Cyprus property scam bites the dust

[Nigel Howarth]

DISREPUTABLE Cyprus property developers extort ‘contract cancellation fees’ from buyers wishing to sell their property before Title Deeds have been issued in the buyers’ name.

I have personally heard from some buyers who have been charged as much as CYP 20,000 (€ 34,000) by these crooks for the ‘privilege’ of selling a property they have bought and paid for in full.

It was therefore refreshing for me to read the following article on page 8 of the March 2008 issue of the Grapevine magazine:

“There was shock amongst developers when, for the first time, Paphos District Court ordered a property company to reimburse a British couple monies they were obliged to pay when they sold a house without Title Deeds. The homeowners were never issued Title Deeds and when they decided to sell on their property, had to pay the developer thousands of Euros to be released from a contract to give them the right to make the re-sale.

The ruling could set a precedent for other similar cases.”

Hopefully, this ruling by the Paphos District Court will put an end to this despicable practice.

Unfortunately, the ruling is of little consolation to those who have already been forced into parting with thousands of Euros for the privilege of selling their property. I suggest they seek legal advice with a view to suing the developers for the return of their money.

Regards,

[Aegean]

This happens all over - buyers must ensure they have an assignment clause.

[Nigel Howarth]

Originally Posted by Aegean

buyers must ensure they have an assignment clause.

I agree - but the problem is most buyers don't bother about taking independent legal advice - they use the 'free' legal services provided by the property developers or use a lawyer who's been introduced to them by the developer.

Hopefully this court ruling will help stamp out this scam.

Cheers,