Transfer fees at Land Registry reduced

[muppet]

Hi saw this this am on my face book courtesy of Ismet Not sure if people were aware of this.........

Transfer fees at Land Registry reduced from 6% to 3% or from 3% to 1% valid until 31st July 2014. This decision was taken today at the meeting of Council of Ministers.
They must be critically short of money.

[come_on_aylin]

That's great news.

Is anyone able to break down what a buyer has to pay and what the seller has to pay in percentages, assuming it's a first time buy. So buyer pays transfer tax at 1%, VAT at 5% - anything else and what does seller have to pay (or possible the buyer if the seller refuses to pay his bit)?

[Belfast Belle]

Hi saw this this am on my face book courtesy of Ismet Not sure if people were aware of this.........

Transfer fees at Land Registry reduced from 6% to 3% or from 3% to 1% valid until 31st July 2014. This decision was taken today at the meeting of Council of Ministers.
They must be critically short of money.

They did the same thing a few years back when we paid ours

[13roman58]

Can anyone tell me how I can verify this as we would take advantage of this if true and not just a rumour,surely if would be in the papers.

[PapaBravo]

Why not check at The 'Citizens Advice Cyprus' office. It is on the Bellapais Road - go up towards Bellapais, turn right at the roundabout (just past Cheshire Homes) and the office is a few hundred yards up the road on the right. Well worth a visit to get the true facts about various issues. It is recommended that you make an appointment first (free, but you can make a donation, or sign up for a year for £50 and all help is free during that year).

Tel: 0392 815 0733, email: chris@citizensadvicecyprus.com

[PoshinDevon]

Would be very worthwhile to get this officially confirmed if this is indeed the case and also post details on this forum.

If anyone has accurate information please share as soon as possible.

Many Thanks

[crofter]

Any more updates please?

Thanks.

[ozankoys]

The new purchase tax rate is 3% with a one off purchase concession of 1% this is going to be effective in 7-10 days time.
Also ex pats will be able to own up to 3 properties subsequent to applying for PTP of course.

[13roman58]

Thank you Ozankoys for that ,can I ask where did you get this information? I presume that the details will be published, do you know if there is a time limit? any details will be gratefully received

[sophie]

Don't you think this is when the BRS should be first in the queue when it comes to giving out correct information.

[ozankoys]

Had already heard it but came from a reputable lawyer this morning. Sorry do not know if it has a time limit.

[cyprusishome]

Sophie, I have never been a member so no bias but the BRS do try to get info as soon as possible however the government, from my experiences, do not want to pass on anything other than through their own publishings. I do know from past dealings with info from the government they tell you one thing in the morning so it is all distributed through forums etc but by the afternoon somebody does what ever it takes to get things changed and then we all appear to run around saying "I was told from a good source", "no I was told from a better source" - you know the rest, believe it when it happens!!!

[tomsteel]

Ref msg10 above. How do you know BRS has not informed its members. Do you consider it should also act for non-members?

[PoshinDevon]

Not a member of the BRS ( yet ) however will be looking at joining when we have extended stays in N Cyprus hopefully next year.

However; if I was involved with the BRS and had confirmation in writing from a 100% reliable source that the tax was reducing to 1% I would see this as an opportunity to gain further members by ensuring good forums such as Kibkom and other sources of information had confirmation of this change. It is after all eventually going to become common knowledge (if this is true) so no reason to inform BRS members only.

It would offer an opportunity for the BRS to further promote themselves and the good work that they do. This may encourage more people to join. Of course they may already have this in hand but before communicating anything want to get the facts 100% correct to avoid confusion.

Hopefully in a few weeks time official information will be forthcoming.

[muppet]

update in Cyprus today

[tomsteel]

I am a member of BRS. They keep members informed of 'confirmed' Governmental dealings on a number of issues involving expats as and when it is confirmed, via emails to members. My membership fee entitles me to such a service, non-members are not entitled. If expats want this, join the BRS, but do not expect our Society to look after your interests for free whilst members are paying. The point regarding good publicity for the BRS is well made and I have experienced an improvement if this area of our business. However, the recent slating on Facebook regarding the BRS notification on the Government's actions on the property scams involving expats and possible remedial action, was, quite frankly, uncalled for. The BRS negotiators with the various Governmental Departments are willing volunteers trying to help, even if I, personally, agree or disagree with what has been agreed/stated.

[ozankoys]

I am a member of BRS & have never received an update email from them!!

[tomsteel]

Ozankoys, contact them and seek an explanation. I received the latest last week with a host of points.

[Groucho]

According to the report in CT (15/02/2014) it does not apply to anyone who has already registered their property with the Land Registry... (that's us - bugger!) of course this may be a misinterpretation by the person giving the info to the paper or the paper getting it wrong... we've seen both of these before.

[ozankoys]

Groucho do you mean you have registered your contract at the Land Registry this is not the same as registering your property.

[PoshinDevon]

Whilst I fully understand and appreciate that as a BRS member who pays a fee that those people should be entitled to access to aditional help and advice. That is one reason to join and become a member.

However; this possible reduction in tax affects many people whether members of the BRS or not. Given that if this is true or not I believe it would do the BRS as an organisation no harm whatsoever to gather and present the facts to everyone. It can do them no harm and in my opinion would help the organisation. The information will eventually be known to all anyway.

Anyway this is not a discussion about the BRS - look forward to reading more on this subject.

[Groucho]

Groucho do you mean you have registered your contract at the Land Registry this is not the same as registering your property.

I'm not sure what the difference between the two is and it would be nice to think that those who've registered their contracts but have not been able to proceed any further (due in most cases to the unwillingness of their builders to comply with their stoppage tax responsibilities and other liabilities) could take advantage of this easement but the cynic in me fears that those people who have only managed to register their contracts but have no deeds yet will be excluded... they want to encourage new business by this measure not tidy old unfinished business - as far as I can see....

[Art]

Groucho,

Yes I think you are right.

The way I read it the reduction will only apply to new purchases and will not apply to properties already registered .

Hopefully I'm wrong.

Also hearing that the next step is to make the land registry dept responsible for the transfer of the Kochan .

This will be subject to a fully paid up contract and the process will completely bypass the landowner /builder but will not apply to anyone currently going through the property legal process.

Changes are a foot I feel but too late for me as I continue to sue my developer for breach of contract.

[cooper]

http://www.nmplegal.com/temporary-reduc ... le-on.html

[Groucho]

Cooper, that sounds a bit different... Naomi Mehmet seems to imply that we WOULD be treated as 'future' purchases because we haven't yet been able to pay our transfer fees... so, that would be nice.

Our trouble is twofold,
1. Our lawyer was and is a total waste of space only interested in fleecing us for more money - even though he was paid at the outset and declared that the payment already made would cover us all the way to Kocan receipt and
2. Our builder is unwilling to cooperate - hopefully the other changes (that simplify the Kocan process and remove the need for the builder's debts to paid as a precondition of Kocan issue) will resolve this one.

Now we need to find a lawyer who will take up where the original one fell short of any duty of care....

[Butterflyaway]

If it takes six months to obtain Permission to Purchase and the end of July is within six months, the Government could not be that stupid to think this new regulation will bring in one penny, unless it applies to existing purchasers.

Why not abolish Permission to Purchase, restrict sales of military sensitive areas to TC. If you have a criminal record, then you cannot obtain title. This would be fairly instantaneous.

Also, when you pay for your new build, the first instalment must include the cost of the land, plus a fixed percentage. Upon payment, the land title is transferred immediately.

It looks like a clear day outside, but there are still a few piggies flying around

[Groucho]

If you have a criminal record, then you cannot obtain title. This would be fairly instantaneous.

I've got a Cliff Richard album... now that is criminal!

I haven't, I lied.....

[Jonnie]

I think it is anyone who is ready to complete the exchange at the land registry but who have not done so yet, technically many people have "ownership" but have not transferred yet. The reference to future purchases just means you cannot get money back if you have already paid.

From NMP

"We would also request that anyone who has received their permission to purchase and whose vendor is ready to complete the transfer of title and who would like to now take title but who has not yet been contacted by our office to make contact with us"

Obviously talking about her clients but clearly if they have their PTP they have already bought.

[cyprusishome]

Once again THEY have lost an opportunity to genuinely set the property market alight again. That is solving the existing problems for hundreds, maybe thousands of buyers who would then tell everyone that is safe to buy here.

There are hundreds of homes either without electricity or surviving on builders electric because the builder or developer has done a runner. We could have our home connected with half a days work, we would pay over the extortionate fees that foreigners have to pay and we would sing from the roof tops. But no, rules is rules!!!! Well bend the fecking rules, the income and good will generated would far outweigh the stupid offer of being able to buy THREE houses with three times the crap.

[ozankoymod]

Our solicitor has confirmed it is now 1% but the goverment is still working on the ammendment and will update asap!

[13roman58]

This is just a way to sell builders unsold projects that probably won,t get permissions in time to qualify
The way that I read it, re-sale properties are not included,this is the usual short shortsightedness as the cash is available to the government,

[PoshinDevon]

We have today received confirmation that the transfer tax is to be reduced from 3% to 1% which is really good news as we are just going thro the process now.

We are not getting to excited about it as after all this is North Cyprus but we do feel pretty optimistic that we can take advantage of this change.

Next few weeks/months will be interesting and will post an update as and when things happen.

[finchy]

What percentage does the builder have to pay to transfer the title?? If the builder has gone out of business or they don't have enough funds what happens?????

[the butlers wife]

When I enquired yesterday about the 1% transfer tax, I was told it only applies to Turkish Cypriots at present. The government has not yet passed this onto expats although they may do so in the near future.

finchy

I understand the builders tax is 4%

[Groucho]

When I enquired yesterday about the 1% transfer tax, I was told it only applies to Turkish Cypriots at present. The government has not yet passed this onto expats although they may do so in the near future.

finchy

I understand the builders tax is 4%

Who did you make your enquiry with? Only some non-TC's have already been confirmed at 1% as I understand it....

[the butlers wife]

We went to see our landowner last week, who also sits on the government body who is trying to get this passed. He told us that at the moment
it only applies to Turkish Cypriots but they are hoping it will extend to expats soon. We have no reason to disbelieve him about this, as he thinks it is unfair that it only applies to Turkish Cypriots.