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Public plots in Cyprus for 25% of their value. Who can benefit?
State-owned plots in Cyprus They are to be sold to selected families for 25 percent of their market value. In the first phase, the government plans to make approximately 570 plots available across all districts. However, the program is not open to everyone – it applies to families of Cypriot citizens who meet the criteria of age, income, place of residence, and assets.
President Nikos Christodoulides presented the program as part of the new housing measures. A second measure was also announced, allowing families to use an existing house or plot of land to create additional housing for children or grandchildren.
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State-owned plots in Cyprus for 25% of their value
The program is aimed at families of citizens of the Republic of Cyprus. Applicants must be under 45 years of age at the time of application.
The following persons will be able to apply for a plot:
- married couples and couples with children,
- married couples and couples without children,
- single-parent families.
The program does not cover single people.
Applicants must reside permanently in the town where the plot is located or in a town located no further than 15 kilometres from its borders.
What are the income limits?
The program provides for annual gross income limits depending on the number of family members.
The applicable thresholds are:
- 45,000 euros for a couple or single-parent family;
- 50,000 euros for a family of three;
- 55,000 euros for a family of four;
- 65,000 euros for a family of at least five people.
The situation of the entire household will be taken into account, not just the income of the person formally submitting the application.
Who won't be able to benefit?
Applicants cannot own a house or a plot of land suitable for building their own apartment.
Real estate assets associated with family members should also be considered when assessing assets. Detailed rules for assessing assets should be outlined in the relevant recruitment documentation.
Simply meeting the income limit does not guarantee a plot of land. Age, citizenship, place of residence, assets, and priority order will also be factors.
Who will get priority?
Priority will be given to people who come from a given town and live there permanently.
The next groups on the list are:
- displaced persons living in a given community;
- people intending to return to their hometown;
- repatriates;
- residents of towns located within a radius of 15 kilometers.
The program is therefore intended to support primarily local families and smaller, mountainous and remote communities.
A cheap plot of land does not mean a cheap house
The price of the land is to correspond to one quarter of its market value, calculated after dividing the plots.
However, the family will need to cover infrastructure costs separately. These may include:
- construction or preparation of roads,
- water supply,
- power connection,
- other technical installations,
- design and permits,
- the construction of the house itself.
The final expense will therefore be much higher than the price of a state-owned plot.
How big will the plots and houses be?
The new plots are to have an area of approximately 325 to 371 square meters.
A home built under the program will not be allowed to exceed 150 square meters of usable floor area. Some uncovered terraces, sheds, and auxiliary rooms may not count towards this limit if they meet the requirements specified in the program rules.
The property is intended to meet the family's housing needs, not for quick resale at a profit.
The construction will take three years
The beneficiary will have three years to complete the construction, counting from the signing of the contract.
In justified cases, the district administration may extend this deadline by one year.
If the house isn't built within the required timeframe, the plot may revert to the state. The second anticipated consequence is the obligation to pay the difference up to the full market value of the land.
The plot will not be available for sale until construction is completed. Once the house is built, the sale of the property will be blocked for the next five years.
The restrictions are intended to prevent the taking of state land for the purpose of quick profit.
Where will the approximately 570 plots be located?
The largest number of plots was identified in the Paphos and Larnaca districts.
The approximate breakdown is as follows:
- over 200 plots in the Paphos district;
- over 140 in Larnaca district;
- over 100 in Limassol district;
- over 40 in Nicosia district;
- about 30 in the Famagusta district.
The towns mentioned included, among others, Kouklia, Acheleia, Xylotymbou, Xylofagou, Zygi, Kalo Chorio, Arakapas, Episkopi, Ypsonas, Potamia, Lympia and Frenaros.
The numbers are indicative and may be further clarified when announcing recruitment for individual communities.
Can I submit applications now?
The announcement of the program does not mean the launch of a single nationwide recruitment for all plots.
The first approximately 570 plots will be allocated primarily to those who have previously expressed interest. Subsequent applications will be announced separately for specific locations.
Information should be sought at:
- district administrations,
- local offices and community councils,
- Ministry of Internal Affairs,
- official announcements regarding housing policy.
You should not deposit money or provide documents to intermediaries relying solely on media reports. Your application should be submitted through an officially announced procedure.
The second program will allow the construction of an apartment for children
At the same time, the government announced a separate program for the use of existing family real estate.
It is intended to allow the creation of an additional apartment for children or grandchildren by:
- extension of the first floor,
- extension of an existing house,
- separation of an additional residential unit,
- use of family plot.
In certain cases, an additional apartment may be built even if the standard building factor has already been used up.
The new unit is expected to have a floor area of up to 150 square meters, and in some cases up to 180 square meters. However, the exact terms of this program should be considered separately from the sale of state-owned plots.
Real estate market
The program will not solve the entire housing problem
Selling state-owned plots of land for 25% of their value could significantly lower the entry threshold for some young families. However, the cost of construction, infrastructure, and investment financing will remain the biggest barrier.
The program is also limited to Cypriot citizens, specific localities and families meeting restrictive criteria.
Approximately 570 plots are the first phase, not a comprehensive offering available to every island resident. The government has announced further allocations of state-owned land, but subsequent locations, deadlines, and rules for the applications will require separate announcements.
Publicly owned plots in Cyprus are indeed expected to cost 25% of their market value. However, to qualify, you must have Cypriot citizenship, meet family and financial criteria, and have the means to build a house.
Sources: Government of the Republic of Cyprus, SigmaLive, AlphaNews, Phileleftheros.
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