Suggestion to TRNC government – simple step to protect ex-pat property purchases

Who Else Has A Bright Idea?I was talking to a Turkish Cypriot Estate Agent here and during the conversation he offered this advice to his government, expanded a little, through the NCFP pages:

As soon as a Purchaser pays a deposit, their lawyer should be required by law to transfer the MORTGAGE FREE title deed to a government controlled company, set up to protect ex-pats from Vendor misfortunes. When the Purchaser is issued Permission To Purchase and pays for the property in full, then this company is required by law to transfer the title deeds to the Purchaser. If the contract is breached by either the Vendor or the Purchaser then the contract should say what has to be done, e.g. if the Purchaser drops out soon after the deposit is paid then the deposit is retained by the Vendor and the title deeds are transferred back to them.

What do you think? Is this too simple? Compared to the current system ex-pat Purchaser would be in a far better situation and should avoid having mortgages placed on the property so that Vendors facing bankruptcy will not have the property counted as part of their assets so they can be auctioned. The main disadvantages would be for Vendors needing to finance their business in the early stages of a build (NCFP says “tough”) and for Vendors who want to blackmail Purchasers by refusing the transfer of title deeds until extra money, for example, is paid.

If the government were to bring in this procedure then NCFP would change “NO KOCAN, NO MONEY!” to “TRANSFER KOCAN or NO MONEY!” Not quite as catchy but so much more do-able, but does the current government really care about helping prevent future Kulaksiz 5 pensioner misery?

We know they read NCFP to check to see if we are following the law, I wonder if they’ll read our suggestions about changing the law AND respond to them. That’s called being proactive.

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