Residence permit: change in Cyprus

Parent Category: ROOT Published: Monday, 10 May 2021 Print
Street on Cyprus

Changes to the Cyprus PR program

Obtaining a Cyprus permanent residency (PR) will provide you with several other advantages: low taxes, great investment climate, and Cyprus's membership in the EU open up good prospects.

Besides, Cyprus has a mild warm climate and low prices compared to Europe. 

 

About the PR program

Wealthy foreigners who want to live in Cyprus and not work can obtain a permanent residence permit of category F. The key requirement is to prove financial independence, i.e. stable and legal passive income (for example, pension, bank deposits, rental income, dividends, etc.). Most often, such residence permits are obtained by foreign retirees who move to Cyprus or simply spend a significant time there a year.

 

The average period for issuing a PR permit under the simplified procedure is 2 months. A permanent residence permit of category F is usually issued indefinitely, i.e. acts for life, to maintain the status, it is necessary to come to the country only once every two years. The period of residence in Cyprus for this permanent residence can be credited within the required period to obtain citizenship through naturalization (7 years).

 

Key changes to the Cyprus PR program in 2021

 

In 2021, the state made several changes to the PR program. The good news is that in addition to residential real estate in Cyprus, you can now invest in commercial real estate (both new and resale property). 

Another good news - now the applicant can invest not only in real estate but also in Nicosia - the capital of Cyprus, companies, and units of investment funds. 

 

Well, and most importantly - the storage period for a deposit in a Cypriot bank for 30,000 euros is now canceled.

 

Requirements for applicants

There are few ways to get the PR in Cyprus through the program:

 

The real estate in Cyprus

Purchase or long-term rental of housing in Cyprus of any value, new building, or non-resale property. Homebuyers will have an advantage over tenants, with a lower risk of rejection. Even though the law does not establish a minimum price for real estate for those who apply for permanent residence of category F according to the standard procedure, we are talking about quality housing. To get approval, you need to convince the immigration service of your solvency.

 

Passive income

The migration services may be asked to demonstrate the availability of additional funds to meet all the needs of the family (maintenance of the real estate, medicine, education, etc.). The income must be stable, legal, and come from abroad.

 

Cyprus PR program: Investment criteria

To obtain permanent residence on the island, the applicant must invest at least 300,000 euros (including VAT) in the four following categories:

 

Investments in real estate

tree and field near the shore during day

 

According to the terms of the program, the property must be new and the applicant must buy it from the developer. An applicant for permanent residence has the right to purchase up to two housing units (house or apartment).

 

The applicant is obliged to provide the title to the property or the contract for the sale of real estate. The minimum payment for applying is 200,000 euros (excluding VAT). Moreover, also the applicant must provide evidence that the investment money came from abroad.

 

Investments in other types of real estate

These can be offices, shops, hotels or similar developments, or a combination of these. The property can be either new or resale.

 

Equity investment in a Cyprus company

The main condition is that the applicant's company must be founded and operate in the Republic of Cyprus and have at least 5 employees.

 

Investment in shares of Cyprus Collective Investment Funds

It is also one of the ways to obtain permanent residence in Cyprus. To do this, the applicant must purchase shares of the type AIF, AIFLNP, RAIF.

 

Besides, the applicant must provide documents confirming his / her annual income is at least 30,000 euros per year. This can be salary, dividends, rental income, interest on bank deposits, pension, and any other legal sources of income.

 

Family of the applicant

 

If the applicant has a dependent family (spouse and single and financially dependent children 18-25 years old), then for each family member an additional minimum income of 5,000 euros per year must be provided. If the applicant wishes to bring parents to Cyprus, then the additional minimum income must be 8,000 euros per year per person.

A pile of passports with visa stamps.

Businessman standing in the airport, waiting for hif flight.

Backpacker looking at a sunrise from the mountain.

Sunny beach on a tropical island.