Larnaca seafront apartments: transfer fee on a resale, VAT on a new build

Cyprus property buying costs: transfer fee or VAT, rarely both.

Cyprus buying costs. Transfer fee or VAT. Brinkman Data brand card.

// Short answer

In Cyprus the big one-off cost depends on whether the property carries VAT. A new build pays VAT, at 19% or 5% on a qualifying primary residence, and no Lands Office transfer fee. A resale pays the transfer fee, at 3%, 5% and 8% by band, halved. Stamp duty was abolished from 1 January 2026.

Rules and rates as of September 2026. Bills to tighten the rules for non-EU buyers were before the House of Representatives when this was written, so check the dated items again before you sign. Every figure links to its source.

What are the one-off costs of buying property in Cyprus?

Either VAT (new builds) or the Lands Office transfer fee (resales), plus legal fees commonly quoted at around 1% to 1.5% plus VAT, and 1% to register a mortgage if you borrow. The non-EU permit has no fee. Rates as of September 2026.

CostRate or amountNotes
Lands Office transfer fee3% on the first €85,000; 5% on €85,000.01 to €170,000; 8% abovePaid by the buyer; 50% reduction across all bands; none where VAT was paid
VAT on a new build19% standard; 5% on a qualifying primary residence5% covers the first 130 m², up to €350,000, if the total is no more than €475,000 and 190 m²
Stamp dutyAbolished from 1 January 2026Documents signed by 31 December 2025 stay under the old rules
Mortgage registration1% of the amount advancedLands Office fee
Legal feesAround 1% to 1.5% plus 19% VATMarket norm, not regulated
Council of Ministers permitNo feeNon-EU buyers only

How are Cyprus transfer fees calculated?

On the sale price, in bands: 3% on the first €85,000, 5% on the part from €85,000.01 to €170,000, and 8% above €170,000, with a 50% reduction across all bands. If the Director of Lands and Surveys judges the declared price too low, the fee is charged on market value instead.

The buyer can object to a market-value assessment, but must pay first. No transfer fee is due at all where VAT was paid on the property.

Can a foreign buyer get 5% VAT on a new build in Cyprus?

Only for a qualifying primary residence, and eligibility for a non-resident was not confirmed. The 5% rate covers the first 130 m² of buildable area, up to €350,000, when the total price is no more than €475,000 and total area no more than 190 m². Everything else pays 19%.

The buyer applies to the Tax Department for the reduced rate before transfer or possession. If the home stops being used as the residence within 10 years, the VAT difference is payable. A transitional regime (5% on the first 200 m², without the 2023 caps) was extended to 31 December 2026 for certain projects. A buyer who will not live in the property should budget 19%.

Is there still stamp duty on buying property in Cyprus?

No. Law 239(I)/2025 repealed the Stamp Duty Laws with effect from 1 January 2026. Before that, a property contract paid 0.15% on the part from €5,001 to €170,000 and 0.20% above, capped at €20,000. Documents signed by at least one party by 31 December 2025 stay under the old rules.

Some official checklists still ask for a contract with stamp duty affixed; they predate the abolition.

How much are lawyer and agent fees in Cyprus?

Legal fees are commonly quoted at around 1% to 1.5% of the price plus 19% VAT, as a market norm rather than a regulated fee. No regulated rate for agent commission was found in any official source, so ask who pays it and how much before you make an offer.

No law was found that makes a lawyer mandatory, but the UK government advises using an independent, English-speaking lawyer and warns that some lawyers act for both the vendor and the developer.

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Frequently Asked Questions

Who pays transfer fees in Cyprus?
The buyer (the transferee), at 3%, 5% and 8% by band with a 50% reduction. None is due where VAT was paid on the property.
Do I pay both VAT and transfer fees on a new build in Cyprus?
No. Where VAT was paid on the property, no Lands Office transfer fee is due.
What is the standard VAT on new property in Cyprus?
19%. The 5% rate applies only to a qualifying primary residence within the area and value caps set by Law 42(I)/2023.
Does the non-EU purchase permit cost anything?
The Ministry of Interior says there is no fee for the application, which takes 2 to 3 weeks.
When was stamp duty abolished in Cyprus?
From 1 January 2026, by Law 239(I)/2025.

Header photo: Valantis Antoniades, CC BY-SA 3.0, via Wikimedia Commons. All credits: image credits.

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Disclaimer

Brinkman Data Analytics is an independent research service. Not financial, investment, tax, or legal advice. All yield figures are estimates based on historical research data and are not guaranteed. International real estate carries risk of partial or total loss of capital.