Frequently Asked Questions
We get many questions from our customers. Here we have collected the most common questions with answers. Hopefully the answer to your question is here. Otherwise, you are of course welcome to contact us here with your questions or comments.
What do the different title deeds mean?
There are generally 3 different types of teams in North Cyprus;
● Turkish Title did – Real estate owned by Turkish Cypriots before 1974.
● Exchange Title did – Real estate granted to Turkish Cypriots in compensation for real estate that they left on the south side after 1974.
● TMD Title deed – Real estate granted by the authorities to Turkish Cypriots after 1974 to encourage occupation. (not sold to foreign nationals)
Is it safe to buy real estate in North Cyprus?
The Immovable Property Commission (IPC) was created by the European Court of Human Rights in 2005 to provide a local solution for land or compensation requirements to Greek Cypriots. Previously, their only opportunity was to turn to the “European Court of Human Rights” (ECHR), which was unnecessarily costly and time consuming for both the court and the plaintiff.
IPC has its office in Nicosia and its operations officially started on March 17, 2006.
In addition to providing a solution for the plaintiff, it has also led to providing complete protection for buyers of real estate in the north.
The ECHR has established that it is a final and effective solution to the Cyprus problem. Landowners can receive either financial compensation or compensation with other land (if the property has not been improved or transferred to another).
IPC has successfully contributed to an overall solution of land issues in northern and southern Cyprus.
In addition, the IPC has successfully managed the exchange of land between Turkish and Greek Cypriots, which reduces the economic burden for IPC.
A study by ECHR of all decisions on land issues provides total security and protection for buyers of real estate in northern Cyprus. Buyers are also protected and can feel completely confident in the fact that ECHR is the supreme court and its decision is final and can not be appealed.
Some advice, regarding the Greek / Turkish Cypriot question, that it would not be safe to buy real estate in northern Cyprus is HOWLY FAILURE!
Read more www.tamk.gov.ct.tr
Are there any restrictions for a non-citizen to own a property?
Non-citizens have the right to own land / land (only one) of max 5 donum (1 donum = 1339 square meters) per household. If you wish to own more land or more real estate, or a property larger than 5 donum, you need to find a person you trust who can own the property in his name or register a company that owns real estate.
Can my husband and I buy a property each?
No, husband and wife are counted as a household and current property laws say only one property per household.
Can I sell the property before I have received my title deed?
Yes, you can sell your property before you have received your title deed.
Do I have to wait for the purchase permit before I can move into my property?
No, when your property is ready, you will be able to take possession of your property and move in.
Will I have to pay a profit tax on the sale of my property, if so, how much will it be?
This depends on whether you are an individual or a professional seller. Each individual has the opportunity to use tax-free sales at any time in his life. If you make use of this, you will not have to pay a profit tax. On each subsequent sale you will pay 3.5% profit tax, based on the fact that you do not sell more than 3 properties during that year. If you sell more than 3 properties in one year, you count as a professional seller and pay 6.25% profit tax.
What happens if I sell before I received my title deed, will I still have to pay a profit tax?
If you sell the property for more than you bought it, you will still have to pay a profit tax. If the team has not changed in your name, it is still in the last seller’s name. The name of the team speed determines who needs to pay a profit tax. Since the previous seller will not want to pay for more profit than it had, it will be written to a clause in the contract that points to this. You will therefore be paid a profit on your part of the profit.
Is it possible to get loan for the purchase of properties?
As a European citizen, you can borrow from a North Cypriot bank to 50% of the purchase price at an annual interest rate of 6-8%. This only applies to real estate with registered landlords (not “off plan” real estate and real estate under construction). To be granted loans, you must meet certain requirements from the bank, including fixed income from your home country.
The most common thing is to lend a possible. property in home country for property abroad. This means taking a loan on an existing mortgage loan with significantly lower interest rates than a North Cypriot bank offers.
For buildings that are off-plan, under construction or new production, construction companies offer a financing plan, often called “in-house loan” or “payment plan”. This varies between the companies but usually you pay 25-30% of the purchase price when signing the purchase agreement and the remainder in installment for 3-5 years without interest or at a lower interest rate than the bank.
Do I need a passport or visa to enter North Cyprus?
If you are a citizen of an EU country with at least 6 months left before the passport expires, you will get into Northern Cyprus. When you arrive at Ercan Airport in the north or when you cross the South and North border you will receive a visa in your passport. There is no cost for this. Normally you can stay in the country for 90 days per visit.
Is it easy to cross the border between north and south?
There are several passages along the border where you can take you between the Turkish Republic of Cyprus and the Greek Republic of Cyprus. The main passage is in Nicosia at Ledra Palace and Metehan and at Famagusta. EU citizens can cross the border with a valid passport, while other citizens need to contact the Greek Embassy in their home country. Your passport will be checked on both sides of the border. There are restrictions on what and how much you can import / export. E.g. There are restrictions on alcohol, cigarettes, etc. Getting across the border is very easy. If you drive by car, you will need an insurance that can be purchased at the border. One month costs about £ 25. (You need insurance for each side).
What is the currency of north Cyprus?
The currency is in Turkish Lira. The exchange rate is liquid but stable. Euros, US Dollars and English Pounds usually also pay. If possible exchange is usually paid back in Turkish Lira. Generally speaking, it is most advantageous to trade with Turkish Lira.
Why is the English Pound mentioned so often?
All property purchases are made with English Pounds. Attorney fees and taxes on the purchase of property are also made in the English Pound.