RE-MORTGAGING LAND - Cyprus Eastern Forum Chat

SBS

Hi Louise,

I've recently heard from 2 of my neighbours that our developer has re-mortgaged our land to fund other projects. I don't know where they got the information from. How can we find out whether this is true or not? Is there some sort of search we can do at the Land Registry or some other legal body? If we ask the developer we don't know that he'll give an honest reply, although one would hope so.

SBS

Jewels · Forum Moderator

SBS,

You can go to the Land Registry with your plot number and they
should be able to let you know whether there are any incumbrances
on the land. There is a small Land Registry office in Paralimni near
banks corner.

HTH

Julie

Byker

These things do happen and can turn out very badly, I know of one man in Larnaca who was told by the lender that they were reclaiming the land as the borrower has defaulted, when he asked what he could do as his house was on it they said "pay the mortgage or move your house", luckily for him his wealthy son bought him a house back in the UK and he left Cyprus for good.
There was a more famous case a few years ago when a developer mortgaged an entire block of apartments that he'd already sold and disappeared with £500k+ never to be seen again, one old lady was made destitute and was given a place by the government, I remember they said it could never happen again, but..... Rolling Eyes

Louisez · Forum Moderator

Dear SBS

You can undertake an encumbrances search at the land registry which should reveal any mortgages over the land.

Your contract of sale may very well prevent the developer from re mortgaging the land anyway.

Kind regards

Louise