Paphos Villa for a Retired Couple from Kent
€285,000 · 15 years · 3.95% fixed. A couple from Kent were purchasing a three-bedroom villa in the hills above Paphos for permanent retirement.
The Client
Retirees Relocating Overseas
The Challenge
A couple from Kent were purchasing a three-bedroom villa in the hills above Paphos for permanent retirement. Cyprus offers a 60-day residency rule and attractive pension tax arrangements for UK retirees. Their income was from occupational pensions and state pension.
Our Solution
Doulton placed the mortgage with a Cypriot bank experienced with UK retiree buyers. Cyprus property purchase requires a Council of Ministers permit for non-EU buyers (UK post-Brexit), which was applied for and obtained in parallel with the mortgage. Pension income was fully accepted.
The Outcome
Villa purchased. Council of Ministers permit obtained. Couple now permanently resident in Cyprus, benefiting from the 5% flat rate income tax on pension income available to qualifying residents. Key highlights: Council of Ministers permit obtained alongside mortgage; 5% pension income tax rate - Cyprus tax advantage communicated; UK pension income fully accepted by Cypriot bank.