Case Study: Property Due Diligence in Cyprus Before Reservation
Why did the client contact us before signing a reservation agreement for a property in Cyprus?
Our client, residing in Spain and planning to relocate to Cyprus with his family, selected a villa near Paphos during his visit to the island. The real estate agent showed him a beautiful property – sea view, terrace, pool. “You can reserve it right now!”
However, with experience living in the EU, the client understood: a real estate agent is not a lawyer, and legal mistakes in property transactions can cost tens of thousands of euros.
What raised concerns for the client? The client independently requested legal and architectural documentation from the developer but received only partial drawings. No Title Deeds, building permits, or planning permissions were provided.
That’s why, before signing even a Reservation Agreement, he contacted Feod Group for professional legal assistance.
Objective
To verify the legal safety of the transaction before signing any documents and to avoid risks related to:
- absence of ownership rights (Title Deeds);
- illegal construction;
- potential debts of the developer;
- loss of the 5% VAT benefit and eligibility for permanent residency in Cyprus.
What we did for our client
✔️ Requested a Land Registry Search – a document the developer must provide within 1 day. It allows verification of any charges, mortgages, or debts on the property or developer company.
✔️ Conducted an on-site technical audit – an independent engineer and architect visited the plot and provided a professional opinion on construction quality and compliance with the plans.
✔️ Analyzed legal risks – verified the absence of legal disputes and reviewed the history of the property.
✔️ Prepared the reservation agreement and the final sale and purchase agreement after all checks – Feod Group lawyers made all necessary revisions and added legal guarantees to protect the client’s interests from the very first step of the transaction.
✔️ Handled the client’s financial documentation, including source of funds verification and AML compliance.
✔️ Negotiated with the developer on key terms of the deal – payment timelines, property handover stages, quality guarantees to ensure transparency and security throughout.
✔️ Provided full relocation support: immigration status, company registration, tax and accounting consulting – all within one company.
This is what full legal support for a property purchase in Cyprus looks like with the buyer’s interests as a priority.
Result for the client
The client received:
- full legal protection,
- confidence in the transaction’s transparency,
- assistance not only with the purchase but also with relocation,
- and all of it — within one company.
What every property buyer in Cyprus should remember
In Cyprus, the Reservation Agreement often includes an initial payment. If the buyer later backs out or legal issues arise, it can be difficult to recover the funds especially if the contract does not clearly stipulate refund conditions.
That’s why we always recommend: do not sign or pay anything until proper property due diligence is done.
Feod Group – Legal Protection at Every Step Legal due diligence in Cyprus is not optional — it is essential. We ensure your transaction is safe, professional, and fully aligned with your relocation goals.
We unite lawyers, architects, tax advisors, and immigration specialists under one brand for your safety and comfort.
Planning to purchase property in Cyprus?
Contact Feod Group before signing any documents!
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Griva Digeni 49, Chrystalla Court 1st Floor Office 11, 6036 Larnaca, Cyprus
11B Lyuteranska St., off. 23, 01024