Cyprus Permanent Residence by Investment – Why & How

Cyprus is the ideal choice for global investors seeking a destination with a high quality of life, an exceptional legal and regulatory infrastructure, ease of doing business, and access to European markets.

Why Obtain Cyprus Permanent Residence?

For investors with dependent family members, acquiring permanent residence in Cyprus comes with a multitude of benefits, for instance:

  • Cyprus was ranked 5th safest country in the world by ValuePenguin.
  • According to a 2017 World Health Organisation (WHO) report, Cyprus is the safest country in the world for young people to live, out of 184 countries across the globe (source).
  • Cyprus is a popular tourist destination for international travellers, and renowned for its warm hospitality across the island.
  • The country has a robust economy with a number of opportunities in high-growth sectors including shipping, tourism, real estate, energy, technology, start-ups, and many others.
  • Cyprus boasts an attractive tax regime with a range of favourable incentives, and a transparent, business-friendly legal framework within which to operate.
  • Cyprus has the highest tertiary education percentage within the EU (2015: 54.6% in Cyprus compared to 38.7% EU average) (Invest Cyprus).
  • The acquisition of permanent residence in Cyprus, and thereby a Cyprus passport, gives you the right to travel within the European Union, with no restrictions.

How to Obtain a Permanent Residence Permit in Cyprus

In order to acquire permanent residence in Cyprus, various criteria require to be met. Primarily, the principal applicant needs to evidence that they have a sufficient yearly income to comfortably support him/herself and any other dependents, without the need to seek employment or engage in any business. The application for Permanent Residence takes roughly two months to be finalized from the date that all required documentation has been submitted.

More specifically:

  • The applicant needs to show an income of minimum €30k that is derived from abroad and not through employment in Cyprus. This may be evidenced by way of rents received, confirmation of pension, a pay slip, income from dividends, or statements of fixed deposits. In the case that the applicant is accompanied by a spouse and/or children, the minimum income requirement increases by €5k for each individual. In the case of dependent parents, the minimum income requirement increases by €8k per parent.
  • The applicant must be able to provide a confirmation letter from a local Cyprus bank confirming that he/she has deposited a minimum of €30k which has been transferred from a bank abroad, and not derived from income earned in Cyprus.
  • The applicant must be able to show proof of ownership of a residential property with a minimum market value of minimum €300k (excluding VAT). This can be evidenced by way of a Title Deed or purchase agreement of the property, confirming the applicant’s name as the buyer. In the case of the purchase of a first residence, the VAT payable can be reduced by 5% on the first 200 square meters of the property’s building area (certain conditions apply). Funds utilized to purchase the property need to be transferred from an international bank to a local Cyprus bank.

Additional supporting documentation

Upon submission of the applicant’s Permanent Residence application, he/she must also provide:

  1. Birth Certificate
  2. Proof of medical coverage/insurance
  3. Apostilled police clearance from country of origin
  4. Curriculum Vitae (CV)
  5. Confirmation of the applicant’s income
  6. Declaration that the applicant will not be employed or partake in any form of business in Cyprus

Upon acquisition of Permanent Residence in Cyprus, applicants will be required to enter Cyprus at least once every two year. If the applicant retains their permanent residence status and lives on the island for a minimum of seven years, they will be eligible to apply for Cyprus citizenship.

For any further information or questions regarding Permanent Residence by Investment in Cyprus, please don’t hesitate in contacting our office by telephone on +357 22272360 or by email at info@dplawcyprus.com.

 

 

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