Good news for Russians wishing to obtain permanent residency in Cyprus: the government of the Republic of Cyprus has recently made changes to the laws that allow non-EU citizens to obtain the right to permanent residence in Cyprus under certain conditions. The changes came into effect on May 2, 2023, and now, to obtain a residence permit by investing, you can choose one of the following options:

1. Purchase of a residential house or apartment: acquiring a new residential property from a developer (not a resale) with a value of at least 300,000 euros (including VAT).

2. Acquisition of other real estate: purchase of commercial property (offices, shops, hotels, or a combination of them) with a total value of at least 300,000 euros. In this case, the purchase of “second-hand” properties is also possible.

3. Investments in a Cypriot company: investment of 300,000 euros in the share capital of a company registered and operating in Cyprus, with physical presence in the Republic and a minimum of five employees.

4. Shares of Cypriot Collective Investment Organizations (AIF, AIFLNP, RAIF): investment of at least 300,000 euros in shares of a Cypriot organization that invests in Cyprus.

It is important to note that if an applicant discontinues their investments without replacing them with an alternative of equal or higher value, their residence permit in Cyprus will be canceled. However, properties can be purchased from different developers.

There are also other nuances. Firstly, the applicant must confirm that the investment funds have come from abroad through a personal bank account (or the spouse’s account) and must be transferred to the seller’s account in Cyprus. Secondly, it is necessary to prove the existence of a stable and incoming annual income of at least 50,000 euros from abroad (this amount should be increased by 15,000 euros if accompanied by a spouse and by 10,000 euros for each dependent minor child). In the case of investments in residential real estate, such income can be derived from various sources: salary, pension, dividends, or rental income from abroad. The income of the applicant’s spouse can also be taken into account when calculating the total income.

A certificate of no criminal record from the country of residence must also be provided, and the applicant must confirm that they do not intend to work in Cyprus except for employment in the company in which the investment is made. Spouses can be shareholders of Cypriot companies and hold director positions without remuneration.

If you have chosen investment options 2-4, the application must include information about the place of residence in Cyprus and confirmation of the registration of the sales agreement with the Cadastral Department. It is also required to provide evidence that the investment funds have been transferred from abroad and are not an internal loan. The seller’s account in a Cypriot financial institution must receive the total amount of the investments. Applicants can purchase up to two residential units (apartments or houses) if their total market value meets the established criteria.

At Replace, we are ready to provide Russian citizens with a comprehensive solution for obtaining permanent residency in Cyprus by investment and offer full assistance, from property search and selection to tax audits and helping with paperwork.