Buying a property in Cyprus can be both an exciting and daunting experience all at once. It is important to prepare well for the road ahead, to avoid getting overwhelmed or stressed in the process. Many factors should be taken into consideration before deciding where your hard earned cash will go, and it can get all too confusing if you are not aware of the local laws and regulations. Unfortunately many unprepared investors make mistakes when buying property on the island which can translate into costly and time-consuming problems. Let’s take a deep dive into the most common mistakes to avoid when buying property in Cyprus.
- Not Doing Enough Research
One of the biggest traps people fall into is not conducting enough research. Factors such as market trends, location and legal requirements are often overlooked during the investment process. Furthermore it is also a good idea to research the developer or seller to be reassured that they have a good reputation and experience in the industry. By going the extra mile and doing some detective work, you can save yourself from buying into a property that doesn’t fit your criteria or, even worse, does not follow local law framework. For a more comprehensive guide on investing in real estate in Cyprus be sure to check out this article on CyprusNext.
- Not Having a Clear Budget
Another common mistake that should be avoided when buying property in Cyprus is not having a clear budget in mind. Setting your budget before you set off on your investment journey is of utmost importance so that you can have a clear understanding of your financial capacity and envision the type of property you can realistically afford. It is also wise to take into account additional costs that the purchase can entail such as taxes, legal fees and maintenance fees. This way you can avoid being disappointed and wasting both your own and the seller’s time. Strive to be as realistic as possible when setting your numbers and avoid stretching it out beyond your means as tempting as this may be. This way you can avoid any potential financial difficulties in the future.
- Not Hiring a Professional
Many people try to save money by cutting out the middle-man, however, avoiding consulting with a proper professional can prove to be a costly mistake and one that can lead to many legal and financial woes down the road. It’s therefore advisable to work with a professional real estate agent and a lawyer who are well versed with the local framework and regulations. Here at Kalogirou Real Estate, we can guide you through the buying process, help negotiate the best price, and make sure that you are meeting all legal requirements.
- Not Considering the Resale Value
When buying property in Cyprus, another factor often missed by potential buyers, is the consideration of the resale value of the property. Even if you plan on living in this residence for the long-term, you can never foresee what the future holds so in the event that you may need to resell or relocate, it is always good to have a ballpark value in mind for the aftermarket price. Factors that reflect this price could be some of the following: the location of the property, the condition of the building itself, and of course the price and demand for similar properties at the time of buying. So it’s always a great idea to check if the resale value is favourable before making any commitments, especially if you have fallen head over heels for your dream home.
- Not Reading the Contract
Before making the final commitment and signing your contract, it is crucial to carefully read and comprehend all the terms and conditions of your legally binding document. Failure to do so could result in many problems later on, such as legal and financial risks, discrepancies and omissions, unfulfilled expectations, inadequate protection or lack of accountability. Verbal agreements or promises not fully documented in writing can be troublesome to enforce later on and you may struggle to make the other party stick to these requirements in the future. Therefore once you ensure that you fully understand all written terms, you can have piece of mind that all is in good order and sign up for your dream property.
- Not Checking the Property’s Title Deed
The title deed is of utmost importance as this is what validates ownership of the property to any named owner. Before going ahead with your purchase, it is essential to thoroughly go over the title deed and ensure there are no ownership-related complications or disputes. Furthermore it is also important to make sure that the seller is the rightful legal owner of the property at the time of selling, and that there are no legal claims, debts or loans attached to the property. Taking these precautions will help ensure that the transfer of ownership is a smooth process while protecting your own interests.
- Not Inspecting the Property
Another major blunder that can be made throughout the journey of purchasing your first property is failing to inspect the premises prior to sealing the deal. It would be wise to always check for any structural issues, plumbing problems, electrical or any other abnormalities that could cost you money in the future. Furthermore, confirming that the property complies to local building codes and regulations is an absolute must to avoid a headache later on. By undertaking a full and comprehensive inspection on the building, you can make an well-informed decision and eliminate any risks of non-compliance or unexpected costs in due course.
To conclude, if you are considering a purchase in the world of Real Estate in Cyprus, it is of utmost importance to avoid all these mistakes by carefully following all the above points mentioned. By being diligent and proactive, buyers can easily navigate the process with minimal stress and have a pleasant buying experience in Cyprus.