Cyprus has a strong and expanding economy. The average annual rate of growth in the past five years has been about 3.8%, while inflation has stood at around 2.9% and unemployment at 3.4%.

Cypriot currency is decimal with the Cyprus Pound as the basic unit that breaks down into 100 cents. Visitors to Cyprus can import any amount of Cypriot or foreign bank notes. However they must declare their Cypriot and foreign bank notes to customs on arrival. This is for funds they wish to deposit with banks in Cyprus, re-export, or for the purchase of goods or immovable property on the island.

Our sales team are happy to talk you through the financial process of purchasing a new property. We can, if required put you in touch with companies offering commission free transfer of sterling and competitive Cypriot mortgages at up to 80% of the property purchase price. We will also help you to open an external sterling bank account in Cyprus.

The Quality Group will provide, if required, a bank guarantee as security towards the purchase of property until the issue of the title deed. The relevant cost will be borne by the purchaser.

We feel it is important to make our clients aware of all the costs involved in the purchase of a new property. When buying a new home in Cyprus you will be liable to pay property transfer tax and stamp duty. The property transfer tax enables the transfer of the freehold to the purchaser.

The transfer tax is calculated as a percentage on a sliding scale, based on the purchase price.
The property tax payable on a EUR153,774.13 property purchased in joint names would be a total of EUR4,613.22. This is because both individuals have a separate calculation meaning that the property tax is kept within the lowest scale.

Stamp duty is payable within one month of the purchaser signing the sales contract for their new property. Stamp duty is calculated at a rate of EUR2.56 per EUR1,708.60 of the value of the property up to EUR170,860.14 and at the rate of EUR3.42 per EUR1,708.60 above EUR170,860.14. Therefore the stamp duty on a EUR153,774.13 property would be just EUR230.66

With our apartments there are generally communal management charges. These are usually paid monthly or quarterly in advance. They vary with each development, area and type of property. They cover an owner’s share of the cost of cleaning and maintaining common areas, gardens, swimming pool expenses, water and electricity in common areas, management fees, rubbish collection and repairs. The estimated cost is in the region of EUR427.15 – EUR768.87 per year.

Comprehensive insurance against fire and associated hazards is provided by The Quality Group, until the title deeds are transferred to the owners. We can also arrange insurance for the contents of your property.

Please contact us for more detailed financial information.