1. What is the procedure for Purchasing Property in North Cyprus?

• Decide which North Cyprus property is right for you and agree a price.
• A contract is drawn up by your appointed solicitor who will then proceed with the terms of the sale, ie Agreed Price, Timescale and any special conditions that maybe involved.
• All relevant paperwork to be signed by both parties (Vendor & Purchaser).
• Purchaser pays 20% deposit or a deposit agreed, followed by stage payments listed on your contract.
• A purchase permit is applied for by your solicitor from the Council Of Ministers
• Once purchase permit is received, the remaining balance is due from the purchaser.
• When the purchaser has paid the balance the vendor signs the Title Deed into the name of the purchaser and the sale is now officially at completion. 

2. What are the extra costs involved when purchasing property in Northern Cyprus?

• Application for Purchase Permit and Solicitors costs are approximately £1,200
• VAT 5% (payable on transfering the deeds into customers name)
• Approximate costs for electricity and water connection £200 to £600
• Approximate cost for annual property tax £15
• Land  transfer fees - 3% for the first property purchased. If 3 properties are bought and sold within a 12 month period you will be classed as a professional and will be liable to pay 6%
• Council Tax is 1% of the 3% Land transfer fees
• Stamp Duty which is levied by Land Registry is 0.5% of the value of the property.
  
• You will be given the option to pay the stamp duty at this point of signing the contract of sale. Under new regulations, the Tax Office are requesting to see a copy of the contract of sale prior to transfer of title with all stamp duty paid up. Stamp duty is payable at 0.5% of the contract price if paid within 1 month of the contract date. If it is not paid within this time, it increases until it becomes 1.5% if paid after 6 months. You will have the option to pay upfront or pay on transfer of title and pay a higher rate. Please request a copy of our Guide to Taxes for Property Transactions for more detailed information on this.

3. Do I have to use a solicitor to purchase property in North Cyprus?

The answer to this is definately YES

The solicitors will conduct the necessary land registry searches on your behalf to ensure that the vendor is the registered freehold owner of the land and that there are no mortgages / charges, injunctions or other encumbrances on the property. They will also check that the building permission for the construction has been obtained.
They will then make the application to the Council of Ministers for your permission to purchase. Whilst processing your purchase permit application, the Council of Ministers will take searches from the land registry, the military and the immigration authorities and provided that these are positive, the permission will be granted. The permission process can take a long time to complete; the current estimation is around two years.
However, this will not prevent you from moving into the property or leasing the property or possibly even selling the North Cyprus property – as standard practice. Solicitors will also provide advice on making wills to secure your investment.
Average price for solicitors charges are £1,200