a) Purchasers buying a property built some years ago, or is one unit and not part of a complex, can acquire their Title deed immediately.The procedure is exactly the same as in the U.K. It is wise to appoint a local lawyer. The lawyer must then make a search and if the results are satisfactory, contracts can be exchanged immediately. The vendor then  provides the title deed without delay.

b) Purchasers of a property under construction, or just completed or part of a project, must follow a slightly different procedure and cannot acquire the Title Deed to their property immediately. The Title deeds to new properties, or to properties which are part of a project, take approximately 2-4 years to be issued, following completion.

Purchasers can feel safe as long as their lawyer acts as follows;

i) A search  is made to confirm that the land on which the project is under construction ,or has just been completed ,is clear of any encumbrances.

ii) Ensures that stage payments are in accordance with the progress of the work .

iii) That the contract of sale is stamped by the tax office and lodged with th eland registry for specific performance purposes, (law cap 232 as amended by the laws 50/70, 96/72, and 51(1)/95).

The lodging of the contract with the land registry office (fee CY£1.00) is very important because the property is then blocked and the vendor cannot sell it or transfer it to anyone else. Neither can the property really be mortgaged by the vendor as the banks are not in favour of waiting in line.

In the unforeseen event that a Developer should suffer financial problems, the purchasers must be satisfied first, then the banks. Hence it is in general, the policy of the banks to avoid the mortgage of the property by the vendor.

If the contract is not lodged with the land registry, the purchaser (s) cannot sue the vendor requesting the specific property. He/she can only sue for the market value of the property at the date of the breach. The lodging of the contract with the land registry office secures and restricts the amount payable for transfer fees (stamp duty) which are payable when the purchaser (s) acquire their title deed.

By lodging the contract, the land registry is bound to take as the value of the property, the value as at the date of the contract. In this way, the purchaser (s) do not pay heavy transfer fees based on a valuation much after the date the property was purchased.

Contracts must be stamped within 30 days of signing otherwise a penalty is charged and added to the cost of the stamps. The contract must also be lodged with the land registry office within 60 days of signing, failure to do so results in the right to lodge being lost, and the contract can then never be lodged.

The title deeds take time to be issued because the companies developing land, must secure a building permit, a certificate of approval for the building, division permit and a certificate of approval for the division of the land, for submission to the land registry to issue separate Title Deeds. Government departments are very busy and title deeds take some time to be released. The lack of a separate title deed does not prevent a property owner from selling their property. In this instance a cancellation contract between the original purchasers and the vendor, and a new contract of sale between the vendor and the new purchaser will be drawn up.

Purchasers must, at the time of purchase, agree the cancellation fee that the developer will charge, should the purchaser decide to sell his/her property before the separate title deed is issued. It is advisable to include this agreement in the contract of sale.