Cyprus is advancing significant legislative updates regarding the forced sales of immovable properties. The proposed reform covers properties subject to forced sales due to outstanding debts, mortgage foreclosures, and disputes between co-owners.
Key Legislative Changes
Independent Appraisals: Property valuations will transition to certified private valuers registered with the Technical Chamber of Cyprus (ETEK), replacing the Lands and Surveys Department.
Reserve Price Standard: The establishment of the reserve (minimum) price will be directly based on the certified ETEK valuation.
Price Reduction Mechanism: If an initial public auction fails, a fixed 15% price reduction mechanism will apply to subsequent auctions within a 5-year window (e.g., a property initially listed at €200,000 will be offered at €170,000 in the following attempt).
Valuation Validity: Property appraisals will remain valid for up to 5 years, subject to a new valuation request if substantial changes occur to the property.
Streamlined Procedures: Procedural timelines will be tightened to prevent enforcement cases from lingering endlessly in court or administrative backlogs.
Rules for Undivided / Jointly-Owned Properties
Procedure Cancellation: For non-divisible properties owned jointly, if two public auctions fail and 5 years elapse from the initial appraisal date, the forced sale process will be formally canceled.
Re-application Process: Parties may initiate a new process; however, a fresh review and updated property valuation will be required.
Retrospective Application: The legislation will apply to both new applications and existing, uncompleted proceedings.
Timelines & Official Status
Bill Registration Number: Pending official publication following public consultation.
Public Consultation Deadline: September 8, 2026.
Parliamentary Process: Following the consultation phase, the bill will move to the House of Representatives for committee discussions and final voting.
Expected Enactment: Mid-2026 to early 2027, contingent on parliamentary deliberation speed.