North Cyprus Real Estate: 7 simple steps to buy a housing on the island!
- Purchase in 7 simple steps. 1
1.1. Step 1 — Selecting apartments
1.2. Step 2 — Selecting an agency
1.3. Step 3 — Introductory tour
1.4. Step 4 — Choosing a lawyer
1.5. Step 5 — Purchase
1.6. Step 6 — Mandatory Fees and Charges
1.7. Step 7 — Housing maintenance cost
Sometimes, there is a stereotypical view that the acquisition of real estate in North Cyprus may take a long time, but this is not so and this statement is far from the truth. You can buy real estate in North Cyprus in the shortest possible time with minimal additional costs.
This material contains step-by-step instructions for buying real estate. Using the instructions will avoid you from all the “pitfalls” and arguable moments that may arise when purchasing and registering a real property.
Real estate in North Cyprus has high profitability. With the same success, you can buy a luxury villa on the Mediterranean Sea, and a small studio apartment in the center of a large city in North Cyprus.
Most customers prefer to buy housing from developers at the stage of construction or in a new building. In this case, you can agree on interest-free installments or take a mortgage loan for a long term.
If the client chooses secondary housing, it will be necessary to pay 100% of the cost of the housing. But in such a housing, you can move in immediately, and very often, such an apartment or villa becomes fully furnished.
There are only 5 to 6 well-known real estate offices in North Cyprus, and each of them has a decent business reputation. It is extremely important that the company was registered in the territory of the TRNC and the citizens of the country worked in it. This will minimize risks and guarantee the purchase of the best housing.
The selection of the agency should start with a visit to the office. If the office is not credible and there are a couple of tables with one computer, it’s better to refuse from such an agency.
Also, you should carefully look at real estate agents. If you were immediately offered to buy the most expensive (or the cheapest) housing, it would be right to say goodbye and leave. A good agent will first communicate with the customer, understand his needs and look for only potentially suitable options.
Having definitely decided to buy real estate in North Cyprus, it is preferred to agree to an introductory trip to the island. It will be arranged by any real estate agency that takes care of its clients.
This is very important! Remember that an introductory trip to North Cyprus does not oblige you to buy anything. By ordering such a tour, you are not obliged to purchase accommodation from this agency.
Arriving in North Cyprus, first of all, you need to visit the agency’s office. Perhaps, this is the best test of its credibility as you will personally see how serious (or unserious) this company is.
As a rule, the introductory tour to North Cyprus does not last long (2-3 days), but during this time, you will have time to get acquainted with agents and see several options of the offered apartments and villas.
Our company also offers introductory tour services. To learn more about what is included in the trip and how it goes, see this article.
If you have decided on the choice of the agency and have chosen accommodation, then it is time to hire a lawyer. It is impossible to formalize all the documents for the purchase of real estate without the help of a professional lawyer.
The lawyer accompanies the transaction from the moment of selection of the real estate until the final registration of ownership. In addition, the lawyer will be engaged in registration of all necessary documents, consultations, transfers of title and payment of taxes and fees.
First of all, the lawyer must have a license to work in North Cyprus, with several years of practice and good knowledge of Turkish and English.
For more information on the functions of a lawyer in the purchase of real estate in North Cyprus and the services he provides to clients, please refer to this article.
Once the property has been selected and the contract with the lawyer has been concluded, you can proceed to the procedure of purchasing the real estate. In North Cyprus, the process is fast and, in most cases, without any complications.
First of all, it is necessary to pay a deposit for the real estate. This is a kind of reservation confirming the seriousness of intentions. The deposit amount is 1000 pounds (about 1400 US dollars). The first installment payment for the real estate must be made within 1 month after the deposit. It is about 20- 30% of the total cost of housing.
All other information about the acquisition of real estate is stated in the contract. It specifies the timing of the key transfer, the schedule of payment of the entire amount, as well as the terms of the mortgage (if any).
The lawyer will be present at all stages of signing the purchase of housing. He will also deal with the formalization of all the necessary documents, preparation of the contract and registration of property rights in the Land Committee of North Cyprus. The services of the lawyer will cost between £1000-1500.
We offer you to see the catalog of real estate on our website on this link.
In order to become a full owner of the real estate in North Cyprus, it is necessary to pay the following types of taxes:
- Value Added Tax (VAT)
It is 5% of the total cost of housing. It is paid at the time of registration of documents in the housing stock.
- State stamp duty
0.5% of the real estate value. It is paid within three weeks after signing the contract.
- Transfer fee
Re-registration of title will cost 6% of the price of housing. It is paid together with the VAT.
- Real estate tax
Once the keys are handed over to you and you become the full owner of the real estate, you will have to pay the real estate tax. Each square meter — 0.28 US dollars. The tax is annual and paid normally in the first half of the year. For example, let’s consider the calculation of execution of documents for the apartment costing $100,000 and with an area of 80 square meters. Totally, it is necessary to pay 11.5 thousand dollars for taxes and fees, and another 22.4 dollars will be a tax on maintenance of apartments in North Cyprus. In total, the full cost of the apartment with registration and taxes will amount to 111,522.4 dollars.
In addition to taxes and fees, you must start paying utility bills immediately after the receipt of the keys.
Approximate calculation of utility bills:
- Electricity — 0.14 cents per kilowatt.
- Water supply — about 2 dollars per ton. The final cost depends on the region of the country.
Centralized gas heating on the island is rare. Winters in North Cyprus are warm, and in the winter months, most people use only infrared heaters.
Garbage removal, destruction of mosquitoes (very relevant in summer), payment of gardener’s work and cleaning of the pool for apartments of 100 square meters will cost you about 80 dollars.
It is not difficult to buy real estate in North Cyprus. You should only have the necessary amount and the desire to acquire quality housing near the Mediterranean Sea, and specialists of our company will help you with all the rest issues.
You can order a free consultation for any type of real estate in North Cyprus by completing the form below. Our consultant will contact you as soon as possible and will discuss with you all the details of the purchase of real estate.