Help - Need Some Advice Please

Questions about selling property
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MrWhorf
Posts: 2
Joined: 27 Mar 2014 14:25

Help - Need Some Advice Please

Post by MrWhorf » 28 Mar 2014 13:05

Hi all, first post and hoping for some help. :-)

I live in England and have an apartment in Larnaca which was gifted to me from my mother, I also have the title deeds in my name.

I have decided to sell the apartment and have a friend who also lives in England that would like to purchase it. We have agreed on a price but no clue as to what to do next.

Can you please help with some advice i.e. what is the procedure that I have to follow - which department in Cyprus do I have to contact at this stage?

Also can you please explain to me the costs involved for both myself and the buyer.

And lastly, do I still have to pay Capital Gains Tax even though the apartment was a gift from my mother.

Really appreciate any help that you can offer.

Many thanks
Steve



Nigel Howarth
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Re: Help - Need Some Advice Please

Post by Nigel Howarth » 28 Mar 2014 16:58

Hi Steve and welcome to the forum.

Unless you and your friend wish to travel to Cyprus to conclude the deal, the best thing you can do is appoint a decent, independent lawyer here in Cyprus to sort all this out for you.

The British High Commission publishes a list of lawyers that may be able to help. You can find that list at https://www.gov.uk/government/uploads/s ... mplate.pdf . As the property is in Larnaca, I suggest you get in touch with Tasos Coucounis (and perhaps a couple of others in the area).

I know Tasos quite well - he's the President of the Rotary Club of Larnaca (I'm a Past President of the Limassol-Berengaria Cosmopolitan Rotary Club). As well as knowing Tasos through Rotary, he also defended defended (and won) a case brought against Denis O'Hare of the Cyprus Property Action Group a few years ago.

As well as your legal fees, you will have to pay Capital Gains Tax. This is calculated at 20% of the 'profit' you make from the sale less allowable expenses and an allowance for inflation. As the property was gifted to you, I'm not sure how the capital gain will be calculated.

As well as your friend's legal fees, they will also have to pay Property Transfer Fees (a government tax) based on the market value of the property at its date of sale as assessed by the Land Registry. Note that this may be more than the price he is actually paying you (but NEVER less).

Your friend can get a rough guide to their property transfer fees online by visiting the Cyprus Department of Lands and Surveys - Transfer Fees Calculator at http://www.moi.gov.cy/moi/dls/dls.nsf/d ... n?openform

The actual transfer process is described on page 45 of the Lands & Surveys 'Citizens Charter', a copy of which you can get from http://cdn.cyprus-property-buyers.com/w ... harter.pdf

Regards,


Nigel Howarth
Independent information & advice for Cyprus property buyers
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MrWhorf
Posts: 2
Joined: 27 Mar 2014 14:25

Re: Help - Need Some Advice Please

Post by MrWhorf » 30 Mar 2014 16:54

Hi Nigel

Many thanks for the helpful reply, and also the links that you provided.

It's very much appreciated!

Steve



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