Unseen Challenges for Property Sellers in Cyprus
In the picturesque island of Cyprus, the property market is facing a less frequently discussed issue that affects developers and property sellers significantly. While much attention is given to the difficulties buyers encounter when title deeds are not readily available, sellers are often left grappling with their own set of problems.
When buyers fail to comply with their contractual obligations, the repercussions for sellers can be severe. A common scenario involves buyers who, despite the availability of title deeds, do not show up for the scheduled transfer appointments. This lack of action leaves developers saddled with ongoing financial responsibilities such as property taxes, common expenses, and municipal charges. These costs can accumulate rapidly, potentially leading to legal action against the developer, including the imposition of memos on all their properties until the outstanding dues are settled.
Furthermore, developers are forced to manage the administration of the property indefinitely or until the buyer decides to proceed with the transfer. The legal route suggested by the land registry involves developers taking buyers to court to obtain a court order, which can be a lengthy and costly process. Developers may even have to front the transfer fees and taxes owed by the buyer before seeking reimbursement through legal channels—a process that can span decades.
The situation becomes even more complex when properties are sold on to third parties without the developer’s knowledge, leaving them out of the loop and potentially in financial jeopardy. For developers with multiple properties in limbo, the financial strain can be overwhelming and may lead to broader implications for other buyers who are compliant with their contracts but may find their transfers blocked due to the developer’s financial distress.
Antonis Loizou & Associates EPE, a firm specializing in real estate appraisals and development project management, has highlighted these issues and is actively seeking solutions. The firm’s experience with a developer who is unable to close down his company due to non-compliant buyers underscores the gravity of the situation. As Cyprus continues to attract property investors, it’s clear that systemic changes may be necessary to protect all parties involved in property transactions.
For more insights into the complexities of the Cypriot property market, interested parties can reach out to Antonis Loizou & Associates EPE through their website at www.aloizou.com.cy or via email at [email protected].
