Cyprus Property Forum for Buyers, Sellers & Investors

coops wrote: ↑28 Jan 2021 10:45 Ahh- this explains it then!

For your comment: The statistics published show that the difference between the 'declared amount' (the figure in the contract) and 'accepted amount' (the Land Registry figure) is around 7.5%.- so the land registry add on 7.5% to your declared amount.

But what if we have submitted our contract of sale at the LR which shows what we did pay? The problem is that the price may have reduced from what we paid for it- how does that work?

Thank you.

The land registry looks at what the contract price says, if they agree they take this figure if they feel it should have been higher (according to their own valuations) they will use that value. Irrespective is you now sold it for less. If they have a much higher value, you can do an objection there and then, you pay the TFs for the higher amount and they will investigate it further, if they have over charged you they will return the difference. Although it could also go the other way if they feel they under charged you.

One of the main reasons for this is because of monies being paid 'under the table' to reduce the TFs. If you contract price is reasonable then they will just accept that.

Super helpful thank you Nigel.

Am hoping they maybe still have the 50% reduction in costs deal going which will help. It will just be a relief to have this sorted.

What is interesting is that the LR have told us it will take 3 months to process the documents despite saying that our title deeds are ready! I guess Cyprus time- is that usual from your experience?

coops wrote: ↑28 Jan 2021 10:45The problem is that the price may have reduced from what we paid for it- how does that work?

The value of the property at the time the transfer takes place is irrelevant. It's price may have risen or fallen over the umteen years it takes to issue Title Deeds.

Regards,

coops wrote: ↑28 Jan 2021 15:53Am hoping they maybe still have the 50% reduction in costs deal going which will help. It will just be a relief to have this sorted.

I've not heard of any plans to change the fees.

coops wrote: ↑28 Jan 2021 15:53 What is interesting is that the LR have told us it will take 3 months to process the documents despite saying that our title deeds are ready! I guess Cyprus time- is that usual from your experience?

Many in the public sector are self-isolating, which reduces the number of staff working in the offices. Also, I believe that all Title Deeds are prepared and checked in Nicosia, which delays their issue.

I had the deed for my land and it took the Land Registry a tad under 2 years to add my house to it. I gathered all the paperwork necessary and took it to the Land Registry myself. They're very inefficient.

Cheers,

Nigel Howarth wrote: ↑30 Jan 2021 10:50 I've not heard of any plans to change the fees.

This is what it says on the valuation website at the bottom: Note: For all those property sales for which VAT was paid, no transfer fees are applied. For all other cases, a 50% reduction is applied on the amount shown above.​

Thanks Nigel.

Nigel, the land registry have told us that, as part of our title deed application, they contact the developer to check that they have no objection to issuing our title deeds and if they do not respond in 45 days they will proceed anyway. This is a shame as I thought that by doing the route that we did as a trapped buyer they would not need to involve the developer. Is this a standard approach? Thank you for your advice as ever!

coops wrote: ↑12 Feb 2021 09:39 Nigel, the land registry have told us that, as part of our title deed application, they contact the developer to check that they have no objection to issuing our title deeds and if they do not respond in 45 days they will proceed anyway. This is a shame as I thought that by doing the route that we did as a trapped buyer they would not need to involve the developer. Is this a standard approach? Thank you for your advice as ever!

This is the procedure in the law. There is nothing standard about it. The idea is to ensure you have fulfilled all your financial / contractual obligations to the developer. Bit of a joke really when its the developers that have cause the issue in the first place. Alas, this is the law.

Thanks - very helpful. I fear that they will try and sting us for IPT they paid at the higher rate and block our title deeds release this way then forcing us to try and reclaim the overpayment.

coops wrote: ↑12 Feb 2021 11:09 Thanks - very helpful. I fear that they will try and sting us for IPT they paid at the higher rate and block our title deeds release this way then forcing us to try and reclaim the overpayment.

You can request directly at the tax office for the correct amount as I understand it and pay there. The chances are the developer has not made payment anyway.

Interesting- thanks. We have checked with the IPT office and they say that all IPT has been paid and nothing is owing on our property (and we have this in writing). So we wait to see what the developer response is- I dont think they should really be blocking this but as ever it is all about money (for them) and not the buyer who bought and paid for their property in good faith!

Hi Nigel, sorry to ask your advice again but the LR have said that we can go and get our title deeds but they can only tell us the transfer cost on the day that we go to collect them. Is this standard practice? It doesn't allow for very much planning regarding what costs we may need to pay to transfer? Is there a way we can estimate our transfer costs do you think? I know you posted a link above but we paid in CYP and not sure if they convert this into euros for the valuation from the contract? Than you for your advice.

Thanks- we found out ahead of time and paid with JCC