Innovations in real estate valuation in Cyprus

The Cyprus Council of Ministers has submitted a bill to Parliament proposing to reduce the frequency of general real estate assessments from three to five years.

Currently, general real estate assessments are carried out every three years. If the bill passes, the next assessment would be in 2026 and every five years thereafter.

The decision was made in order to

  1. Reducing the administrative burden on the Land Department.
  2. Reducing costs for real estate valuation.
  3. Simplifying the process of registering real estate transactions.

Expected positive consequences

  1. Reduced costs for property owners.
  2. Speeding up the process of registering real estate transactions.
  3. Stimulating the real estate market.

It is important

The Cyprus Land Department says it will closely monitor the situation in the property market and make adjustments to its policies if necessary.

It is important to note that this measure does not affect the value of the property itself. Property values are determined by market factors and will fluctuate based on supply and demand.

Context
The initial valuation of real estate in Cyprus was carried out in 1980. Since then, there have been several revaluations, the most recent of which was in 2021.

The overall property assessment does not reflect the market value of the property. It is used for tax purposes only, including property tax and council tax.