How to Buy Property in Cyprus: Complete Guide for Foreigners in 2025

Are you planning to buy property in Cyprus in 2025? Cyprus is an attractive destination for investors and those who dream of a home by the sea. With a stable economy, favorable tax regime and the possibility of obtaining a permanent residence permit (PR) through investment, the island is becoming increasingly popular among foreigners. The city of Paphos, known for its historical sites and developed infrastructure, is especially popular.

How to buy property in Cyprus as a foreigner

Foreign citizens, including non-EU residents, have the right to purchase property in Cyprus. However, third-country nationals are required to obtain permission from the Council of Ministers of the Republic of Cyprus. This procedure is usually a formality and rarely causes complications.

Restrictions on buying property in Cyprus

• One house or apartment.
• A plot of land up to 4,014 m².

To purchase additional property, you can register it in the name of a company or family members.

Procedure: How to buy property in Cyprus

Step 1: Choosing a property

First of all, study the property market, determine your budget and preferences. Paphos offers a wide range of properties: from apartments to villas with sea views.

Step 2: Signing a preliminary contract

Once you have chosen a property, a preliminary sale and purchase agreement is signed and a deposit is paid.

Step 3: Obtaining permission

Then an application is submitted to the Council of Ministers for permission to purchase the property. As a rule, the procedure takes up to 3 months.

Step 4: Property Registration

Finally, after receiving permission, the property rights are registered with the Land Department.

Taxes and additional costs when buying property in Cyprus

• VAT: 5% for primary housing, otherwise – 19%.
• Stamp duty: up to 0.2% of the property value.
• Transfer tax: 3-8% for secondary housing.
• Capital gains tax: 20% of the difference between the purchase and sale price.
• Additional fee: 0.4% to the state fund for the support of immigrants.

How to obtain permanent residence through the purchase of real estate in Cyprus

The purchase of real estate worth from €300,000 gives the right to obtain permanent residence under the accelerated program. In addition, there are additional requirements:

• Annual income from abroad: from €50,000 for the main applicant.
• Health insurance for all family members.

Thus, permanent residence allows you to live in Cyprus without restrictions. However, it does not give the right to work.

Cyprus citizenship through investment in real estate

After 8 years of residence in Cyprus with permanent residence, you can apply for citizenship. This requires living in the country for at least 2920 days, including continuous residence during the last year before submitting the application.

Real Estate in Paphos: How to Choose and Buy in 2025

• Average price of an apartment: from €200,000 to €500,000.
• Villas with sea views: from €400,000 and up.
• Possibility of obtaining permanent residence when buying real estate worth €300,000 or more.

Conclusion

In order to buy real estate in Cyprus and arrange everything correctly, it is important to understand local legislation, taxation and the property registration process. Ultimately, compliance with all requirements will ensure you a reliable purchase and a comfortable life on the island.