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North Cyprus

Comprehensive Guide to Buying Off-Plan Property in North Cyprus for Foreign Investors

Buying Property for Foreigners:

  • Non-Turkish citizens can buy property but there are limitations, generally goes for both EU and non-EU citizens.
  • You can buy one apartment, one house, or a limited amount of land (1,338 m2)
  • You will usually need permission from the TRNC Council of Ministers.

EU citizens might need additional documentation to the passport, such as proof of income

Important Steps Before Buying:

  • Legal Consultation: It’s highly advisable to consult a TRNC lawyer experienced in property transactions.
  • Due Diligence: Verify that the seller or development company owns the land and has all necessary permits and documentation.
  • Initial Contract: An initial reservation contract is usually signed, and a deposit is made to reserve the property.
  • Final Contract: Once due diligence is completed, the final sales contract is signed and must be registered at the District Land Office within a specific timeframe.

           

And don’t forget to apply to the Ministry of Interior for Permission to Purchase (PTP). It is an easy process, involving a background checkup.

             *The PTP gives the purchaser the right to become a legal owner of the property.

             *This process takes about 6-12 months after the application, Usually.

Additional Costs and Rules:

  • Stamp duty

Before you officially register your property purchase at the District Land Office, you need to pay a stamp duty. 

           0.5% of the property’s sale price. You pay this fee at the Tax Office. As well as 6% contract registration tax must be paid on registration

  • VAT (KDV)
    If you’re buying property from a professional seller in Northern Cyprus, you have to pay a 5% Value Added Tax (VAT) of the contract price.

           Normally, you pay this tax when you get the keys to the property. However, both you and the seller can agree to delay this payment until the property’s official ownership papers (the title deed) are transferred to you.

  • Transfer Tax
    Before  putting the property under your name, there’s a small extra tax of 6% that you pay to the local city or town office. This extra tax is calculated based on the Transfer Fee amount.

Obligations After Purchase:

  • Title Deed: After you’ve paid for everything, you’ll need to complete the process to get the official papers, known as the title deed, that say you own the property.
  • Utilities: You’ll have to set up your water, electricity, and possibly gas services.
  • Local Taxes: Every year, you’ll need to pay local taxes for services like garbage collection.
  • Property Maintenance: Depending on your property, there may be regular maintenance or homeowners association fees.
  • Insurance: Consider getting property insurance to protect against unexpected issues like damage or theft.

Buying a Second Property:

If you’re a foreigner in the TRNC, you might face restrictions on owning multiple properties. Usually, you can own just one property or a small piece of land. 

For a second property, you’d likely need special permission from the TRNC government. Each new property requires its own set of paperwork, fees, and possibly additional government permissions.

Residence Permit:

Buying a property in the Turkish Republic of Northern Cyprus (TRNC) will make it easy for you to get a residency