The real cost of buying a new build in Cyprus on top of the price: 2026 breakdown

Vitalii Zuev · · 5 min

The price on a developer’s price list is not the full amount you pay. Here is what a buyer pays on top of it in 2026, with a real example.

What the costs are

1. VAT — the main cost: 19% or 5%. 19% applies to all new builds from a developer. 5% applies only to an individual’s main residence when all conditions are met (see our article on reduced VAT). When VAT is paid, no Land Registry transfer fee is charged.

2. Stamp duty — €0. Abolished for all documents signed from 01.01.2026.

3. Depositing the contract with the Land Registry — €50. A fixed fee for lodging the sale agreement.

4. Lawyer — 1% + VAT. For handling the transaction; complex deals may cost more.

5. Mortgage — if you borrow. Mortgage registration with the Land Registry is 1% of the loan, valuation €250–500, assignment of the contract to the bank, lawyer’s signature and bank processing about €640, plus life insurance (€1,200 a year) and property insurance (€550 a year) for the life of the loan.

6. Power of attorney — if you buy remotely. Certified by a certifying officer in Cyprus or by a notary in your country of residence with an apostille. Usually €100–500.

Example: a €300,000 new build bought as an investment

Item Amount
VAT 19% €57,000
Stamp duty €0
Contract deposit with Land Registry €50
Lawyer 1% + 19% VAT €3,570
Total on top of the price €60,620

With a €150,000 loan (a 50% down payment is typical for non-EU buyers):

Item Amount
Mortgage registration 1% €1,500
Property valuation €250–500
Assignment of contract to bank €250
Lawyer on the mortgage agreement €250
Bank processing €140
Life insurance, year 1 ~€1,200
Property insurance, year 1 ~€550
Total with mortgage €64,760–65,010

Of this, €4,140–4,390 goes on the mortgage in the first year. After that only insurance, about €1,750 a year.

How to get the budget right

  • Check whether VAT is included in the developer’s price — listings often show the price excluding VAT.
  • Check whether the property qualifies for 5% VAT: the difference can be tens of thousands of euros.
  • Allow a buffer for the shekel–euro exchange rate — payments are made in euros.
  • If you need a mortgage, make sure the project has a Building Permit: without it the bank will not lend.

We prepare this calculation for every property on your shortlist — free of charge and before you pay a deposit.

Indicative calculation: final amounts depend on the property, bank and deal terms. This is not tax or legal advice. Data as of September 2026.

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