Interational Real Estate

Cyprus Golden Visa - Residence by Investment Program 2024

Author: Maja Milinčić

Publish date: 04 Oct 2024

Cyprus offers a wide coastal area, pleasant weather, friendly locals, and delicious food. Additionally, the country provides an affordable cost of living alongside a high quality of life. These advantages make it an appealing choice for international investors looking to invest and gain the opportunity to live, work, and study in Cyprus.

It's perfectly natural to desire to live in such a beautiful country. The allure of its stunning landscapes, rich culture, and high quality of life make it a compelling choice for anyone looking to relocate. But how can you achieve this dream?

If you’re looking to make this beautiful country your home, you’re in the perfect place. We’ll introduce you to a solution: the Cyprus Golden Visa program. This program offers a straightforward path to residency, allowing you to enjoy all that Cyprus has to offer.

What is the Cyprus Golden Visa Program?

The Cyprus Golden Visa program is a program that enables foreign investors to gain permanent residency by acquiring assets valued at €300,000 and demonstrating an annual income of €50,000. After residing in the country for 8 years, investors become eligible to apply for Cypriot citizenship. Introduced in 2013, the Cyprus Golden Visa program aimed to stimulate foreign direct investment in the Republic of Cyprus's real estate sector and support the local economy.

Cyprus Golden Visa Investment Types

The appeal of the Cypriot Golden Visa program lies in the fact that investors receive permanent residency immediately after meeting the investment criteria. There are no strict physical presence requirements, except for a brief visit to the Mediterranean island at least once every two years. The investment options for obtaining a Golden visa are fairly straightforward and provide the investor to invest in:

Cyprus Investment Funds
Real Estate
Other types of investment

Cyprus Golden Visa Investment Fund

The Cyprus Golden Visa program is quite simple, with the primary requirement being the investment. Applicants must invest €300,000 in funds and demonstrate a minimum annual income of €50,000 from foreign sources. Additionally, they must provide an extra €15,000 for a spouse and €10,000 for each dependent child.

Real Estate Investments

Applicants can choose to invest in newly constructed residential properties, newly developed non-residential properties, or pre-owned non-residential properties. Applicant must be a foreign national and to invest 300,000 EUR to get a permanent residency visa. Additionally, the investor must demonstrate that their income is sourced from abroad, and may choose to:

Purchase a brand new house or apartment, or
Acquire offices, shops, and other commercial properties, including resale options.

Investors purchasing their first property for residency in Cyprus can also benefit from a reduced VAT rate. If the property is their primary residence, they are eligible to pay 5% VAT instead of the standard 19%. However, this VAT reduction applies only to the first 130 square meters of internal covered space, with any additional area taxed at the regular rate of 19%.

Property sales in Cyprus for 2023 totaled €4.399 billion, reflecting a rise of €216 million compared to 2022 and €1.208 billion more than in 2021. Additionally, third-country nationals need permission from the Council of Ministers to buy property in Cyprus.

Other Investments

Other investment opportunities offer various levels of risk and potential returns, catering to different investor preferences and goals. We present you a short list of other types of investments:

Investing in private companies not listed on the stock exchange, often through private equity firms or direct investments.
Providing funding to early-stage companies with high growth potential in exchange for equity stakes.
Placing money in savings accounts or term deposits with Cypriot banks, which may offer varying interest rates based on the deposit term.
Investing in agricultural projects or land, which can include farming, forestry, or other agricultural activities.
Investing in tourism-related ventures, such as hotels, resorts, or entertainment facilities.

Benefits of Obtaining a Cyprus Golden Visa

The program offers numerous benefits and serves as an excellent investment migration opportunity. It helps in growing assets across multiple countries. Additionally, it provides long-term residency options which we will present to you.

Pathway to Cyprus Citizenship

A person with a Cyprus Golden Visa can apply for citizenship after accumulating 8 years of residence in Cyprus within 10 years. In the final year before applying, the individual must stay in Cyprus continuously, with only brief absences permitted. This ensures a stable and long-term connection to the country.

Golden Visa Cyprus Tax Benefits

Cyprus offers a corporate tax rate of just 12.5% on profits, among the lowest in Europe. Investors can also benefit from non-domicile tax residency status, allowing them to receive dividends without incurring taxes. This favorable tax environment makes Cyprus an attractive option for investors looking to optimize their financial returns.

Quality of life

The country boasts a high standard of education, with numerous international English-speaking schools and universities available. Additionally, several UK universities have established campuses in Cyprus. Known for its safety, Cyprus is an excellent choice for families seeking a secure and enriching environment.

Cyprus Golden Visa Eligibility Criteria and Requirements

In general, the requirements include criteria for investment, income, and a clean criminal record. The Civil Registry and Migration Department must periodically confirm these, with the criminal record being checked every three years. Other criteria may also need to be reviewed on an annual basis.

The Minimum Investment Required for Cyprus Golden Visa

To obtain the Cyprus Golden Visa in 2024, applicants must make a minimum investment of €300,000 in the Republic of Cyprus. There are three investment options available:

Purchasing a new residential property directly from a developer. The investment can involve a house, an apartment, or even two properties, or a commercial property such as offices (resale allowed). The full payment must be completed, with funds sourced from outside Cyprus, as local or borrowed funds cannot be used.
Investing in shares of a Cypriot company that employs at least five people.
Acquiring units in collective investments through the Cyprus Investment Funds Association (AIF, AFLNP, or RAIF).

Who is Eligible for a Cyprus Golden Visa?

The visa covers underage children, while children aged 18-25 can also be included if they are students. Parents and parents-in-law are not covered under the new rules. Golden visa holders and their spouses have limited rights to work, primarily as directors or shareholders in the companies they invest in.

To maintain permanent residency, the applicant must visit Cyprus at least once every two years and cannot establish permanent residency abroad.

How to Apply for the Cyprus Golden Visa?

To apply for a Cyprus Golden Visa, first submit your residency permit application to the Civil Registry and Migration Department. Ensure you provide all required documents, including proof of investment and a criminal record certificate. After paying the necessary fees, you will need to wait approximately two months for your application to be processed.

Which Documents Do You Need to Apply For Cyprus Golden Visa?

Documents required from your country of origin include a valid passport and a criminal record certificate for applicants aged 16 or older, from the country where they have resided for the past year. You must also provide proof of residence, such as a driver’s license, utility bill, or bank statement. Additionally, you will need Cyprus medical insurance and specific documents for family members, including marriage certificates for spouses and birth certificates plus additional proofs for children over 18.

What is The Application Process?

Once you’ve determined that Cyprus’s Golden Visa is the right choice for you, it's important to gather more information on investment options and begin preparing your application. Below is a step-by-step outline of the procedures to guide you through the process.

Step 1: Initial Agency KYC

The case management team performs this step to verify the investor’s identity, which enhances the chances of approval for the Cypriot Permanent Residence Investor Program.

Step 2: Building an Application Pack

Start by collecting standard translated and apostilled documents, medical insurance, and a basic CV of the primary applicant. Confirming proof of income is crucial at this stage.

Step 3: Complete Investment and Real Estate Procedures

Transfer funds to a local bank account to meet the investment condition. If using our real estate team, apply to the Department of Land and Surveys and take advantage of VAT reduction from 19% to 5%. We provide a range of suitable real estate options to meet investment needs.

Step 4: Finalizing Real Estate Deals

Conclude negotiations and ensure contracts are secure. We offer comprehensive legal services to finalize the deal, coordinating with client lawyers for seamless integration.

Step 5: Application Submission

Submit the completed document pack through our local legal team, eliminating the need for clients to travel to Cyprus.

Step 6: Final Approval and Residency

Approval usually takes about two months. After approval, applicants must visit Cyprus within one year to complete biometrics and obtain their permanent residence permits.

Cyprus Golden Visa Updated Program and Changes in 2024

The new regulations for the Cypriot Golden Visa program have revised the criteria for dependents. Parents, parents-in-law, and adult children no longer qualify as dependents and must make their investments to qualify independently. Dependents are now limited to spouses, children under eighteen, and children between eighteen and twenty-five who are fully dependent on the primary applicant.

Additionally, the minimum annual income requirements have been increased. The new figures are €50,000 for the principal applicant, €15,000 for a spouse, and €10,000 for each dependent child. Investors must also provide proof that their investment is maintained and that their income meets these requirements, as failure to do so can result in the cancellation of their residence permit.

FAQ About Cyprus Golden Visa Program

1. What is the Timeline for the Obtaining Golden Visa

The process is expected to take about two months.

The government fee is € 500 and € 70 for each person mentioned in the application.

3. What should you invest to obtain a Cyprus Golden Visa?

To obtain a Cyprus Golden Visa, you must invest at least €300,000 in new residential or commercial property, shares in a Cyprus company, or collective investment funds. The funds must come from abroad.

4. Do I get permanent residence in Cyprus with a Golden Visa?

Yes, the Cyprus Golden Visa grants permanent residence to the applicant, their spouse, and dependent children, with the permit needing renewal every ten years.

5. How much do I need to invest to get a Cyprus Golden Visa?

The required investment is €300,000, with an additional annual income requirement of €50,000, plus €15,000 for a spouse and €10,000 for each dependent child.

6. What are the new rules for the Cyprus Golden Visa?

The new rules have increased the annual income requirement to €50,000, removed coverage for parents and parents-in-law, and introduced annual and triennial verification requirements.

How to Get a Cyprus Golden Visa with Kredium Assistance

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