы и информации Правительства Кипра
10. 4 фотографии на паспорт, по одной на каждое заявление (2 фотографии необходимы в случае, если заявление подлежит иммиграционному пересмотру)
11. Свидетельство о Браке (если на русском языке, то необходим его английский перевод), а также его копия
12. Свидетельства о Рождении для несовершеннолетних детей (перевод на английском языке)
13. Дети должны иметь официальное письмо из школы, подписанное ответственным лицом, подтверждающее, что они посещают школу, с указанием даты начала ее посещения.