Real Estate in Cyprus Without Ownership Titles: Who Protects the Buyers?

Cypriot MP Kostis Efstathiou has submitted a legislative proposal to resolve the legal uncertainty faced by thousands of property buyers. The proposed amendment to the Specific Performance Law would require the Land Registry to disclose any encumbrances on a property before the transaction is completed—protecting buyers from hidden debts and legal risks, according to Cyprus Property News.

Legal Gap: Thousands of Buyers Without Ownership Rights

The amendment follows a landmark Court of Appeal ruling in February 2025 involving the resale of an apartment. The buyer claimed they had not been informed of a prior sale agreement for the same property. The court confirmed that the Land Registry is not legally required to notify buyers of existing contracts—this responsibility is not stipulated by law.

The ruling was based on the fact that the buyer failed to request a status report on the property prior to purchase. The District Court dismissed the case, finding no negligence on the part of public authorities, and higher courts upheld the decision. The Supreme Court later refused to reopen the case, citing the absence of legal grounds for an appeal.

The ruling confirmed that the Land Registry bears no obligation to inform buyers, sparking concern among legal professionals. Experts warn that even well-meaning buyers who have paid in full may find themselves trapped legally—especially if they fail to submit Form N50 or consult an independent lawyer.

According to a report, conducting a title search is an essential safety measure. If a buyer cannot submit the request themselves, an independent lawyer—not affiliated with the seller or developer—must do so. The report reveals prior contracts, mortgages, liens, and court orders. The fee is €5, and the document is issued in Greek. A list of English-speaking independent lawyers is available via the UK Foreign Office website.

Proposed Reform: Right to Risk Disclosure

Efstathiou’s amendment introduces a targeted but important revision to Article 3 of the Specific Performance Law: land authorities would be obligated to inform parties in writing of any legal encumbrances—such as mortgages, lawsuits, liens, or loans—at the time of submitting the sale agreement to the Land Registry.

A supporting note states that the measure aims to protect good-faith buyers who have submitted sale contracts but are later unable to obtain legal ownership due to undisclosed encumbrances.

Partial Fix: Only Half of Buyers Helped

The Cypriot Ministry of Interior is working on a separate policy package to resolve some frozen cases. Minister Konstantinos Ioannou says the proposed changes will help in about 50% of cases—specifically, those where no encumbrances were recorded when the sale agreement was submitted. In such cases, authorities may allow a forced title transfer to the buyer.

But the fate of the other 50% of buyers remains uncertain. These individuals have already paid in full and fulfilled their obligations, but still do not legally own the property.

Scale of the Problem: Unregistered Property and Planning Risks

Despite government efforts, a significant portion of Cypriot real estate remains without title deeds. In 2014, there were around 120,000 untitled properties; by 2022, that number had dropped to 19,190, but progress remains slow. Thousands of owners still lack legal ownership, and buyers risk acquiring properties with unresolved legal status, notes Estate of Cyprus.

Buyers also face so-called “planning restrictions”: if a property was built in violation of the approved urban plan, it may carry a notation on the title indicating unauthorized works. This makes it impossible to sell or use the property as loan collateral until the violations are resolved.

Many buyers discover these restrictions only after the deal, especially without independent legal checks. Experts warn that a problematic title can be as risky as having no title at all.

Amnesty Program: Limited Legalization

In 2024, Cyprus launched a temporary amnesty program to legalize minor building violations, Cyprus Mail reminds. The program runs from September 2024 to March 2025, but its scope is narrow. It excludes owners without permanent residency and does not apply to serious violations.

Even with a signed and paid contract, buying real estate in Cyprus can lead to major legal complications. Until systemic reforms are implemented—ensuring registry transparency and planning compliance—the risk of title-related legal traps will persist.