Cyprus Golden Visa

Cyprus is the third largest island in the Mediterranean and is a member state of the European Union. It has a population of approximately 900,000 of mainly Greek origin, with a smaller Turkish community and some other minorities. It uses the Euro as its currency.

The capital is Nicosia, located in the island’s centre. The main coastal towns are Limassol, Paphos and Larnaca. Official languages are Greek and Turkish but Greek and English are mostly spoken. The economy is mainly based on tourism and financial services.

Originally settled by the Greeks 6,000 years ago, Cyprus has successively been ruled by the French, Venetians, Ottoman Turks and British over the last nine centuries. It became a republic in 1960. All these foreign influences have left their mark on the rich cultural identity of the island.

Since 1974, the island has been divided in two, with the northern part controlled by Turkey. Reunification talks have been ongoing but have so far failed to yield any results. EU citizens are free to move throughout the island. Citizens of non-EU countries who enter the island through the Turkish-controlled northern part will not be allowed to cross the border into the South.

Cyprus offers excellent healthcare facilities, one of the world’s highest standards of education and a reasonable cost of living. Its Mediterranean climate ensures 320 days of sunshine per year.

CYPRUS RESIDENCE PERMIT

THE CYPRUS GOLDEN VISA PROGRAM THROUGH INVESTMENT IN REAL ESTATE

The current “fast-track scheme” was introduced in 2021. It allows non-EU citizens to apply for Cyprus permanent residence based on the the purchase of real estate.

MAJOR BENEFITS

The Cyprus residence permit affords several benefits:

The right to live in Cyprus
The residence permit issued for 10 years and can be renewed indefinitely
Permit holders can apply for citizenship in as little as 4 years
The application may include the applicant, their spouse and any children under the age of 18
Unmarried children aged 18 to 25 who are studying full time in Cyprus can be included
The permit holder is eligible for public education and healthcare in Cyprus
The investment property may be rented out
There is no requirement to live in Cyprus but must visit once every 2 years
Generous tax incentives are available to those taking up residence in Cyprus

REAL ESTATE INVESTMENT OPTIONS

In order to qualify for the Cyprus golden visa, the applicant is required to purchase a newly-built house or apartment with a minimum value of EUR 300,000.

Alternatively, the same amount may be invested in commercial property or hotels. In this case, there is no requirement for the property to be a new development.

CYPRUS GOLDEN VISA CONDITIONS

The golden visa application may include the main applicant, their spouse and any children under the age of 18.

Parents of the applicant or their spouse are not eligible to be included in the application.

The main applicant will need to demonstrate overseas income of at least EUR 50,000 per year. This increases by EUR 15,000 if the spouse is included and EUR 10,000 for each dependent child. The spouse’s income can be taken into account in this calculation.

All applicants must have a clean criminal record in both their country of origin and current country of residence.

APPLICATION PROCESS

Mercury will conduct an initial due diligence and compliance review. We will then present the client with a selection of properties. These can be inspected in person or virtually. Once a suitable property is chosen, we will attend to its purchase. The transaction can be completed remotely, without the need for the applicant to visit Cyprus.

We will then prepare and submit the residence permit application. After the application is submitted, all applicants will need to travel to Cyprus, so that their biometric data may be collected. The residence permit is normally issued within two months.

The permit is initially valid for 10 years. It can then be renewed for further periods of 10 years indefinitely, provided the permit holder continues to meet the eligibility criteria.

The golden visa entitles the holder to access the country’s public healthcare and education systems. It does not allow the permit holder to be employed in Cyprus.

CONTINUED ELIGIBILITY FOR THE CYPRUS GOLDEN VISA

The permit holder will need to submit annual proof of continued eligibility in order to retain the permit. This entails maintaining the property investment and minimum annual income, having no criminal record in Cyprus or abroad and either being registered with the national health scheme or holding private health insurance cover.

Failure to maintain any of these requirements will result in the residence permit being revoked.

While there is no obligation for the residence permit holder to live in Cyprus, a visit to the island must be made at least once every two years in order to maintain the permit. Furthermore, if the permit holder acquires permanent residence in another jurisdiction at any time, they will lose the right to permanent residence in Cyprus.

ELIGIBILITY TO APPLY FOR CITIZENSHIP

Residence permit holders are eligible to apply for citizenship after cumulatively residing in Cyprus for 8 out of the last 10 years, including the most recent 12 months. Absences totalling no more than 90 days during the final 12 months are permissible. Applicants must also maintain a place of residence in Cyprus and pass a basic Greek language test (A2 level).

In the case of highly-skilled applicants, who are employed in sectors deemed significant by the Council of Ministers or who hold the position of director in a Cyprus foreign interests company, the residence requirement is reduced from 8 to 5 years. This is further reduced to 4 years if the applicant holds a B1 level Greek language certificate.

It is possible to pay an expedited processing fee, in which case the application must be processed by the authorities within a maximum of 8 months. This means that a non-EU national can potentially acquire Cyprus citizenship within 4 years and 8 months. This is one of the shortest possible routes to a European passport currently available anywhere in the EU.