Non-EU citizens who purchase property in Cyprus can benefit from a new and accelerated procedure for obtaining a Permanent Residence Permit. The parents (his and or her spouse's) of Permanent Residency holders or future applicants can also apply for a permit. Given this new procedure and the savings of thousands of Euros due to the abolition of transfer fees, now is the best time to buy property in Cyprus.
Benefits of Cyprus Permanent Residence
- Cyprus Residence Permit is permanent and no need for future reconsideration. It is a lifetime permit.
- Cyprus Permanent Residence applies to the entire family (parents, children, grandparents).
- Cyprus Permanent Residents have the right (under certain conditions) to apply for a Cypriot passport following their physical presence for a total of 5 years within a 7 year period.
- Once the Cyprus Permanent Residence Permit is obtained the applicant and his family included in his Immigration permit will be entitled to apply for a Schengen Visa through any Schengen European Embassy. It is very important to note that Cyprus is expected to enter the Schengen Zone soon.
- Cyprus has a relaxed, stress-free lifestyle with the lowest crime rate in Europe.
- No Inheritance Tax applies in Cyprus.
- Cyprus offers an ideal family environment, enabling your children to benefit from excellent schools and universities while healthcare and infrastructure are all state-of-the-art.
- Cyprus is one of the most popular destinations for setting up companies with only a 12.5% corporate tax rate, and double taxation treaties with almost 60 countries.
- Risk free Freehold property ensures permanent property rights
CYPRUS PERMANENT RESIDENCE PERMIT WITHOUT RIGHT TO WORK
THIS PERMIT :
- Concerns NON EU citizens
- It is granted to the applicant and his spouse till the rest of their lives
- It is granted to their minor children till the age of 18 years old (in some exceptions till the age of 25 years old)
- Holders of this Permit are not entitled to work in Cyprus
- Holders of this Permit may own Cyprus Company and receive dividends from its profit
- Reasons for revocation of the Permanent Residence Permit:
- When the holder of this Permit was granted permanent Residence Permit in another Country (other than the country of his nationality)
- When he did not visit Cyprus for a period longer than 2 years continuously
WAYS TO OBTAIN IT :
- Fast Track Procedure (Regulation 6(2)): within 2 months
- Category F (Regulation 5(f)): within 5- 12 months
FAST-TRACK PROCEDURE FOR GRANTING PERMANENT RESIDENCE PERMIT
REGULATION 6(2) OF THE ALIENS AND IMMIGRATION REGULATIONS
- Must be purchased in Cyprus
- Purchasers could be just an applicant or just his spouse or the applicant and his spouse or a Cyprus Company as below described
- Vendor must just the Developer, who built this property
- Must be new (not resale)
- The Purchase Price must be at least 300,000 Euro (not including VAT)
- At least 200,000 Euro (not including VAT) should be paid to the Vendor
- Proofs of transfer of 200,000 Euro (not including VAT) from abroad must be provided
- Contract of Sale must be deposited at the Land Registry
IT IS POSSIBLE TO BUY TWO PROPERTIES:
- House (or apartment) + house (or apartment)
- House (or apartment) + shop up to 100 m2
- House (or apartment) + office up to 250 m2
- Total purchase price is more than 300,000 euro (without VAT)
- Both of properties must be new, resale is not accepted
- If two properties are separate they must be purchased from the same developer. It is not required when the properties possible to unite in one because they are connected to each other vertically or horizontally
All conditions are valid for the couple. It will not be accepted purchase of more than two properties by the couple (including purchase by the Company)
WHEN THE PURCHASER IS A COMPANY:
The property could be purchased in the name of the Company.
- Company must be registered in Cyprus
- The applicant or his spouse (or both) must be shareholders and his/their name/ names should appear in the certificate of the shareholders of the Company. Trust deed will not be accepted.
- They must be only shareholders of this Company
If the shareholder of this Company is another Company, it should be proved that only shareholder of that Company is the applicant (his spouse or both)
2. BANK DEPOSIT:
It must be created a bank deposit of 30,000 Euro in a Cypriot Bank, blocked at least for 3 years. It must be proven that 30,000 Euro was transferred to Cyprus from abroad.
3. INCOME OF THE APPLICANT AND HIS SPOUSE:
- Income must be created abroad, not in Cyprus
- The applicant should prove at least 30,000 Euro of income for himself and plus 5,000 Euro for each dependent on him family member
- It should derive from legal sources as salary, rent, pension, interests, dividends, etc.
4. OBLIGATION OF NOT ENGAGING IN ANY PROFESSIONAL ACTIVITIES IN CYPRUS
The holders of the Permanent residence permit must not work in Cyprus. Therefore, they should make Affidavits that they are not going to engage in any professional activity in Cyprus.
Income from dividends in a Cyprus Company of the applicants shall not be considered as a violation of the requirement of not engaging in any professional activity in Cyprus.
5. CLEAN CRIMINAL RECORD
The applicant, his spouse and children from 16 years old should have and provide clean criminal record from the country of their origin. The period of validity of this document is three months.
6. LEGALIZATION AND TRANSLATION OF THE DOCUMENTS
All documents must be translated into English or Greek language by certified translator.
All official documents must be duly legalized by apostille. If the Country, which issued the official document is not a party on the Hague Convention of 5 October 1961, abolishing the requirement of legalization for foreign public documents, then the document must be legalized by the Ministry of Foreigner Affairs and the in the Cyprus Embassy of that Country.
Please note, that for Russian citizens apostille is not required.
PERIOD OF EXAMINATION OF THE APPLICATION
It should be approved within 2 months and PR should be granted provided that:
- All requirements are satisfied
- There are no reasons of rejection due to their criminal records (after the research of the Ministry of Interior) or public order
Dependent Adult Children Age 18- 25:
Application fast track procedure (regulation 6) may be submitted by the adult child. He will get his permit till 25 years of age. After 25 he will have to make his own application for PR as independent person.
- Age 18-25
- To be dependent on the parents
- To provide proof of their studies
- Parents must prove additional 5,000 euro of income for each dependent adult child
- Adult child provides all documents required in his case
Independent Adult Children:
- Age 18 and more
- To be independent on their parents
- Total purchase price of the property of their parents must be 300,000 Euro (without VAT) for each independent adult child
- It must be proved payment of 66% of the total purchase price of the property of their parents
- All other requirements (bank deposit, etc) must be completed
PERMANENT RESIDENCE PERMIT CATEGORY F
REGULATION 5(F) OF THE ALIENS AND IMMIGRATION REGULATIONS
Upon the decision of the Minister of Interior of the Republic of Cyprus, dated on 7/05/2009, when a non EU Member buys a PROPERTY – RESIDENCE for himself and his family of €300.000 and more, his application for Permanent Residence, Category F will be examined favourably.
This type of permit is granted to those NON EU nationals, who possess and have fully and freely at their disposal a SECURED ANNUAL INCOME, high enough to give them a decent living in Cyprus, WITHOUT HAVING TO ENGAGE IN ANY BUSINESS, TRADE OR PROFESSION. This income must come from legal sources from abroad. For example, it might come from pensions, permanent deposits, business activities, ownership of companies, shares etc.
According the provisions of the Law the MINIMUM annual income required is €9,568.17 for a single applicant and €4,613.22 for every dependent person, but the Civil Registry and Migration Department may demand ADDITIONAL AMOUNTS as necessary. These additional amounts might come from annual maintenance expenses of the property, educational, medical and other needs of the family in each particular case. It is always necessary to take in consideration ALL NEEDS OF THE FAMILY of the applicant and to offer solid evidence that the applicant is able to cover all those needs on the long run. He has to prove that the money he is getting from abroad will be enough to cover ALL EXPENSES of the family.
As the Category F is the permit, granted once but for the permanent stay in Cyprus, the Immigration Authorities will examine the STABILITY and RELIABILITY of annual income during a long period of time. The possession of a solid amount of money, deposited in one of the banks of Cyprus might facilitate the application.
Basically, the most important requirements are:
- The applicant has enough money to cover all expenses of all members of his family
- This money come from abroad
- This money come from legal sources
- This income is secured, reliable and consistent on a long run and this income will be maintained in time
If there is a reasonable doubt that the applicant or any of his dependents might become an UNREASONABLE BURDEN ON THE SOCIAL ASSISTANCE of the Republic of Cyprus his application will be rejected.
Those applicants, who do not comply with strict requirement of Regulation 6(2) may apply for PR Permit under Category F.
For instance, if a family owns a property in Cyprus, the value of which is 100,000 Euro we would suggest to apply for permanent residence permit under Category F.