Stamp Duty

Stamp Duty is a tax levied on transactions and legal documents, most commonly real estate sale and purchase agreements. This is one of the transaction costs that buyers should budget for.

Stamp duty is usually calculated as a percentage of the asset value or transaction price, sometimes using a progressive scale: the higher the value, the greater the rate applied to the portion exceeding the threshold.

In addition to stamp duty, international real estate transactions may incur other costs such as transfer fees, notary fees, legal fees, and value-added tax on new properties from developers.

When planning an investment, investors should include all transaction costs in the total capital outlay, as they can account for a significant percentage of the property's listed price.

Learn about the cost structure when investing in real estate in a key market via the page Cyprus residency by investment.