Cyprus & The Permanent Residency Programme

5 September 2022

Did you know that you can apply for a Permanent Residency Permit in Cyprus either by purchasing real estate or by being a legal resident for more than 5 consecutive years?

Permanent Residency on a ‘fast-track’ basis
Investing in real estate has seen a big demand among people looking to settle in the EU. According to Regulation 6(2), the CYprus Government has simplified the application process for non-EU citizens, by applying the Permanent Residency Permits.

Here are all the requirements to be eligible for the Permanent Residency scheme:

1. Purchase a new home in Cyprus for at least €300,000 (excluding VAT), where the first €200,000 must be paid upon the date of filing the application.
   Additionally, the purchase must be made from a property development company business for the first time.
2. Open and keep a fixed deposit of €30,000 minimum in a Cyprus Bank for at least 3 years.
3. Have a stable annual income of at least €30,000 coming from sources outside of Cyprus. For each person included on the application, funds must be increased by €5,000 and €8,000.
4. The candidate will be required to go through a “Fit and Proper” test, where he/she will need to present a certificate showing a clear criminal background, as well as comply with the due diligence requirements.
5. The applicant will be required to travel to Cyprus once during the first year to register for biometrics and then once after 2 years.

Benefits of Cyprus Permanent Residency on a fast-track basis

The Permanent Residency procedure can take up to 2 months.
Once the residency is granted, you will be able to enjoy living in one of the safest countries in the EU!

Cyprus also has a very cost-efficient tax system, with favorable tax rates and a broad network of double tax agreements.

With this permit, non-EU residents living in Cyprus have the opportunity to travel anywhere they want including several Schengen nations without having a visa.

Permanent Residency on a ‘normal-track’ basis – residence within 1 year
According to Regulation 5(f), a citizen of a third country who rents or buys a home or apartment worth at least €300,000 is also eligible to apply for permanent residence on the normal-track basis as long as:

1. He/She has a stable income of approximately at least €10,000 from sources outside of Cyprus. The amount is increased by €5,000 per person added in the application.
2. He/She must not work in Cyprus and the income comes from sources outside Cyprus.
3. He/She provides proof that all of the family’s financial demands are met and come for reliable and sufficient sources.
4. He/She goes through the “Fit and Proper” test.

The normal-track basis has a lower minimum annual income requirement, and allows more flexibility in terms of the applicant’s choice to rent rather than buy a property. Finally, once the application has been filed, the applicant will be able to travel to and from Cyprus.

Permanent Residence Permit for non-EU citizens residing in Cyprus
Third-country nationals who have been living in Cyprus for at least 5 years and have held a Temporary Resident Permit for the entire period are also eligible to apply for a Permanent Resident Permit.

Family members of non-EU residents who also live in Cyprus can also apply for a Permanent Residence Card. This card is valid for 5 years and can be renewed!

Permanent Residence Permit for EU Citizens
The Yellow Slip stands for the permit required for EU residents who wish to live and work in Cyprus for a period longer than three months, without having to renew their visas. The Yellow Slip can be granted in just 12 business days.

Applicants of the Yellow Slip can also add their family members who will be permitted to live and work in the country.

On the contrary, non-EU national family members will be qualified for the Pink Slip, a temporary, renewable document which can be renewed every 5 years.

If you are interested in finding more information regarding the residency permits, and/or all the available properties in Cyprus offered by Blue Sky Properties please do not hesitate to contact our professional team.