General Questions
  • Why is purchasing a Yiannakas property a safe investment?
  • When is the right time for me to invest?
  • What safeguards are in place to protect my investment?
  • Can I receive my pension in Cyprus?
  • Is there crime in Cyprus?
  • Will peaceful co-existence continue between Northern and Southern Cyprus?
  • What are the terms of payment when buying a property with Yiannakas Real Estate?
  • What do I do if I need a doctor?
  • How easy is it to find work in Cyprus, and will I need a work permit?
  • Why buy in the South, when prices are cheaper in Northern Cyprus?
  • When do I pay the final balance?
  • Is it difficult to get a loan in Cyprus?
  • What happens if I pay the first installment and then the bank rejects us?
  • Is the water and electricity registered on my own name?
  • How can I arrange to have the telephone installed?
  • How much does it cost to transfer funds to Cyprus/Greece/Romania?
  • How much is VAT, and is it included in the sale price?
  • Do I need to make a will?
  • Up to how much land am I allowed to purchase as a non-Cypriot?
  • When will I get the Title Deeds?
  • Can I rent a property long term?
  • How much rental income can I get from my property?
  • Can I re-sell my property and how do I go about it?
  • What set-up expenses can I expect?
  • How much are the communal charges?
  • Do I have to pay ‘Community Tax’?
  • Will all my furniture and electrical appliance be delivered to my property prior to my arrival?
  • When are the balances of the furniture and electrical appliances due?
  • Do I require a TV antenna?
  • How do I get the keys to my property?
  • Will someone from Yiannakas meet us at the property to show around and explain various aspects of the property?
  • How do I arrange Insurance?
  • Who do I contact if I, or my guests, have a problem whilst staying in my property?


    Why is purchasing a Yiannakas property a safe investment?

    Demand for property in Cyprus/Greece and Romania and all countries that we operate in  is high, so much so that almost all property is sold off-plan and there is a guaranteed re-sale market. A strong tourism industry in all countries of operation ensures that rental yields also remain high. Affordable borrowing is an additional plus, with low deposits and low foreign currency mortgages being readily available. Another bonus is low capital gains tax, and the absence of inheritance tax in certain countries.

    Top

    When is the right time for me to invest?

    Property prices have rocketed in recent years, and some feel they could have missed the boat. This couldn’t be further from the truth. Prices are still highly competitive in comparison to other EU destinations. Cyprus/ Greece /Romania are part of the Eurozone, with the Euro due to be introduced in Romania and with Cyprus recently joining in January 2008. Capital appreciation is set to jump again. This is the perfect time for investors to purchase property, whilst the market is still in the early stages of growth.

    Top

    What safeguards are in place to protect my investment?

    Joining the EU has made the availability of The land registry in Cyprus is based on the British system, and safeguards the purchaser’s rights in many ways. Above all, it provides a legal instrument called “specific performance.” Once the sale agreement is signed and a deposit of 30% paid, the contract is deposited at the Land Registry to protect the purchasers’ ownership rights until issuance and transfer of the title deeds into your name. This cannot be withdrawn by anyone and ensures no one but the purchaser can lease, sell, transfer or mortgage the property. If clients wish, a bank guarantee for issuance of the title deeds of your property can be provided, however the cost is borne by the purchaser. Whilst you are in Nicosia, Yiannakas Real Estate will be happy to answer any questions that you may have on this matter.

    Top

    Can I receive my pension in Cyprus?

    UK pensions are easily transferable to Cyprus. For individuals, CYP 2,000 of pension income from abroad is received tax free p.a., and thereafter income tax is applied at the very low rate of 5% to amounts above this. Additionally, Cyprus has double taxation agreements in place with many countries including the UK to prevent double taxation of income. We can refer you to a tax advisor in Cyprus to answer any individual questions you may have.

    Top

    Is there crime in Cyprus?

    Cyprus is virtually crime free and that is why it is such a popular destination for tourists. Street criminality is absent in Cyprus.

    Top

    Will peaceful co-existence continue between Northern and Southern Cyprus?

    Since the Southern part of Cyprus has joined the EU on May 1st 2004, peaceful co-existence with the Northern side will be provided. Already Turkey is a candidate for accession to the EU.

    Top

    What are the terms of payment when buying a property with Yiannakas Real Estate?

    Usually we require a 10% deposit thus removing the property from the market. After signing the contact, a further deposit will be required within one month of signing. The remaining amount is paid in installments varying on the constructed development you are going to invest in and we end up agreeing on. These terms are negotiable as well, considering that bank finance can be a payment option as well.

    Top

    What do I do if I need a doctor?

    If the medical condition is urgent, it is best to go to the General Hospital. There are also numerous Private Clinics who will treat you as long as you have insurance. However, there is also a private 24hour medical service and the details can be obtained from Yiannakas Real Estate offices.

    Top

    How easy is it to find work in Cyprus, and will I need a work permit?

    Since Cyprus entry into the EU on May 1st 2004, all EU citizens have the right of free movement, to live and work in Cyprus without restrictions provided that they hold an EU passport. However, non-Cypriot citizens must still follow the formality of registering at the local immigration office in order to obtain a social security number. Finding a job in Cyprus can be done through visiting the Labour Office, or simply through the local newspapers. Now that Cyprus is an EU member, the co-operate network EURES can be used to assist mobile workers in all aspects of living and working in EU countries such as Cyprus. The EURES website is http://www.europa.eu.int/eures/index.jsp

    Top

    Why buy in the South, when prices are cheaper in Northern Cyprus?

    The northern part of Cyprus is illegally occupied by Turkish troops contrary to UN and EU resolutions and International Law. The Advocate General of the European Union, Juliane Kokott, has advised the European Court of Justice that the only entity to be recognised is the Republic of Cyprus. Transactions in the nothern part are illegal and all EU member states and citizens are bound by Cyprus Courts decisions. As a result there are minimal transaction numbers in the north, in contrast with a vibrant property market in the South with  British , Swedish, German and American buyers all year round.

    Top

    When do I pay the final balance?

    If you are coming out to take delivery of the property, the money should be paid in advance to Yiannakas or deposited into your personal account in Cyprus. It can then be transferred into Yiannakas’s account when you take delivery of the property. If you are not planning to come out when the property is ready, the final payment should be paid on completion of the property.

    Top

    Is it difficult to get a loan in Cyprus?

    The banking system in Cyprus is similar to the British system. Non-Cypriot citizens may open foreign currency and local deposit accounts without difficulty therefore with a foreign deposit account, payments and transactions can be made. The procedures for extending foreign currency loans to non-residents for the acquisition of immovable property in Cyprus are fairly easy. The terms and conditions of the loan facility are as follows:

    • Amount - No maximum amount in any one of the three major currencies, Euro, US$ and Sterling.

    • Repayment period - Maximum of 10 years (Currently being revised and extended) 15-20 years lending period for Cyprus Pound (CYP).

    • Customer’s Contribution - 30% of the total cost payable upfront prior to the disbursement of the loan. 70% can therefore be financed.

    • Interest Rate - LIBOR + 2.5% (Currently being revised, and will eventually be less).

    • Rates for Loans - 4.5% for Euro and 6% for sterling (rates are subject to change).

    • Arrangement Fees - 0.5% on the loan amount payable in advance. Security documents required include: first mortgage on the purchased property or a letter of guarantee issued by the seller of the property and assignment of the applicants right on the contract of sale (the contract of sale should be registered at the Land Registry), personal guarantees of one guarantor (not required for joint applications), and assignment of fire insurance. Kindly note that the above terms and conditions can be amended at any time subject to the Banks Policies and Regulations. Each application will be evaluated on its own merit and its approval or rejection will be up to the banks’ discretion.

    Top

    What happens if I pay the first installment and then the bank rejects us?

    As long as Yiannakas Real Estate recommends you to the bank and the deposits are in place, the chances are very minimal.

    Top

    Is the water and electricity registered on my own name?

    The water meter is automatically registered in your own name but the electricity is registered on Yiannakas’s name. The meters will require to be transferred as soon as possible and you will be given directions and details of the documents you will have to take to the various offices. When you are transferring the names on the meters, it is advisable that you set up direct debits in order that future utilities bills will be paid directly from your bank.

    Top

    How can I arrange to have the telephone installed?

    You contact CYTA (Cyprus Telecommunications Authority) and apply for a phone. Our engineers will already have installed the landlines and it only requires CYTA to check our paperwork and make the final connection. At best, this should only take 24 hours but sometimes there is a delay while the paperwork goes round the various departments within CYTA.

    Top

    How much does it cost to transfer funds to Cyprus/Greece/Romania?

    We can refer you to a foreign exchange dealer, who is able to offer both preferential currency rates and free international transfers to Yiannakas clients.

    Top

    How much is VAT, and is it included in the sale price?

    Vat of 15%, in Cyprus, is on new build property has been passed, with the exception of projects or buildings which have already applied for the planning permit prior to the 1st May 2004. This decision affects all new projects coming onto the market, but the price increase to clients will be closer to 10% due to some of the tax being applied to materials used. There is no VAT applied to the purchase of land up until 2007. VAT is also exempt for re-sale properties.

    Top

    Do I need to make a will?

    It is advisable to make a will in any country where you have immovable assets you would like to pass on in a certain way. Inheritance tax has been abolished in Cyprus.

    Top

    Up to how much land am I allowed to purchase as a non-Cypriot?

    At present, there are restrictions on the amount of land a non-Cypriot can purchase. Currently, this stands at 3 donums (4014m²), however in 2007, this restriction will be reviewed.

    Top

    When will I get the Title Deeds?

    At the moment, it is taking approximately four years for Title Deeds to be prepared. This delay is mainly due to the backlog of work within the Land Registry Office caused by the building boom in Cyprus.

    Top

    Can I rent a property long term?

    If you wish to move to Cyprus before your Yiannakas property is completed, we are happy to arrange long-term rental accommodation for you. Just let our Customer Care Team know when you wish to come to Cyprus, what type of property you would like to rent and they will provide you with a quote at special rates, as you are a Yiannakas client.

    Top

    How much rental income can I get from my property?

    This depends on the rental options you agree with Yiannakas. Yiannakas  is offering:

    • Seasonal Rental Agreement. This allows you to use your property upon request, provided you give us one months notice and no agreement with visitors for rental bookings have been made in advance.

    • Tenancy Rental Agreement. This allows you to earn rental income based on one or more tenancy agreement which will be signed with tenants proposed by Yiannakas, and/or a combination of seasonal and tenancy rentals.

    • Rent on your own and Utilize our Services. This allows you to rent out your property yourself, and use our services to clean and maintain your property and do the laundry.

    Top

    Can I re-sell my property and how do I go about it?

    Yes, Yiannakas Real Estate can sell your property for you and this can be done even after the 30% has been deposited and transferred to your name through the contracts. Of course, you are not obliged to sell through Yiannakas Real Estate.

    Top

    What set-up expenses can I expect?

    You will have to insure the property and the premium can be anywhere from CYP150–CYP350. If you have bought a property, which is part of a development or has communal areas, which have to be maintained, you will also have to pay the Management Agreement in the amount of CYP600. Of this amount, CYP3000 relates to a deposit, which is returnable with interest, should you ever sell the property. The other amount of CYP300 is for the Communal Expenses and relates to the maintenance of the swimming pool, landscaping and gardening, maintenance of lifts, cleaning of corridors and stairwells and common usage of water and electricity. The Communal Expenses are paid one semester in advance. We will suggest that you set up a Standing Order with your bank to facilitate the future payment of Communal Expenses and we will arrange this for you from our office.

    Top

    How much are the communal charges?

    The communal charges cover maintenance of the communal areas in a development. For example, the garden, swimming pool etc. They vary from project to project, but generally range from around CYP 450-600 p.a.

    Top

    Do I have to pay ‘Community Tax’?

    There is a charge set by the various municipalities but it will probably only be around CYP100 per year. Each municipality will set their own rates.

    Top

    Will all my furniture and electrical appliance be delivered to my property prior to my arrival?

    As soon as we have the completion date of the property confirmed and you have advised us of your arrival date, we will arrange with the suppliers to have your goods delivered. If you have shopped at retail outlets other than our recommended suppliers, we will arrange for these companies to have access to the property to deliver your goods.

    Top

    When are the balances of the furniture and electrical appliances due?

    When you arrive to take delivery of your property, the suppliers will expect that you pay them any outstanding balances at that time.

    Top

    Do I require a TV antenna?

    Yiannakas will install the ducting from the roof into your property but if you wish to view local channels, you will have to install an aerial. If you wish to watch Sky channels, you will have to install a satellite dish. It is a requirement that you contact Yiannakas first to obtain permission to erect a satellite dish.

    Top

    How do I get the keys to my property?

    As the property approaches completion, Yiannakas Services will be given the exact completion date and we will contact you to advise you of this and you can then arrange your flights to take delivery of the property. We will arrange for a taxi to collect you at your destination airport and the taxi driver will have the keys to your property. If you are hiring a car, we will make alternative arrangements for you to have the key.

    Top

    Will someone from Yiannakas meet us at the property to show around and explain various aspects of the property?

    Yiannakas Services will not necessarily have personnel there upon your arrival but you will have a meeting with an engineer within a couple of days and at that time, you will be able to discuss any issues with him.

    Top

    How do I arrange Insurance?

    Cypriot Law requires you to have the property insured. Yiannakas Services will arrange this for you, placing the insurance with a company who give Yiannakas clients very competitive rates. Your Sale Agreement most likely has a clause which states that your insurance must be purchased through Yiannakas until the title Deeds have been issued. It is preferable that all owners on a development insure through our recommended company, allowing any claims on the Communal Areas to be processed through the one company.

    Top

    Who do I contact if I, or my guests, have a problem whilst staying in my property?

    You will be able to contact the Yiannakas Services Team at the main office during office hours and you will be given a card with a mobile number should an emergency arise out with normal working hours.

    Top