Distance buying property in Cyprus
Due to the current situation in the world associated with the spread of Covid-19, in March 2020, most countries introduced restrictive measures on air travel. Cyprus was no exception. Restrictive measures on the arrival of tourists to the Republic of Cyprus were in effect for all countries until 09.06.2020, But since June, the authorities of Cyprus are gradually opening the possibility of visiting the island to an increasing number of citizens from other countries , based on the statistics of an increase in the number of cases of Covid-19 in a particular country.
These restrictive measures on air travel have created new opportunities for purchasing real estate in Cyprus - remotely, that is, without a personal visit to the island. According to the Press Bureau of the Republic of Cyprus distance sales of real estate in Cyprus grow from month to month exponentially.
How does the remote purchase of property in Cyprus work?
A potential Buyer of real estate in Cyprus who has contacted Empire Property Cyprus is interviewed by phone with a sales manager in order to voice his wishes for the selection of real estate, criteria and other factors.
For example, the city and area in which the buyer wishes to purchase real estate in Cyprus, type of real estate (house in Cyprus, villa in Cyprus, apartments in Cyprus, townhouse in Cyprus, penthouse in Cyprus, commercial real estate in Cyprus, etc.), number of bedrooms, pool, number of storeys, distance from the sea, schools and kindergartens , supermarkets and other infrastructure of interest, the allocated budget for the purchase of real estate in Cyprus, the need to obtain an installment plan or a loan, the need to obtain a residence permit, permanent residence or Cyprus Citizenship, etc. All this is done in order for our manager to receive maximum information on the Buyer's priorities regarding the purchased property and immigration to Cyprus, and so that our manager could provide the most complete information about the real estate in Cyprus and Cyprus investment programs of interest to the Buyer.
Further to the email of a potential Buyer, our manager sends all currently available in Cyprus options for real estate according to the wishes and criteria of the future Buyer.
In parallel, we are starting to remotely open a current account with the Bank of Cyprus for the Buyer. To do this, the Buyer will need to provide a copy of his passport and personal email, which we send to the bank so that a personal manager is assigned to the Buyer for the procedure for opening a bank account. After that, a personal manager from Bank of Cyprus sends a list of documents required to open a current account to the Buyer's email address. Having received this list, the Buyer prepares the necessary documents, scans them and sends them to his personal manager by email at Bank of Cyprus. Further, the bank manager agrees with the Buyer the date of the meeting at the representative office Bank of Cyprus in Moscow, St. Petersburg or in Kiev in order for the Buyer to provide the originals of the documents (scanned copies of which he had previously sent to his manager's email) for the purpose of their identification and certification. The procedure for opening an account is completed by a 2-minute personal Skype conference with a personal manager for the purpose of personal visual acquaintance.
All information about the bank account, logins, passwords, etc. provided to the Buyer according to the procedure agreed between the manager and the Buyers.
As you can see, the procedure for opening an account with Bank of Cyprus is very simple and does not require any financial costs.
In the meantime, the process of collecting documents and opening a bank account is underway, the Buyer continues to communicate with our sales manager and select options for real estate in Cyprus that interest him.
At the same time, our manager provides the Buyer with all the necessary materials:
- - complete presentation of objects,
- - 3D or "live" photos,
- - photos and videos from the construction site,
- - plans for villas or apartments,
- - general plans of the complexes that interested the Buyer,
- - markers on the map indicating both the property itself and the surrounding infrastructure, distances to the sea or a particular facility (school, kindergarten, supermarket, pharmacy or hospital, etc.),
- - construction specifications for objects,
- - price lists for units available for sale
- - and other materials requested by the Buyer.
After the Buyer has decided on the choice of the object or objects, if the Buyer wishes so, our manager at the time agreed with the Buyer goes to the object (s) and online (via Skype, Viber, WhatsApp) conducts its presentation. At the same time, our manager shows not only where the object is located and what kind of houses and infrastructure it is surrounded by, but also demonstrates the chosen apartment or house (if already built) or the place where this property will be located, view from windows, sea view (if available), mountain view (if available), city view.
After the Buyer has decided on the property in Cyprus , we proceed directly to the procedure for buying real estate by the buyer.
- 1. The object selected by the Buyer is temporarily removed from sale for 7 working days and the price for it is fixed.
- 2. The buyer will be sent an e-mail with a Reservation Agreement signed from our side for the selected property and bank details, for which a reservation fee must be paid (included in the price of the property). A scanned copy of the Reservation Agreement signed by the Buyer is sent back to the email of our manager or director of the sales department.
- 3. The Buyer pays the reservation fee in accordance with the Reservation Agreement. (As a rule, the amount of the reservation can range from 1000 to 20.000 euros, depending on the value of the selected property).
- 4. Next, the Buyer makes a transfer of his own funds to a personal current account already opened by that time in a bank of Cyprus.
- 5. In parallel, after making a reservation fee, we send to the Buyer by email the Purchase and Sale Agreement of the reserved real estate object, the Tax Inspectorate Form for the provision of VAT reduction from 19% to 5% (this privilege is provided to the Buyer for the purchase of the first property in Cyprus ), power of attorney for an employee of our company to represent the interests of the Buyer in the tax office of Cyprus by applying for a reduction in the VAT rate by 5%. In the process, we also agree on the terms of the provided interest-free installment plan and the payment schedule. If the Buyer requires the participation of a bank (bank loan), then our manager submits on behalf of the Buyer an application for a loan to the Buyer and communication with the manager of the credit department takes place according to the procedure specified earlier in the procedure for opening an account with the Bank of Cyprus.
- 6. Having discussed and approved by the Parties all the clauses of the Purchase and Sale Agreement, the Buyer prints out 4 copies of this Agreement and all Appendices to it, signs all pages on his part and
The parties take the following actions:
- - The buyer scans one copy of the Purchase Agreement and sends it to us by email.
- - The buyer sends all 4 copies of the Purchase Agreement and its Appendices, printed and signed on each page, to our office via DHL to the address provided by us in Cyprus.
- - The seller of real estate, having received by email from the Buyer a scanned copy of the Purchase Agreement and its annexes signed by the Buyer, signs all of the above from his side and sends the scanned copy (already signed online documents) back to the Buyer's email. Thus, the Buyer has copies of the Sale and Purchase Agreement and its Annexes signed by both Parties. These copies are saved by the Buyer in electronic form in order to upload them to a specific file of the Bank of Cyprus every time the Buyer makes a payment to the Seller Real Estate via Internet banking.
- - The seller, having received through DHL a package with documents from the Buyer (4 each originally signed by the Buyer of the Sale and Purchase Agreement and its Appendices), originally signs the above documents on his part.
- - The Buyer, in accordance with the Sale and Purchase Agreement, pays the first installment to the Seller's account, which, as a rule, is 30-50% depending on the degree of readiness of the object.
- - Upon receipt of the first payment from the Buyer to the Seller's account in accordance with the signed Sale and Purchase Agreement in the amount of 30-50% minus the amount of the made reservation fee in accordance with the Reservation Agreement, the Seller registers the Real Estate specified in the Purchase Agreement on behalf of the Buyer. sales at the Cyprus Tax Office and in the Land District Office in the name of the Buyer and pays on his behalf 50 euros for registration and Stamp duties, amount which depends on the value of the property specified in the Agreement. From the moment of registration of the Agreement with the Cyprus Land Department in the name of the Buyer, the Buyer is the full owner of the property specified in this Agreement.
- - The Buyer makes further payments for the property in accordance with the payment schedule specified in the Purchase Agreement.
- - One copy of the original, registered with the Cyprus Tax Office and the Cyprus Land Department of the Sale and Purchase Agreement, by agreement of the Parties, is sent by DHL to the Buyer, to the address indicated by him, or remains in the Seller's affairs until the Buyer's possible arrival in Cyprus.
At the same time, if the buyer wishes to issue any migration documents, such as Residence permit in Cyprus, permanent residence in Cyprus, Accelerated permanent residence in Cyprus or Cyprus Citizenship, our manager will provide contact information Buyer (only with the Buyer's consent) to a licensed Attorney. The lawyer, in turn, will also conduct a remote procedure for issuing migration documents to the buyer and his family members using a procedure similar to
- - The lawyer will provide to the Buyer's email a list of necessary documents for obtaining a residence permit, permanent residence or Cypriot citizenship (this list of documents is for the most part identical to the list of documents required to open an account in a Cypriot bank) and a power of attorney form to represent the interests of the Buyer at the Migration Office.
- - The Buyer provides the Lawyer with a scanned copy of the necessary documents for filing an application with the Migration Service and a scanned copy of the signed power of attorney to represent the interests of the Buyer at the Migration Office. If it is necessary to provide the original of any document (meaning a certified by the Translation Bureau and apostilled copy of the document), then this document (s) must be sent to the address indicated by the Lawyer by DHL. also
- - The lawyer on behalf of the buyer submits all the necessary documents to the office of the Cyprus Migration Service. From that moment on, the process of registration of the migration status for the Buyer and his family members took a start.
- - Upon arrival in Cyprus, the buyer and his family members must visit the office of the Cyprus Migration Service together with the Lawyer in order to submit biometric data (photo of each family member, fingerprints and signature for adult family members) and receive the desired migration certificate within the specified time frame.