An owner who attributes the construction of a project to the owner`s property usually enters into contracts with the architect who will carry out the design of the project, with the civil engineer, the electrical engineer, the machine builder and the topographer, who will carry out the various necessary studies, and with the contractor who will carry out the work. Contractors typically employ subcontractors for the various jobs that need to take place, but it is not uncommon for the owner to reach an agreement with a developer who takes on all the tasks (design, studies, buildings, etc.). In such cases, it is the developer who enters into agreements with third parties (architects, engineers, subcontractors, etc.). If the separate title is not yet granted, it is verified whether the seller is the registered owner of the property on which the land was built or is built. If the seller is the sole registered owner of the property and the corporation, the search with the Registrar continues as noted above. If the seller is not the registered owner of the property on which the land was or will be built, the seller`s right to place the property must be verified. If the registered owner of the property has granted the seller the right to operate the land and sell the shares, the agreement between the seller and the registered owner must be reviewed. It is also necessary to check whether the agreement between the seller and the registered owner has been submitted to the land registry. The seller and registered owner must be part of the sales contract. If the registered owner has given a power of attorney to the seller, the power should be reviewed and re-checked whether the power has been registered in the land registry.
The standard position in Cyprus is that new business leases are subject to the standard VAT rate. It should be noted, however, that the lessor (relevant or not taxable person) has the option of exonerating a particular property (either the whole property or a functional part of the property) and, in this case, is required to notify the tax authorities. Are preliminary contracts usually concluded before a sales contract is concluded? A copy of the stamped agreement is given to the seller so that he can prepare the tax return. The issuance of the tax return may take more than a month, depending on the complexity of the case. Violation of the tenant`s obligations gives the landlord the right to terminate the contract and claim damages. What are the types of leases used in your jurisdiction? These issues depend exclusively on the agreement between the parties. As a general rule, however, in a rental agreement, the landlord requires that the agreed down payment and at least the first month`s rent be paid in advance. When it comes to sales contracts, it is typical that almost all of the purchase price is paid in advance or at the same time as the execution and/or presentation of the sale contract to the land registry.
In the case of the purchase of a property, it is advisable that a small amount remain behind until the notice of ownership is made in the name of the buyer. Utilities and telecommunications can be used on behalf of one or more tenants. However, if many people own real estate, the authorities will not share the consumption of public services and telecommunications: all tenants are jointly responsible for consumption. If tenants wish, they can enter into an agreement specifying how invoices are distributed among utility companies. There is no obligation to sign a front-line agreement. The usual practice is to sign a sales contract directly; However, in some cases, a reservation agreement is also executed.