On May 15, 2025, Northern Cyprus radically changed the rules for foreign investors. What has been awaited for years has finally happened.
What has changed: previously, foreigners could only buy one property. Decree 19/2025 from May 15, 2025, lifted these restrictions and opened new opportunities for building an investment portfolio.
The title transfer tax has been reduced from 12% to 9%. As a bonus to the increased ownership limits, the government has lowered the property ownership tax rate. The savings amount to 3% of the property's value – that’s tens of thousands for expensive properties.
New limits for foreigners: now you can acquire:
- Up to 3 apartments at the same time
- Or a house with a plot of up to 3300m²
- Or 2 two-story villas in a complex
- Or a plot of land measuring 1338m²
For Turkish citizens, the limits are even higher:
- Up to 6 apartments
- Or 3 villas in a complex
- The other limits remain the same.
Why this is important for investors: risk diversification: you can buy an apartment by the sea, in the mountains, and in the city center. Different types of rentals: long-term for locals, short-term for tourists, corporate for expats.
Tax advantages remain: multiple ownership does not change the tax status. There are still minimal taxes on rental income.
Market impact: experts expect an increase in demand from serious investors who were previously limited to one property. This could push prices up, especially in popular locations.
Practical points: the law is already in effect, but the registration procedures may take time. It is recommended to work only with reliable agents who are familiar with the new requirements.
Window of opportunity: while the market has not yet reacted to changes with price increases, there is a chance to enter under favorable conditions. Especially interesting are complexes with ready infrastructure in Kyrenia, Famagusta, and Iskele.
This is the most significant change in Northern Cyprus real estate legislation in the last 20 years. For long-term investors who understand the specifics of the region, this is a historic opportunity.
