Understanding the costs involved in buying or owning a property in Cyprus is essential for smart planning and peace of mind. Here’s a breakdown of the key taxes and legal fees you should expect.
- Transfer Fees (Land Registry Fees)
Transfer fees are paid when property ownership is transferred to your name (unless VAT is applied). The fee is based on the property’s declared value:
- 3% on the first €85,000
- 5% on the next €85,000
- 8% on the remainder
Good to know: Transfer fees are 50% reduced when VAT does not apply, and fully exempt if VAT is paid.
- Value Added Tax (VAT)
- 19% VAT applies to most new properties
- 5% reduced VAT may apply if it’s your first home and you meet certain criteria (subject to approval)
- Stamp Duty
Stamp duty is a small one-time payment due when signing the Sale Agreement:
- 0.15% for amounts up to €170,000
- 0.20% for the amount above €170,000
(Maximum: €20,000)
- Legal Fees
Legal fees typically range from 1%–2% of the purchase price, depending on the complexity of the transaction. A lawyer will:
- Check title deeds
- Draft contracts
- Manage due diligence
- Submit applications (e.g. for residency or VAT refund)
- Ongoing Ownership Costs
- Municipal Taxes: ~€85–€300/year depending on location and property value
- Sewerage Fees: ~€100–€250/year
- Common Expenses (for apartments): Varies depending on building and amenities
Final Thoughts
While Cyprus property taxes and legal fees are competitive by EU standards, every buyer’s situation is different. At Sarikas Property Professionals Ltd, we guide you through every step, with full transparency and support from our legal and accounting partners.
