What Should Those Who Want to Buy a House in TRNC Pay Attention to?

Cyprus is one of the island countries where it is easy to buy a house, both for living and for investment. There are certain legal regulations regarding owning real estate in Northern Cyprus. So what should those who want to buy a house in Northern Cyprus pay attention to? What does equivalent title deed mean? What is the labor cost of Turkish title deed? Here are the details that Turkish citizens should pay attention to when buying a house in the TRNC. 

   Northern Cyprus, which hosts foreign students, has an important position for investment.  

Contents: What Should Those Who Want to Buy a House in the TRNC Pay Attention to?

  1. Recommendations for Those Who Want to Buy a House in the TRNC: Check the Real Estate Investigation Document
  2. Recommendations for Those Who Want to Buy a House in TRNC: Prefer Reliable Construction Companies in Official Institutions
  3. Recommendations for Those Who Want to Buy a House in TRNC: Sign Your Contract with a Local Lawyer
  4. Advice for Those Who Want to Buy a House in TRNC: Check Your Real Estate's KTEB Membership

1. Recommendations for Those Who Want to Buy a House in TRNC: Check the Real Estate Research Document

The legal status of the real estate you plan to buy should be examined first.

The Land Registry and Cadastre Office of the city where the real estate is located should be checked for any mortgages, seizures or similar restrictions on the real estate.

There is no title deed search service for this process in the TRNC. Therefore, it is important to check the Immovable Property Research Document, also known as the Search Document, from the relevant Land Registry and Cadastre Office.

There are various types of title deeds (koçan) in Northern Cyprus. In the TRNC, these are called title deed types:  

In the Turkish Republic of Northern Cyprus, there are generally 3 types of title deeds for real estate: 

In the most general framework, there are three types of Cyprus title deeds (title deeds). 

  • Turkish title deed
  • Equivalent title deed
  • Allocation title deed

1.1. What Should We Understand When We Say Turkish Title Deed?

It is the most valuable title deed in the Cyprus real estate sector. Regardless of the identity of the real estate owner, it means the title deed of the real estate owned before 1974.

Especially those who come from Turkey and want to buy a house in the TRNC, considering the possibility of a question mark for equivalence and allocation, are focusing on Turkish title deed housing. The region with the most Turkish title deed real estate is Lefkoşa 

Unfortunately, some realtors and builders who harm the sector and consider daily earnings as profit, can use this weakness to sell even allocation title deeds as Turkish title deeds. We recommend that you conduct your research on this subject through official institutions. 

Therefore, before purchasing a land or residence, definitely have the title deed examination, known in Cyprus as "search", done at the land registry office. If necessary, you can get support from a law firm. 

1.2. What Should We Understand When We Say Equivalent Title Deed?

Equivalent title deed was also used in Cyprus real estate transactions after 1974.is a term that has entered the Turkish-sector lexicon.  

Many Turkish Cypriots who lived in the South before the Cyprus Turkish Peace Operation,   left their properties there after the operation and settled in the North. The state gave them real estate in Northern Cyprus in exchange for the properties they left in Southern Cyprus.

Here is a kind of equivalent title deed for real estate obtained through barter – equivalent title deeds were issued.

Although there were concerns about whether equivalent title deeds should be preferred until a few years ago, these concerns no longer exist in the country. Because banks are taking real estate with equivalent title deeds as mortgages and providing loans with equivalent title deeds. When we look at Northern Cyprus in general, we can say that there are a large number of equivalent title deeds in Kyrenia.  

1.3. What Does Allocation Koçan Mean When You Say Allocation Deed?

Among the Northern Cyprus title deeds, a type of title deed whose status is not yet fully clear is the allocation title deed.

Allocation title deed is a type of title deed issued by the state for real estates given to those who came from Turkey and settled on the island after the 1974 Cyprus Peace Operation. In other words, the guarantee of the title deed is the Turkish Republic of Northern Cyprus.

Generally, Greek properties remaining in the North are referred to as allocation titles. And in a possible Northern Cyprus – Southern Cyprus agreement, the first thing that comes to mind is the fate of this title deed. That's why those who want to take a guaranteed step while making an investment prefer Turkish title deeds or equivalent title deeds.

Those who think that if there is risk, there is high profit continue to invest in real estate with allocation title deeds at more affordable prices.

2. Recommendations for Those Who Want to Buy a House in TRNC: Prefer Reliable Construction Companies Instead of Official Institutions 

Working with experienced and reliable companies in the real estate sector plays a key role in the success of your investment.

Reliable construction companies registered with the Cyprus Turkish Building Contractors Association (KTİMB) and the Construction Enc  in the TRNC or Preferring structures built by contractors offers you the opportunity to make a safe investment. Therefore, be sure to check whether the company or person you will be working with is registered with the relevant institutions.

 

3. Recommendations for Those Looking to Buy a House in the TRNC: Sign Your Contract with a Local Lawyer Who is an Expert in the Field 

When buying a house in the TRNC, the contract you will sign with the property owner (or construction company) during the purchasing process is of great importance. In order to protect your legal rights, it is important that this agreement is prepared, reviewed and signed by a lawyer operating in the TRNC.

May 21 2024 on With the new real estate law that went into effect, this practice has become mandatory. The guidance of a local lawyer minimizes both legal and operational risks.

 

 

4. Recommendations for Those Who Want to Buy a House in TRNC: Check Your Real Estate’s KTEB Membership 

When working with a real estate agent, make sure to check whether the person or company is registered with Cyprus Turkish Real Estate Association’(KTEB). Realtors registered with KTEB must have a professional liability insurance of 100,000 Euros. This insurance allows you to cover any damages that may arise from the realtor's faulty operations or intentional damages through the insurance company. This makes your investment more secure.