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Costs of Buying Property in North Cyprus: Taxes & Fees
The cost of buying property in North Cyprus varies depending on whether the property is new or resale (pre-owned). Resale property means that the property has been sold before. The VAT will have already been paid in this case, but you will be responsible for the title deed transfer tax. The costs also vary by property type, purchase price, payment conditions, and so on. For a detailed overview of each stage, you can also explore our step-by-step guide to the property buying process in North Cyprus.
You should allocate an additional 8% to 20% on top of the property value in North Cyprus.
Here is the breakdown of the costs:
- VAT
- Title Deed Conveyance Tax
- Capital Gains Tax
- Stamp Duty
- Lawyer Expenses
- Notary Fees
- Mortgage Fees (if applicable)
- Electric Distribution Fee
- Utilities & Subscriptions Fees
- Annual Property Tax
Summary of Property Purchase Costs in North Cyprus
| Cost Item | Rate or Amount | Paid By |
| VAT | 5% (new properties only; resale properties are VAT-exempt) | Buyer |
| Title Deed Conveyance Tax | 9% for foreign buyers (first 6% paid upon Land Registry registration); 6% for the first purchase, 8% for the second, and 9% thereafter for Turkish citizens | Buyer |
| Capital Gains Tax (Withholding) | 2.8% for non-professional sellers; 4% for professional sellers | Seller |
| Stamp Duty | 0.5% of the sales price | Buyer |
| Lawyer Expenses | £1,000–£1,500 + 16% VAT | Buyer |
| Notary Fees | £15 per document | Buyer |
| Mortgage Fees | 1% of the mortgage amount (up to 50% of the property value) | Buyer |
| Electric Distribution Fee | Approximately £1,200–£2,500 | Buyer |
| Utilities & Subscriptions Fees | Approximately £220 for water + £200 for electricity | Buyer |
| Annual Property Tax | £0.2 per m² | Property Owner, annually |
Detailed Explanation of the Costs & Fees
1. VAT
A copy of the sale contract is required by the Land Registry Cadastre to calculate VAT. It is currently 5% for new properties. Resale property in Northern Cyprus is exempt from VAT. This is applied if you purchase a brand-new property from the developer. Property price lists do not include VAT at construction companies.
2. Title Deed Conveyance Tax
From 15 May 2025, the tax on the transfer of ownership for foreigners has decreased to 9% of the property value. This payment will be regardless of whether it is the first purchase or not. The first 6% of the purchase price must be paid upon the contract's Land Registry registration. For Turkish citizens, the title transfer tax rate is 6% for the first purchase, 8% for the second, and after that 9% fixed.
3. Capital Gains Tax (Withholding)
This is paid by the seller. For a seller who is not a professional dealer, it is 2.8% of the sale value; for a professional seller it is 4%. Under the Income Tax Law, a seller counts as a professional if they deal in property as a trade, if they are a legal entity, or if they dispose of more than three properties in one calendar year or more than five in three calendar years. A copy of the sale contract is required by the Land Registry Cadastre to calculate the tax. Your exact liability depends on your own transaction and is confirmed by our legal team.
4. Stamp Duty
It is 0.5% of the sales price and paid by the buyer. A copy of the sale contract is required by the Land Registry Cadastre to calculate the tax.
5. Lawyer Expenses
The lawyer fee is around £1000 - £1500 + (16% VAT). Although working with a lawyer is not required, we advise doing so to collect your paperwork and submit your application. Investing in Cyprus will be a very comfortable process for you, especially if you work with a real estate company that has corporate lawyers.
6. Notary Fees
It costs £15 per document.
7. Mortgage Fees (if applicable)
7. Mortgage Fees (if applicable)You can get a mortgage up to 50% of the property value from banks. The mortgage fee is 1%.
8. Electric Distribution Fee
It is around £1,200 - 2,500, depending on the property size.
9. Utilities & Subscriptions Fees
You may pay about £220 for a water subscription and about £200 for an electricity subscription.
10. Annual Property Tax
It is £0.2 per square meter.
The prices given above are average. If you are considering applying for a permanent residence permit in Northern Cyprus, additional procedures and costs may arise. TEKCE experts can provide you with the exact price. You can contact us now or visit our nearest office to learn more.
Example Purchase Cost Calculations in North Cyprus
The following examples show estimated purchase costs for a foreign buyer purchasing a property worth £100,000 in North Cyprus. The calculations are based on the rates and average fees explained above. Actual costs may vary depending on the property, legal services, and the number of documents required.
Example 1: Foreign Buyer Purchasing a New Apartment from a Developer
| Cost Item | Calculation | Estimated Cost |
| Property Price | - | £100,000 |
| VAT | 5% of £100,000 | £5,000 |
| Title Deed Conveyance Tax | 9% of £100,000 | £9,000 |
| Stamp Duty | 0.5% of £100,000 | £500 |
| Lawyer Expenses | £1,000 + 16% VAT | £1,160 |
| Notary Fees | £15 per document* | £15 |
| Electric Distribution Fee | Estimated average fee* | £1,200 |
| Utilities & Subscriptions Fees | Water £220 + Electricity £200 | £420 |
| Total Additional Costs | £17,295 | |
| Total Purchase Cost | £100,000 + £17,295 | £117,295 |
Total additional costs: £17,295, equivalent to approximately 17.3% of the property price.
Example 2: Foreign Buyer Purchasing a Resale Property
This example applies to a resale (pre-owned) property. As VAT has already been paid for the property, the buyer is not required to pay VAT again.
Cost Item | Calculation | Estimated Cost |
| Property Price | — | £100,000 |
| VAT | Resale properties are exempt | £0 |
| Title Deed Conveyance Tax | 9% of £100,000 | £9,000 |
| Stamp Duty | 0.5% of £100,000 | £500 |
| Lawyer Expenses | £1,000 + 16% VAT | £1,160 |
| Notary Fees | £15 per document* | £15 |
| Electric Distribution Fee | Estimated average fee* | £1,200 |
| Utilities & Subscriptions Fees | Water £220 + Electricity £200 | £420 |
| Total Additional Costs | £12,295 | |
| Total Purchase Cost | £100,000 + £12,295 | £112,295 |
Total additional costs: £12,295, equivalent to approximately 12.3% of the property price.
*The actual amount may vary depending on the number of documents, property size, and applicable service fees.
FAQs
How much does it cost to buy a property in North Cyprus?The additional costs of buying property in North Cyprus generally range from 8% to 20% of the purchase price. The total amount may vary depending on whether the property is new or resale, the property type, the sale price, and the payment terms.
How much does it cost to get title deeds in North Cyprus?Title deed costs in Northern Cyprus may change depending on the buyer's nationality and the number of properties they own. For Turkish citizens, the title deed transfer fee is 6% for the first property. This rate is 8% for the second property and 9% for the following property purchases. For foreign buyers, the total title deed transfer fee is 9%.
What is the VAT rate on property in North Cyprus?The VAT rate on new property purchases in North Cyprus is 5%. Resale properties are exempt from VAT.
How much are lawyer fees when buying property in North Cyprus?Lawyer fees for buying property in North Cyprus are approximately £1,000-£1,500 plus 16% VAT. Hiring a lawyer is not mandatory, but legal support can be important for preparing documents and handling the necessary applications during the purchase process.
What annual property taxes do owners pay in North Cyprus?Property owners in North Cyprus pay an annual property tax. The tax is approximately £0.064 per square meter of enclosed area, although the exact amount may vary by municipality.
Who pays the capital gains tax on property sales in North Cyprus, the buyer or the seller?The seller pays the capital gains tax on property sales in North Cyprus. The rate is 2.8% of the sale price for non-professional sellers and 4% for professional sellers. Under the Income Tax Law, sellers are considered professional if they trade in property as a business, are legal entities, or sell more than three properties in one calendar year or more than five properties within three calendar years.
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