LEGAL INFORMATION BEFORE BUYING PROPERTY:
The construction company should be registered to the Cyprus Turkish Building Contractors Association. If the company is not registered it is not authorized to build. If the company is not registered to the Cyprus Turkish Building Contractors Association that means that it is illegal and there is no control and quality assurance. In order not to experience difficulties and in order to live comfortably before buying property you should go to the Cyprus Turkish Building Contractors Association and require some information about construction company. After selecting your real estate, and after getting information about your real estate agent or your builders, the next step will be price negotiation. After negotiating on the price, please do your agreement with a lawyer.
TRNC Deed Types:
Turk Deeds : The deeds that are belonging to the Turkish Cypriots before 1974 and is 100% reliable.
British or other foreign-owned deeds: these deeds were owned by British citizens or before 1974. These deeds are internationally recognized.
Equivalent (Exchange) Cob: These deeds were belonging to Greek origin before the 1974, but after 1974 the Turkish Cypriots who migrated from the South were given these cobs response to the housing/ land cobs they have left behind.
Allocation Cob: The TRNC government rewarded the success of the duties demonstrated in the military or after 1974 the property was given to those people or people from Turkey to migrate to Cyprus for living. They are under warranty by the government.
Government Land: like the method of rental contract, investors within their own facilities and by refurbishing costs can rent abandoned buildings for 49 years.
PROPERTY TAXES AND FEES
The taxes during the sales in the TRNC:
Transfer Fees of Deed
The Turkish Republic of Northern Cyprus (TRNC) has recently updated its property purchasing procedures for foreign buyers. These changes have significant implications for both the initial sale contract and the subsequent transfer of the title deed. The total fees payable by the buyer have therefore increased from 6% to 12% of the purchase price.
Under the new procedures, the registration of the sale agreement in official offices proceeds as follow: after signing of sale agreement by both sides (Buyer and Seller) the contract must be registered first at Land Office where the Buyer must pay %6 sale agreement price of title deed fee, and only after that the Buyer has to pay stamp tax fee %0.5 of sale price at Tax Office. The remaining %6 of title deed fee will be paid by Buyer during transfer title deed to Buyer’s name after getting Property permission from the Ministry of Interior Affairs .
It's important to note that the VAT percentage has not changed, and remains at 5%. The buyer must pay this amount to the company at the delivery of the property.
These changes have been introduced to streamline the property purchasing process in the TRNC and make it more transparent and efficient. By paying the title deed transfer fee upfront, buyers can expect a quicker and smoother transfer process without any additional delays or fees.
Despite the changes, purchasing property in the TRNC remains an attractive option for many foreign buyers. With its stunning natural beauty, warm climate, and friendly local community, the TRNC offers a unique lifestyle and investment opportunity. With the right guidance and support, foreign buyers can navigate these changes with confidence and continue to enjoy the many benefits of owning property in this beautiful region.