A legislative loophole enables non-EU nationals to acquire property in Cyprus without obtaining mandatory permits, according to an Interior Ministry response to parliamentary questions.
Foreign nationals can obtain real estate by purchasing assignment documents from property holders and depositing them at District Land Registry offices without requiring prior approval from district governors, the ministry confirmed on 8 August.
The system allows foreigners to exploit properties indefinitely without undergoing regulatory oversight, effectively circumventing laws designed to restrict foreign property ownership.
“Assignment documents are equivalent to sale contracts for the purposes of applying the Acquisition of Immovable Property (Aliens) Law Chapter 109,” the Interior Ministry stated in response to MP Nikos Georgiou. “The assignee is considered the new buyer and, if a third-country national, requires an acquisition licence from the Governor during the transfer process, but this licence is not a prerequisite for depositing the assignment document at the competent District Land Registry Office.”
The ministry acknowledged that all sale and assignment documents involving third-country nationals as buyers have been deposited at District Land Registry offices without acquisition licences, as current legislation does not require prior approval.
Sources told Phileleftheros that the current system enables foreigners to purchase multiple properties beyond the single property limit established by existing regulations. Non-EU nationals can use properties indefinitely through assignment documents without needing to secure ownership titles or governor permits.
The issue intensifies concerns about land sales to foreign nationals, which have created socio-economic consequences. MP Nikos Georgiou’s proposed legislation in January highlighted vulnerabilities in existing laws, which are routinely bypassed through corporate purchases that avoid regulatory scrutiny.
Interior Minister Konstantinos Ioannou acknowledged in August that the legislation is outdated and “requires revision.” The ministry has contacted the Law Office to address the issue through repealing current laws and establishing new regulations.
Ministry officials confirmed that staff have been assigned to resolve the matter, with work underway to identify necessary legislative replacements and prepare related proposals.
The Council of Ministers delegated oversight powers to district governors in 1999, transferring authority previously held by the government body to approve or reject foreign land purchases under Article 3 of the Acquisition of Immovable Property (Aliens) Law.
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