What do I need to know before purchasing a property in North Cyprus?

Yes, non-citizens can purchase property in North Cyprus. However, they will need to obtain permission to purchase from the Council of Ministers, which takes few months to process. There are also restrictions on the amount of property that non-citizens can purchase, and they may need to provide evidence of their financial status and the source of their funds.

The following are the general steps involved in purchasing a property in North Cyprus:

1. Find a property: Research the market and find a property that meets your requirements. Then, contact the real estate agent to see if it’s available.

2. Hire a solicitor: Engage the services of a reputable solicitor who can guide you through the purchasing process.

3. Conduct due diligence: Your solicitor will carry out checks on the property, including verifying ownership and checking for any outstanding debts or legal issues.

4. Sign a contract: Once you are satisfied with the property and the due diligence is complete, sign a sales contract and pay a deposit.

5. Apply for permission to purchase: If you are not a citizen of North Cyprus, you will need to obtain permission to purchase from the Council of Ministers.

6. Pay the balance: Once permission is granted, pay the balance of the purchase price.

7. Transfer ownership: Your solicitor will transfer ownership of the property to you and register the sale with the Land Registry Office.

These are the key expenses for purchasing property in North Cyprus (as of February 2023):

• Transfer fee: 12% of the purchase price (with 6% payable upon the registration of the Purchase Contract and 6% payable upon the transfer of the title deed)
• For Turkish Cypriots or Turkish nationals the transfer fee rate is: 6%
• Stamp duty: 0.5% of the purchase price
• VAT: 5% for buyers of new properties.

In North Cyprus, there are various types of land and title deeds, including:

• Turkish Cypriot or foreign ownership pre-1974: considered safe, with rights to title deeds predating the separation of the island in 1974.
• Exchange Deed: TRNC Freehold, land given to Turkish Cypriots by the TRNC Government in exchange for lost land on the south side.
• Grant Title Deeds: TRNC TMD Land, land given to mainland Turks as a reward for military services.
• Leasehold: properties owned by the TRNC Government that grant long-term leases of 49 years.
• TRNC Title Deed: given to newly built properties since 1974 on undeveloped land, underwritten by the North Cyprus government.

  *Note that properties built on Pre-74 and Exchange Title Deed Land are considered safe, and the Immovable Property Commission was established to handle claims relating to abandoned properties in Northern Cyprus.

There are several methods for transferring funds to pay for a property in North Cyprus. These include:

1. Bank transfer: You can transfer funds directly from your bank account to the seller’s account.

2. Foreign currency account: You can open a foreign currency account with a bank in North Cyprus and transfer funds into it.

3. Money transfer service: You can use a money transfer service such as Western Union or MoneyGram to transfer funds.

However, The most common method is to transfer funds to your solicitor who will arrange for payment to the developer/vendor at the appropriate time.

The cost of renting a furnished property in North Cyprus can vary depending on location, size, and amenities.  Typically, you can expect to pay around 500-800£ per month for a furnished apartment and 1,000-1,500£ per month for a furnished villa.

As a tourist, you can stay in North Cyprus for up to 90 days. If you wish to stay longer, you will need to obtain a residency permit. To obtain a residency permit, you will need to provide proof of income, a police clearance certificate, and a valid passport. The permit is renewable on an annual basis.