Thousands of Cypriots and foreigners who found themselves trapped and stuck in legal limbo over property purchases may finally see light at the end of the tunnel.
A significant development has emerged from a collaboration between the Ministry of the Interior and Parliament, aiming to offer real solutions for around 8,000 so-called “trapped” property buyers.
What’s the issue?
These individuals paid for properties but never received their title deeds, often because developers had mortgaged the land or due to complications with planning permission. The result? Families living in homes they legally paid for, but which they cannot officially claim as their own.
This longstanding issue has been both a legal and moral thorn for many years in Cyprus, with countless buyers caught in a tangle of red tape, developer debt, and bank claims.
The proposed trapped buyers solution
Interior Minister Constantinos Ioannou and the Parliamentary Legal Affairs Committee have now agreed on the framework for a new bill designed to break the deadlock. This draft legislation includes safeguards that will allow trapped buyers under certain conditions, which have yet to be revealed, to finally secure title deeds for their properties.
After a series of meetings with all relevant stakeholders, including the Association of Banks and vulture funds, the Ministry believes it has found common ground. Importantly, the final draft will be shared with the Association of Banks in a bid to secure their support and avoid legal appeals.
According to the Minister, “We are on the right track,” and it’s now only a matter of time before the bill goes before the House of Representatives for a vote.
What does the trapped buyers bill cover?
While the technical details are still being finalised, Minister Ioannou confirmed that the bill applies to both those with older and newer claims on the properties. It also includes concrete provisions for how and when local district offices must issue title deeds, along with safeguards to protect the rights of buyers.
The aim is clear: to ensure that people who bought property in good faith are no longer left in limbo due to financial or legal issues beyond their control.
Urban planning amnesty also underway
In parallel, the government is working on a separate bill aimed at resolving issues for buyers trapped due to urban planning violations. This is still in the early stages, but there’s already a lifeline available: a planning amnesty, valid until 15 June, which allows owners to legalise unauthorised constructions – be it extra building area, or other minor irregularities.
This amnesty doesn’t just cover homes; it extends to commercial, industrial, agricultural properties and restaurants. Those affected are urged to act quickly.
Political support for the bill
Michalis Yiakoumi, an MP from the Democratic Alignment party, echoed the urgency of the matter: “This issue affects a lot of people, and they’re not to blame. This bill is a step in the right direction.”
He highlighted that many of these buyers have fulfilled all their financial obligations yet are still without title deeds due to failures by banks and developers. “They are paying for the sins of others,” he said, adding that the bill has been refined to include as many affected individuals as possible.
What’s next?
With cross-party support and momentum building, the bill is expected to reach the House plenary soon. If passed, it could finally offer relief to thousands of families, many of whom have waited years, even decades, for justice.
For now, all eyes are on Parliament. But for those trapped in this bureaucratic nightmare, hope is finally within reach. But the devil will be in the detail and whether the banks will support the bill.
I bought an apartment in Paralimni in 2004 and paid for it in strage payments. The appliccation for Title deeds has been waiting for years since my application in 2016 and it is because of 16 issues down to the developer beyond my control. The developer isnt budging and land registry is waiting for him to fulfil the requirements which he isnt. I welcome this new law and legislation to assist me in getting Title Deeds however it brings it about. Will the developer be forced to comply by Land regitry and government?
I can’t second guess the legislation, we’ll have to wait and see. But I expect it will include the scope and extent of planning violations it addresses. (I keep an eye on the draft legislation as it becomes available – and I’ll publish an article when it’s published.)