This is Law 110(I)/2025, published on July 4, 2025
It's an amendment to the Transfer and Mortgage of Immovable Property Laws of 1965 to (No. 2) of 2024
The title suggests it relates to "trapped purchasers" - people who have purchased property but haven't been able to obtain title deeds
The preamble explains the background:
In 2015, provisions were introduced (Articles 44IH to 44KZ) to protect "trapped buyers"
In 2023, legislation was amended to ensure the process of buying and transferring property ownership and solving the problem of property buyers who, despite fulfilling their contractual obligations, cannot have the property transferred to them due to encumbrances
According to Appeal No. 285/2018, issued on June 20, 2024, Articles 44IT to 44KB were deemed unconstitutional as contrary to Articles 23 and 26 of the Constitution
Article 23 of the Constitution provides for the regulation of property rights on immovable property through legislation that complies with the principle of proportionality and protects the rights of bona fide parties
There is a need to balance the constitutional rights of all parties involved in a sale contract (buyer, seller, and mortgage lender)
The key amendments to the law:
Article 44IB is amended to add a new paragraph (iii) regarding applications under Part VIB concerning a deposited contract for which no title deed has been issued. It requires a certificate from the competent authority stating that it's not possible to issue a title deed according to the Streets and Buildings Regulation Law.
Article 44IH is replaced with a new article defining the scope of application for Articles 44IT to 44KZ. It applies when:
a) The property is encumbered with a contract that was:
i) concluded and deposited at the District Land Registry Office by December 31, 2014, or
ii) concluded by December 31, 2014 and deposited pursuant to a court order under the Sale of Immovable Property (Specific Performance) Law on an application filed by December 31, 2024
b) A title deed has been issued for the property
c) If there are registered encumbrances or prohibitions preceding the deposit of the contract, written consent has been submitted by those in whose favor they operate
d) If consent is not secured and the purchase price has been fully paid, a court order has been submitted stating that those in whose favor the encumbrances operate are refusing consent abusively and unjustifiably
Article 44IT is amended to provide for the suspension of pending procedures until the examination of an application is completed, whether the purchase price has been paid in full or partially.
Article 44K is amended to:
a) Add a new condition requiring written consent for the release, elimination, or cancellation of encumbrances
b) Add provisions for applications submitted before this amendment law came into force
c) Extend the deadline for payment of the balance of the purchase price from 30 to 60 days
d) Allow the Director to reject applications if conditions are not met within the prescribed timeframes
Article 44KA is amended to set a 60-day deadline for providing documents and allow the Director to reject applications if documents are not provided within this timeframe.
Article 44KG is amended regarding the notification of mortgage transfers.
Article 44KST is amended to add definitions for "licensed institution" and "written consent".
Process for Trapped Purchasers under the New Law:
Eligibility:
The property must be subject to a sale contract concluded and deposited by December 31, 2014, or concluded by that date and deposited pursuant to a court order on an application filed by December 31, 2024
A title deed must have been issued for the property
If there are encumbrances predating the contract, written consent from encumbrance holders is needed (or a court order declaring refusal of consent is abusive)
Application Process:
a) For new applications:
Submit an application to the District Land Registry Office
Provide proof that a title deed has been issued
Provide written consent from encumbrance holders or a court order
Pay any remaining balance of the purchase price within 60 days of notice
b) For applications submitted before this law:
Title deed must be issued within 2 years and 8 months from the law's effective date
Within 8 months of notification from the Director, submit:
For buildings with horizontal division or vertical separation: certificate of building permit
For land division: confirmation that notification of completion has been submitted
Pay any remaining balance of the purchase price within 60 days of notice
Processing:
The Director will examine the application if all conditions are met
Pending procedures (foreclosures, bankruptcies, etc.) are suspended during examination
The Director may request additional documents, to be provided within 60 days
If conditions aren't met or documents aren't provided, the application may be rejected
Transfer of Property:
If there's a mortgage with the buyer as primary debtor, the Director will notify both the buyer and the mortgage lender about the transfer
If there's an assignment of security or loan contract, the Director will notify the assignee or lender
Special Cases:
If permits are missing: The law now provides for cases where title deeds cannot be issued due to building regulation issues, requiring a certificate from the competent authority
If encumbrances exist: Written consent is needed from those in whose favor the encumbrances operate, or a court order stating refusal is abusive
Key Changes of Cyprus's New Trapped Purchasers Law (N.110(I)/2025) from the Previous Law:
Constitutional Compliance: The amendments address the constitutional issues raised in Appeal No. 285/2018, which found parts of the previous law unconstitutional.
Title Deed Requirement: There is now a clear requirement that a title deed must have been issued for the property (with provisions for existing applications).
Extended Timeframes: The deadline for paying the remaining purchase price has been extended from 30 to 60 days.
Clearer Process for Existing Applications: The law now has specific provisions for applications submitted before the amendment, giving them time to meet the new requirements.
Better Protection for Mortgage Lenders: The amendments include specific provisions for notifying mortgage lenders and transferring mortgages.
Addressing Permit Issues: The law now explicitly addresses cases where title deeds cannot be issued due to building regulation issues.
Rejection Provisions: The Director now has clearer authority to reject applications if requirements aren't met.
Analysis of Cyprus's New Trapped Purchasers Law (N.110(I)/2025), This new law, published on July 4, 2025, amends the Transfer and Mortgage of Immovable Property Laws to address the situation of "trapped purchasers" - people who have bought property but cannot obtain title deeds due to various encumbrances or issues.
Background Context
The law aims to resolve constitutional issues from a June 2024 court ruling (Appeal No. 285/2018) which found previous provisions unconstitutional. The amendments create a legally sound framework to protect property buyers while respecting the rights of all parties involved.
Key Eligibility Requirements
To benefit from this law, your situation must meet these criteria:
Contract date requirement: Your sale contract must have been either:
Concluded and deposited at the District Land Registry by December 31, 2014, OR
Concluded by December 31, 2014 and deposited via court order through an application filed by December 31, 2024
Title deed status: A title deed must have been issued for the property
If no title deed exists, special provisions apply (see below)
Encumbrance clearance: If encumbrances exist that predate your contract deposit, you need either:
Written consent from encumbrance holders for their removal, OR
A court order declaring their refusal to provide consent is abusive and unjustified
Application Process for Trapped Purchasers
For New Applications:
Submit an application to your District Land Registry Office
Provide proof that a title deed has been issued for the property
Submit written consent from encumbrance holders (if applicable)
Pay any remaining balance of the purchase price within 60 days of being notified
For Applications Submitted Before This Law:
You have 2 years and 8 months from the law's effective date to ensure a title deed is issued
Within 8 months of notification from the Director, you must submit:
For buildings: certificate of building permit issued under relevant articles of the Streets and Buildings Regulation Law
For land divisions: confirmation that completion notification has been submitted
Pay any remaining purchase price balance within 60 days of notification
For Properties Without Title Deeds:
The new law specifically addresses situations where title deeds cannot be issued due to building regulation issues:
You'll need a certificate from the competent authority (as defined in the Streets and Buildings Regulation Law) stating that title deed issuance is not feasible
The Director may reject applications if title deeds cannot be issued after the prescribed period
Key Procedural Benefits
Suspension of enforcement actions: Pending foreclosures, bankruptcies, or other proceedings are suspended while your application is being examined
Protection against property disposal: Filing a court application for the necessary court order creates a prohibition against disposal of the property
Mortgage transfer provisions: If you have a mortgage with yourself as primary debtor, the Director will notify both you and the mortgage lender about the transfer and the mortgage will be transferred to the property
Major Changes from Previous Law
Constitutional compliance: The amendments align with constitutional requirements regarding property rights
Title deed requirement: Clear requirement for a title deed to be issued (with reasonable timeframes for compliance)
Extended deadlines: Payment periods extended from 30 to 60 days
Clear process for existing applications: Specific provisions for applications submitted before this amendment
Permit issues addressed: Explicit provisions for cases where permits are missing or title deeds cannot be issued
Clearer rejection criteria: The Director now has defined authority to reject non-compliant applications
Steps if Facing Missing Permits/Plans
Determine if title deed issuance is feasible - consult with the competent authority under the Streets and Buildings Regulation Law
If not feasible, obtain the required certificate stating this
For existing applications, you have the extended compliance period (2 years and 8 months) to resolve permit issues
If you have an existing planning/building permit, the 8-month submission period begins from the expiry of that permit or its first extension
This law provides a structured pathway for trapped purchasers while balancing the constitutional rights of all parties involved in property transactions in Cyprus
