The procedure of transferring a Cyprus Property to the Land Registry Office
Property law is the area of law that governs the various forms of ownership and tenancy in real property and in personal property, within the common law legal system. In the civil law system, there is a division between movable and immovable property. Movable property roughly corresponds to personal property, while immovable property corresponds to real estate or real property, and the associated rights and obligations.
The Legal System in Cyprus according with the conveyance procedure of property, is normally based on UK legislation, but in the discipline of immovable property the Cyprus legislation and its legal system is different than the one implemented in the UK. The provisions of the Constitution of Cyprus protect the safety of ownership, the ultimate Law of Cyprus which established the equality of all persons in respect of human rights. The Land Registry System of Cyprus maintains an accurate and effective registry of all the immovable property and land, as well as records of all the transactions including the attractiveness of submission of Property Purchase Agreements.
The transmission process is fairly complicated and involves the legal jargon located in the Title Deeds, checking the background of the property and several title searches usually by the lawyer acting on behalf of the consumer. The system of conveyance is designed to ensure that a buyer secures the legal identity to ‘immovable property’ with all the rights related with that ‘immovable property and is notified of any regulations in advance of the purchase.
The process begins with an offer made by the vendor and the acceptance of the buyer by signing the contract for property reservation. Both parties must be legally able to promote or transfer the property before the process starts. In addition, a legal advice should be sought at this stage, due to the fact that the buyer’s legal advisor will review and possibly amend the contract of sale safeguarding the interests of the buyer as well as carry out a number of investigations as to the documentation and licenses of the property.
Since both parties have signed the contract, four copies are made and stamped at the District Land’s Office. One of them is stamped with the word ‘Original’ and will be kept by the buyer’s lawyer on the buyer’s behalf. The other three copies are stamped with a currency stamp and certified as true copies of the original. One of the copies of the ‘Sale Agreement’ is itemized with the District Land Registry Office for reasons of ‘Specific Performance’. If there is a mortgage provider, then a copy of the Agreement is given to it and the final copy is given to the major seller.
The ‘Law of Specific Performance’ stipulates that once the Sale Agreement is placed with the District Land Registry Office and provided that both parties are in a position to give effect to the transfer, then up to six months of notification can be applied by the buyer to the seller, after which the seller must affect the transfer. Once the Agreement is deposited with the District Land Registry, the seller cannot sell it to someone else and the seller cannot renege on the agreement. When the Sale Agreement has been registered to the District Land Registry Office, the transfer fees are calculated on the property value on the date that the Agreement was signed.
In order to transfer freehold ownership into the name of the purchaser, transfer fees must be paid. The buyer is primarily responsible for the payment of the transfer fees and it is payable to the Government at the time of the transfer of the property and the matter of a title deed in the name of the buyer. The property cannot be transferred into the name of the purchaser until the relevant Government authority has issued the Title Deed.
For more information and guidance please email Michalaki, Pitsillidou & Co LLC – iMPK Global Business Law Firm – Cyprus Lawyers, at email@example.com or visit our website at www.impklawyers.com.Tel. +357 25660092 – Fax +357 25 660097.