The Paphos Letting Agency specialises in long-term and short-term property rentals in the Paphos area. If you have an empty property that you wish to rent out, please feel free to contact us as we are always looking to increase our property database with our growing number of daily inquiries.

You may submit your property (along with photographs) online through our “Property Submit” function (http://www.thepaphoslettingagency.com/?page=property_submit), or contact us by telephone/email to arrange an appointment for one of our agents to inspect, evaluate and photograph your property (free service).

Quality, transparency and dedication are the cornerstone of the service that we provide, and we look forward to an opportunity to work with you. The following services are offered to Landlords:

Tenant Find Service

• Marketing and advertising the property
• Conduct accompanied viewings at the property
• Tenant selection and referencing
• Preparation of the tenancy agreement
• Transferring utility services when new tenants move in
• Collection of first month’s rent and deposit
• Setting up standing orders for rent
• Arranging any subsequent tenancy extensions
• Preparation of an inventory list and schedule of condition

Full Letting & Management Service

• Marketing and advertising the property
• Conduct accompanied viewings at the property
• Tenant selection and referencing
• Preparation of the tenancy agreement
• Transferring utility services when new tenants move in
• Arranging any subsequent tenancy extensions
• Preparation of an inventory list and schedule of condition
• Transfer of rental income
• Arranging routine repairs & maintenance
• Monthly property visits and reports
• Payment of property related outgoings

THE PAPHOS LETTING AGENCY – PROPERTY MANAGEMENT & RENTAL CHARGES

• Secure Key Holding – Free of Charge
• Property Inspection – Free of Charge
• Property Marketing & Advertising – Free of Charge
• Short-Term Rentals – 15% Commission of the total price over the period rented
• Long-Term Rentals – First Month’s Rent

THE PAPHOS LETTING AGENCY – STANDARD CLEAN CHARGES

• Studio – €30
• 1 Bedroom – €40
• 2 Bedroom – €45
• 3 Bedroom – €50
• 4 Bedroom – 55
• 5 Bedroom – €60

Please find below a detailed list of what a Standard Clean includes;

• Kitchen: Work surfaces are wiped and sanitized, sinks and taps are left gleaming, appliances/cupboards are wiped down.
• Bathrooms: Toilets are cleaned and sanitized, bath tubs, showers, sinks and mirrors are left spotlessly clean
• Bedrooms: Dusted throughout
• Lounge/Dining Room: Dusted throughout
• Floors: All floors are swept and mopped, carpets are thoroughly vacuumed. All light furniture is moved during this exercise and replaced once the area has been properly cleaned.
• Patio/Balconies: Swept/Mopped/Hosed
• General: Floors are swept and mopped, general tidy

We look forward to hearing from you and assisting you with any questions, queries, and above all, finding suitable tenants for your property.

Kind Regards,

Christina Neophytou

The Paphos Letting Agency

+357 99 936 996

http://www.thepaphoslettingagency.com

http://www.thepaphoslettingagency.com/living-in-paphos/jobs-in-paphos/

To all readers of our blog, please feel free to comment with more suggestions that will assist the community of Paphos in finding suitable employment.

Kind Regards,

Christina Neophytou

The Paphos Letting Agency

+357 99 936 996

http://www.thepaphoslettingagency.com

DEPUTIES mulling legal changes to solve the Title Deeds shambles yesterday agreed on a key provision that would give buyers the right to Title Deeds regardless of pre-existing mortgages on the property.

The House Legal Affairs Committee indicated after a meeting yesterday that important progress had been made on the issue. “We aim to strike a balance between the rights of the buyer and the seller, but also guarantee the rights of mortgagees,” committee chairman Ionas Nicolaou told reporters following a session involving land developers, property owners’ associations, bankers, and officials from the departments of Land Registry and Town Planning.

The House Legal Affairs Committee is currently working on two of five government-sponsored items of legislation geared at overhauling the system. Nicolaou said, however, that each bill was distinct and would be forwarded to the plenum irrespective of progress on the others.

A key provision of the bill, on which there was broad agreement yesterday, gives the buyer the right to have the property transferred to his or her name regardless of whether a pre-existing mortgage on that property has been paid in full.

Nicolaou explained: “Having calculated their participation in the share of the loan for which there is a mortgage preceding the sales contract, buyers will be able to propose settling that amount to the lender on behalf of the seller.”

“Once such payment is made, for the purposes of a specific performance [court order] it shall be deemed to have priority over any mortgage. A court will be able to order that the real estate be placed in the name of the buyer irrespective of whether the mortgage has been paid in full.”

Nicolaou said “everyone is in agreement that the sales contract shall have priority over the mortgage, for the purpose of protecting the buyer…from abusive practices.”

An estimated 100,000 properties in Cyprus are without Title Deeds and Land Registry officials have confirmed that 30,000 of these properties have been bought by foreigners, the vast majority being British.

Many of these buyers have been conned into buying property mortgaged by the developers and are left in the lurch when the developers default on their bank loans.

The spirit of the proposed bill is to spell out where the involved parties – the buyer, the seller and the lender -stand in relation to one another, the DISY MP noted. “It explicitly states who has priority and when, and defines an encumbrance [claim on real estate] that is created once a sales contract has been submitted to the Land Registry,” said Nicolaou.

It will be obligatory to present the property’s sales contract to the Land Registry Department before any such transaction can take place.

Regarding current sales contracts that have been signed but not yet filed with Land Registry, Nicolaou said a window of six months would be given for filing contracts after the law is passed. In this respect, the new law would not have retroactive effect.

In addition, on presenting the sales contract to the Land Registry, the buyer will be secure in the amount they have paid to the seller until that date, in the event the seller (developer) is unable to complete the project or to transfer individual units to separate buyers of a housing project.

“On submitting the contract, an encumbrance shall be created with regard to the amount paid up until that moment…and that encumbrance shall give the buyer priority over any other obligations of the seller.” Under the legislative proposal, Nicolaou said, “a buyer will have the right to take legal recourse and request a court injunction ordering the seller to transfer the immovable property to their name.”

“This is a straightforward procedure,” he added.

A poll conducted by the Cyprus Property News Magazine last year found that close to 100 per cent of foreign buyers would not have bought in Cyprus if they had been informed of the practice of withheld Title Deeds and developer mortgages.
By: Elias Hazou
Published: January 18th, 2011

Source

INTERNATIONAL ratings agency Moody’s has placed Cyprus’ Aa3 local and foreign currency government bond ratings on review for possible downgrade.

In its statement, Moody’s said that the decision to initiate this review was prompted by:

• concerns that the recent deterioration in the Cypriot government’s fiscal metrics is largely structural;
• competitiveness issues; and
• the banking sector’s exposures to macroeconomic stress in Greece.

Moody’s said that the rating could be adjusted downwards by more than one notch, although the rating is likely to remain in the investment-grade A category.

Moody’s senior analyst Sarah Carlson said that: “The severe impact of the financial crisis on Cyprus caused a deterioration in government finances that may prove very difficult to reverse.” Adding that “While the Cypriot government has put forward a 2011 budget that appears to comply with its commitments under the EU’s Excessive Deficit Procedure, its plans do not address the structural issues that may undermine the government’s financial strength over the medium to long term.”

By: Alan Lawton
Published: January 13th, 2011 • Filed Under
Filed Under: NewsTags: downgrade • economic condition • economy • Moody’s

Source

The complexities of Cyprus Title Deed problem
THE House Legal Affairs Committee’s effort to conclude two of five bills that hope to put an end to the title deeds nightmare in the property market has been delayed by a number of questions raised during recent discussions.

One such point of dispute is how to make it a criminal offence for a property seller to mortgage a property he or she has already sold as it will be obligatory to present the property’s sales contract to the Land Registry Department before any such transaction can take place.

A new meeting has been scheduled for next week, said Committee Chairman, DISY’s Ionas Nicolaou, after Monday’s session.

Nicolaou said the effort was to find a balance between the rights of the seller and the buyer, as determined in the sales contract that was signed.

This, he said, would resolve all the problems that have led to the crisis in Cyprus’ property market over the past few years.

“One matter that arises is the ability, within a period of six months from when this legislation comes into effect, to submit all sales contracts to the Land Registry, which haven’t yet been submitted,” Nicolaou explained. He added that this was independent of when the contract was signed.

But most importantly, he added, this would lead to “the creation of criminal responsibility in the event that a property seller takes out a mortgage on the property, without first confirming if the sales contract he signed was submitted to the Land Registry before applying for the mortgage”.

This measure, said Nicolaou, would protect buyers from property sellers who may sign a sales contract one day, then go and mortgage the property the following day, resulting in the mortgage having superiority over the sales contract.

Next week’s meeting is expected to shed some light on a number of issues.

The current system has left hundreds of overseas property investors at the mercy of developers who went out of business due to the current worldwide property and economic slump.

By: Jacqueline Agathocleous
Published: January 12th, 2011

Filed Under: NewsTags: legislation • nightmare • problems • title deeds

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DISPUTES between Landlord and Tenant are not uncommon and are most often exacerbated by the differing expectations of the parties. On the one hand, the Landlord is allowing another person to live in his property (the value of which he knows only too well) and on the other hand the Tenant is paying to live there and expects to be able to fully enjoy the premises without interruption.

It is pretty much universally agreed that, if a dispute should occur, it is preferable for the matter to be dealt with between the parties rather than resorting to time-consuming and costly court proceedings. But what are the most common kinds of tenancy dispute and how can they be avoided?

Property Damage
One of the biggest causes of dispute between Landlord and Tenant concerns damage to the property. The Tenant has the duty to return the property in the same condition as it was delivered to him, fair wear and tear excepted.

This means that any damage which is caused by the reasonable use of the premises by the Tenant or the passage of time will not be damage for which the Tenant is responsible. A common sense approach to what is “fair wear and tear” should be adopted considering the individual circumstances of the tenancy, for example one can expect greater damage to a property which is let to young families or smokers.

Return of the Deposit
Closely linked to the issue of wear and tear is the return of the deposit. The Landlord will usually take the equivalent of between one and two month’s rent as a deposit, as security against damage to the property. At the end of the tenancy he will assess the cost of any damage and will deduct this cost from the amount returned to the Tenant. As mentioned above, he may make deductions for any damage which is beyond “fair wear and tear” but the law does not impose an obligation on the Tenant to improve the property or leave it in a better state than that in which he took it.

Repairs
Another bone of contention can be repairs. Responsibility for routine repairs to the property ought to be made clear in the Tenancy Agreement. Most often, the Landlord will be responsible for the bulk of the general maintenance in relation to the property. As a general rule he should keep the property in the condition it was rented in, for example if it is rented with air conditioning he will be responsible for ensuring that the air conditioning remains operational.

Rent Review
The increase of rent may also cause friction. It is clearly in the Tenant’s interests to keep the rent as low as possible but as time goes by and the costs of living and repairs increase and individual property values go up, Landlords will wish to increase the level of rent to reflect this. The law in Cyprus places certain restrictions on rental increase which mean that the rent may not be increased by any more than 14% in any two year period.

Non-Payment of Rent
Punctual payment of rent is of course one of the Landlord’s greatest concerns. Where payment is not promptly made, the Landlord should issue written warnings to the Tenant. Where these are not successful then the Landlord may issue a Termination Notice to evict the Tenant and may seek to recover the outstanding rent in the Court, together with interest.

Avoiding Problems

As a Landlord, many of the issues associated with tenants can be avoided by:

Careful Tenant Selection – This means checking references as to stability in employment and previous tenancies as well checking the financial standing of the Tenant.

Preparation of an Inventory – An inventory detailing the condition of the fixtures and fittings and any furniture in the property (preferably with photos) will help to ensure that there is no dispute regarding the level of wear and tear.

Agreement in Writing – An essential tool to protect both parties is a detailed tenancy agreement drawn up by a lawyer specialising in such matters which outlines the full expectations and responsibilities of the parties. To be effective, a rental agreement in Cyprus must be signed by both parties and witnessed by two witnesses.

Final Inspection – At the end of the tenancy a joint final inspection will help the parties to agree any damage and necessary deductions from the deposit to cover such damages.

Conclusion
The relationship between Landlord and Tenant can be a fragile one. Those which tend to deteriorate are usually the relationships where the expectations of the parties differ and this will be most likely to occur when the parties have not embodied their prior expectations in writing.

A thorough rental agreement prepared by a legal professional will not only outline the exact responsibilities of the parties but may also allow for certain recourse when problems do occur (for example deductions from the deposit) which will substantially reduce the chances of having to resort to litigation in order to resolve the dispute.

About the author:
Louise Zambartas is the Head of Private Client Department of L.G. Zambartas LLC, Law Offices; one of only eight law firms on the list of lawyers published by the British High Commission in Nicosia.

By: Louise Zambartas
Published: May 18th, 2010

Source

SOME legal and political events are expected to influence the developments in the beleaguered Cyprus property market in the coming year.
Planning amnesty

It is anticipated that the four proposed amending Laws on «planning Amnesty» which are before the House of Representatives will soon be passed into Law. They propose to amend the Town and Country Planning Law, 90/1972, the Streets and Buildings Regulation Law, Cap. 96, the Immovable Property (Tenure, Registration and Valuation) Law, Cap 224 and the Sale of Land (Specific Performance) Law, Cap. 232.

The Amending Laws are intended to cure the Title Deed problem for existing projects and those under construction – and are designed to ensure that such problems will not arise in the future.

Some of the proposed amendments are:

1. the trade-off and legalization of existing illegalities or irregularities by the payment of an administrative penalty or by other means;
2. the speeding up of the whole procedure by the concurrent issue of both the Building Permit and the Division Permit;
3. the assigning to the engineer responsible for the building works of more responsibilities, such as issuing Certificates describing the level and the stage of the work being performed. This will ease the work of the relevant Authority whose role will be limited to sample inspections;
4. the facilitating of the issue of a Certificate of Approval by the appropriate Authority either voluntarily or after a request by the buyer;
5. the possibility of issuing Title Deeds for units with irregularities on condition that such violations are shown on the Title Deed;
6. the enabling of the issuing of Title Deeds for only part of a project, and;
7. providing that any sale agreements for immovable property:

- i. must be in writing and be deposited in the Lands and Surveys Department;
- ii. must specify in full detail the unit being sold;
- iii. will not be acceptable for deposit unless the property is free from any encumbrances, (e.g. a Mortgage).

It remains to be seen if the new Laws will manage to cure, or at least alleviate the Title Deed Problem.
Urban consolidation

Another important proposed Law is the one on Urban Consolidation. The idea for this Law emanated from the resounding success of rural consolidation in Cyprus, during the last forty years.

By the proposed Law, which is pending before the House of Representatives for its passing into Law, a Council of Consolidation, Management and Reallocation of Immovable Properties will be established aiming, inter alia, to:

1. the availability of developmental land and the securing of the necessary infrastructure;
2. the readjustment of ownerships within development zones and;
3. the rational location of large scale uses within the scheme area.

The new law is expected to have a considerable effect on the property market, as a large number of plots in rural areas which are now impossible to develop because of lack of access and/or the necessary infrastructure will be unlocked.
Intercommunal talks

Last, but not least, political events, most importantly the possible positive outcome of the intercommunal talks, will have overwhelming effects on all sectors of the economy, including the property market.

The so called «affected properties» i.e. GC properties in the north and TC properties in the south will gradually be returned to the market one way or another. These properties amount to almost 40% of the total private ownership of Cyprus. Increased supply will affect property values.

On the other hand, demand is expected to rise as well, as a result of the normalization of the political environment, the withdrawal of foreign troops and the application of the European acquis in the whole island.

The property market in the Turkish Cypriot Constituent state will probably benefit more from the reunification of the island, as the present situation of illegal transactions in the «TRNC» will cease and land prices in the two parts of the island will tend to converge.

There is no doubt that, for a number of years, the property market will be unstable and fluctuating, but in the long run it will stabilize and we will evidence a new run of property market flourishing.

By: Andreas D. Symeon LL.B, M.R.I.C.S, M.Sc (U.L.A)
Published: December 29th, 2010

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FIGURES released this morning by the Department of Lands and Surveys show that a total of 8,170 contracts of sale were deposited at Land Registry offices throughout the Island during 2010 compared with the 8,598 contracts deposited during 2009.

June was the best month for sales when 864 contacts being deposited; the worst was August with a mere 554.

The largest increase was in Nicosia, where sales increased by 13.5% over the year. Nicosia was followed by Limassol where sales increased by 9.7% and Paphos, where sales were up 2.8% compared with 2009.

However, sales in Larnaca fell by 5.4% and those in Famagusta fell by 3.7%.

Source: Department of Lands and Surveys

After a promising start to the year with sales improving on last years figures, property sales declined for six consecutive months between July and December.

Source: Department of Lands and Surveys

Many believe that this downward trend will continue and that the outlook is bleak for property developers and other companies involved in real estate who will continue to struggle in the year ahead.

Lakis Tofarides, the president of the Cyprus Land & Building Developers’ Association was reported as saying “The real estate sector saw a small light at the end of the tunnel in Nicosia and Limassol,” and that “The problem will continue unless the government adopts the necessary measures to help the industry recover.”

By: Nigel Howarth
Published: January 5th, 2011
Tags: downward trend • outlook bleak • property sales

Source

THE INVESTORS Chronicle reports Dubai and Bulgaria as being the hardest hit markets with price falls on investment property haven fallen by 75%. Prices in the tourist hot spots of Cyprus have fallen with some developers offering 30% price reductions since the market peaked back in 2007.

Once the preserve of the well-off, overseas home ownership has rocketed in recent times. Encouraged by TV shows and cheaper mortgages over the last 10 years, an estimated 500,000 Brits now own a place in the sun and it has been estimated that the value of their purchases increased from £10 billion in 2000 to a peak of £58 billion last year.

This buying fever sent prices rocketing in Cyprus and many other overseas property markets and led many people to believe that buying a property abroad was a sound financial investment. But this buying fever came to an abrupt halt in when the credit crunch hit in 2007.

According to property consultancy Savills, at the height of the market 80% of overseas property purchases were financed by a mortgage; this compared with a mere 20% just seven years previously. The price collapse in many of the once popular foreign property hot spots means that the majority of the estimated 35,000 Britons who bought property in 2007 and 2008 will be in negative equity.

Some foreign banks, including those based in Cyprus and Greece, are seeking to chase mortgage defaulters in the UK. Since last Christmas, EU creditors can pursue a European order for payment which makes the process of debt recovery easier and cheaper.

Paul Connearn, a spokesperson for the UK National Debt Helpline, said that “There hasn’t been a sudden rise since the legislation was introduced, but we are getting a steady trickle of cases where people are in situations abroad that haven’t worked out,” adding that “Creditors could try and enforce the debt through a charging order on UK assets, typically the family home. This secures the debt on that property, but doesn’t necessarily force the sale.”
Contact points

National Debtline (England, Wales & Scotland) – Tel: 0808 808 4000 – Monday to Friday 9am-9pm – Saturday 9.30am-1pm

Debtline (Northern Ireland) Consumer Credit Counselling Service (CCCS) – Tel: 0800 027 4990

By: Editorial
Published: January 9th, 2011
Tags: credit crunch • fall • finance • holiday homes • overseas property • price reductions

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