People seeking to buy a luxury flat or villa in Cyprus usually inquire about and research one of the many additional fees involved in the process of buying real estate. Purchasing a home in Cyprus is affordable when compared to other places across the world. Cyprus' low tax rates and modest property prices make it an excellent place for first-time homebuyers and investors wanting to buy a rental property for income without spending a fortune. In this article, we have listed the overall cost of property investment in Cyprus.
Stamp Duty Cost
When purchasing property in Cyprus, you must pay a stamp duty charge of 0.5 percent of the sales contract value to the North Cyprus Tax Office for your sales contract to be legally legitimate.
Land Registry Fee
There was a time when transferring a title deed from its former owner to its new owner cost 6 percent of the property's sale price. This is no longer the case, and you'll save money. For a long time, the percentage of first-time buyers in Cyprus, both locals and foreigners, was 3%.
Value Added Tax
A 5% VAT will be charged on the property value specified in your sales contract when purchasing real estate in Cyprus. The kind of property and the seller's professionalism determine whether or not VAT is paid during the registry of title documents or the handing over of the residence.
Electricity, telephone, water, and other utilities are evenly distributed amongst homes in a project/living complex in brand-new buildings constructed by professional Cypriot construction companies. This fee, which must be paid before the key can be handed over, often ranges between 1,000 and 1,800 GBP.