Real Estate & Tax News in Cyprus from Propertyshowrooms.com

Cyprus property sales fall

Tue, 13 Dec 2011 00:00:00 GMT

Sales of property in Cyprus have dropped for the 16th month in a row in November, reaching their lowest level since January 2009, according to Department of Lands and Surveys figures.

Nicosia was the hardest hit, with sales declining by 55 per cent, while Larnaca saw a fall of 32 per cent, Famagusta 29 per cent, Limassol 24 per cent and Paphos 15 per cent, Cyprus Property News reported.

Throughout the month, the number of contracts deposited with the Land Registry fell by 35 per cent across Cyprus. In all, 485 were received, compared with the 741 that reached the organisation in 2010.

"Unfortunately, the market is unpredictable and may deteriorate further or improve at any time," business development director of Aristo Developers Iros Miltiadous remarked to the publication.

Earlier this month, property transfer fees in the country were revised, with those paying value-added tax (VAT) on purchases exempt from the levy. Those who do not pay VAT will see fees reduced by 50 per cent, with the changes due to remain in force for six months.

Changes to Cyprus property transfer fees agreed

Thu, 8 Dec 2011 00:00:00 GMT

The Cypriot government has agreed to change the regulations relating to property transfer fees on the island for a period of six months.

A report by Cyprus Property News explained that in some cases, no tax will be payable on a real estate transactions, while it will be reduced by half in other instances.

It only affects the first sale of a home, with the publication noting it is hoped the move will "stimulate sales of new property".

Under the new law, those who are required to pay value-added tax (VAT) on their real estate deal will not have to fork out for a property transfer fee.

For those who are exempt from VAT on such a purchase, the charge to transfer the home will be halved.

These regulations came into effect on December 2nd and will apply to the Cyprus property market for six months.

Meanwhile, a recent poll conducted by the newspaper among its readers found that the top concern for people buying a home on the island is title deeds.

According to those surveyed, these documents need to be "issued promptly" and taking steps to ensure this occurs could help boost the country's property sector.

Cyprus plans changes to immovable property tax

Wed, 17 Aug 2011 00:00:00 GMT

Concern has been expressed that changes made to the immovable property tax in Cyprus could further damage the country's real estate sector.

Last week, the Cypriot government announced that the threshold at which the tax becomes payable would be dropped from €170,000 to €120,000, although a new sliding scale to determine the percentage to be taken will be introduced at the same time, Cyprus Property News reported.

The publication revealed that the nation's Land and Building Developers Association has written to president Demetris Christofias urging a rethink of the policy amid fears that it could damage the real estate industry.

Before the changes to taxation were unveiled, the organisation had contacted president Christofias to warn against taking measures that would impact negatively on the property industry, the news provider noted.

More than 100 developers, construction firms and real estate companies are members of the Land and Building Developers Association in Cyprus.

Cyprus government plans to increase property tax

Mon, 31 May 2010 00:00:00 GMT

Property investors in Cyprus should be aware that the government in the country is planning to increase property tax to combat the recession.

According to the Cyprus Property News website, the move will allow the government to collect an additional EUR10 to EUR20 million in fees.

The news provider reports that approximately 1,800 real estate owners in the country will be forced to pay more for their properties.

"Since the revaluation of the properties will take up to five years, we decided to take an interim measure in order to correct the distortions and to increase the state revenues in this critical period of recession," interior minister Neoclis Silikiotis told StockWatch yesterday (May 27th).

It may be of interest to those looking to find a home in Limassol, with the urban destination boasting lots of amenities for investors and attracting a number of tourists.

The Department of Land and Surveys in the country reported that real estate sales in Cyprus enjoyed a year-on-year rise of 11 per cent during April.

Briton hails move to Cyprus

Thu, 24 Jul 2008 00:00:00 GMT

A retired Briton has told a newspaper why he has decided to leave the country and relocate to Cyprus.

Speaking to the Financial Times, 68-year-old Andy Leck said the Mediterranean island offers a number of advantages such as year-round sunshine.

However, he told the publication that monetary concerns have also played a part in influencing his decision to move to another country.

For example, he said Cyprus taxes just five per cent of a person's pension income, compared with 40 per cent in the UK.

This means that he can enjoy a higher amount of disposable income if he settles overseas.

Commenting on the disparity, Mr Leck said: "I save £40,000 a year by being in Cyprus rather than Britain."

This comes soon after Jet-to-Let magazine revealed that almost 40 per cent of prospective British buyers intend to buy a residence in Cyprus within the next year.

Retirees advised to consider Cyprus

Wed, 18 Jun 2008 00:00:00 GMT

Retired Britons who wish to move abroad have been advised to consider setting up home in Cyprus.

The Mediterranean island was recommended by ShelterOffshore.com on the strength of its financial attractions, such as various tax breaks.

For example, the website said that some expats may be entitled to avoid paying inheritance tax, while the state takes just five per cent of a person's pension income.

ShelterOffshore.com added that the cost of living in Cyprus is also much lower than in the UK, particularly in places located away from major tourist resorts.

Commenting on the market, the website remarked: "The sun-kissed Mediterranean paradise is a tax haven for retirees."

In addition, it stated that the island offers an "exceptional" standard of living to foreign nationals.

This comes after Gulf Weekly said Cyprus is "firmly in the top slot" for Britons who wish to retire to foreign shores.

Cyprus sees "real upsurge" in investor interest

Tue, 8 May 2007 00:00:00 GMT

Cyprus' property market is "booming" as interest from British investors sees a "real upsurge", according to Buy Abroad.

The estate agent said that Brits view Cyprus as a "safe place to buy" because of the land registry system, its imminent entry into the eurozone, its tax benefits and the fact that most people speak English.

Buy Abroad added that Cyprus is a "very good place" when it comes to retirement or purchasing an investment property.

Commenting on the tax implications, John Reilly, managing director, said: "The law is very similar to the UK; it's also a tax-efficient environment ? there's no inheritance tax in Cyprus and corporation tax is a lot lower than the UK.

"So it's a much cheaper place to live and you don't have to learn a new language and you can drive on the left and it's warm all year round."

Last week, real estate firm Property Abroad said that Cyprus is a good place to invest because of the growing British expatriate community.

Cyprus & the Euro

Mon, 3 Apr 2006 00:00:00 GMT

Progressing Steadily Towards Adoption Of Euro, Says IMF, by Lorys Charalambous, Tax-News.com, Cyprus 13 January 2006 Cyprus is heading steadily towards the adoption of the European single currency on 1 January 2008 according to Jeroen Kremers, an Executive Director at the International Monetary Fund (IMF), who believes that the sooner Cyprus adopts the euro, the better.

Mr K...

Pensions In Cyprus

Mon, 3 Apr 2006 00:00:00 GMT

You will not be liable to UK tax on your UK pension if you live in a country which has a double taxation agreement with the UK. Under most such agreements pensions are only taxed in the country where you are resident. Where that is the case and you make a claim for relief, the Inland Revenue will authorise payment of your pension without deduction of tax. If there is no relief under ...