Real Estate Purchase by Foreigners in Northern Cyprus — New Regulations as of 16.05.2025

Foreigners can now buy up to 3 apartments or 2 villas in Northern Cyprus! On 16.05.2025, new rules regarding the purchase of real estate by foreigners in Northern Cyprus were published in the official gazette: Official Gazette page 68.

New amendments have been made to the law on property ownership by foreigners dated May 21, 2024. YABANCILARIN TAŞINMAZ MAL EDİNİMİNE İLİŞKİN KURALLARI DÜZENLEYEN YASA GÜCÜNDE KARARNAME
Foreigners can now buy more than one real estate property.

There is a distinction between foreigners and citizens of countries that recognize Northern Cyprus — currently, only citizens of Turkey.

Key Points for Investors:

Foreigners can purchase:

• 3 apartments in different residential complexes or 2 villas within one complex, each no higher than two stories. Previously, after May 21, 2024, foreigners could only purchase one property.
  
  

• For Turkish citizens: up to 6 apartments or 3 villas.
  
  

After the approval of the purchase, the foreigner must adhere to the following timelines:

Fr om the moment approval is obtained fr om the Council of Ministers, one year is given to transfer the property title to their name. For agreements and approvals received before the new law came into effect, there is a six-month period for the title transfer.

Land Ownership Remains Unchanged:

• One can buy one plot of land of up to 1338 m².
  
  

• Alternatively, one can buy a villa to be built on a plot of land not larger than 3300 m².
  
  

Tax Payment Deadlines:

• Tax payments for the transaction must be made within 75 working days.
  
  

• If there is no title deed or if there is an installment plan, the tax payment must still be made within 75 working days. Even if only an installment plan is in place, taxes must be paid within this period.
  
  

• After the installment plan ends, the foreigner has one year to transfer the title.
  
  

• If the purchase is in installments, the year is calculated from the date of the last payment.
  
  

• If deadlines are violated, municipal and energy companies may suspend services to the property.
  
  

Exceeding Property Limits:

If the foreigner exceeds the property lim it or cannot transfer the title, they can receive a 10-year usage certificate. Previously, it was 7 years. Also, if the property has been declared, taxes have been paid, and a license has been obtained in accordance with the vacation homes law, a perpetual certificate can be issued. With this certificate and the payment of all taxes, the property can be sold or transferred without the seller’s involvement.

Final Approvals for Ongoing Developments:

All ongoing constructions must obtain final approvals and licenses within 2 years.

Tax Reductions:

Tax changes include a reduction in the rate from 12% to 9%:

• When registering a property sales agreement:
  
  

• First apartment: 6%
  
  

• Second apartment: 3%
  
  

• Third apartment: 3%
  
  

• Ownership transfer fees:
  
  

• First title: 3%
  
  

• Second title: 6%
  
  

• Third title: 6%
  
  

If the contract is registered without paying the standard taxes (only the stamp duty is paid), the transfer fee will be 9% for each title.

The requirement to pay half of the seller's tax when selling a declared property has been removed.

Declaration of Property Exceeding the Allowed Share:

• The deadline for declaring a property exceeding the allowed share is 6 months from the publication of the amendment at a 1% rate. After that, the rate increases to 3%.
  
  

Contracts signed before the new law comes into effect can be registered within 6 months in the land registry. If only one of the three apartments has been registered, the remaining two can be registered within this 6-month period.

Northern Cyprus Is Targeted at Foreign Buyers:

In complexes, 80% of the properties can now be sold to foreigners. Previously, the law stated that 20% had to be sold to citizens of Northern Cyprus or countries that recognize it. Now, it’s 80% for foreigners and 20% for Cypriots.

According to the old law dated May 21, this applies to projects that received approval after the law came into effect.

Easier Residency Permits:

Previously, a residence permit for property owners was granted for 1 year with the possibility of renewal. Now, it is granted for 2 years. If the Council of Ministers approves the property purchase, the residence permit can be extended for up to 5 years.

To apply, one still needs to show a minimum income equivalent to one minimum wage per month.

Construction:

An amendment from April 3, 2025, has been added:

It is now possible to open a company wh ere 49% of the shares will be owned by foreigners from countries recognizing Northern Cyprus (Turkey), and 51% by the licensed Cypriot developer. This company can engage in construction and sales.

Rental:

As the vacation homes law has not yet passed, the March 28 bill currently regulates short-term rentals (less than 60 days). The tax rate depends on the category of property: standard, comfort, luxury, etc. A rental license is required.

These changes are designed to stimulate the real estate market, attract foreign investors and buyers to Northern Cyprus.

Stay Property invites you to a free consultation about real estate in Northern Cyprus. Request a callback, and we will get in touch with you.