Landlords and tenants in Cyprus: rights and obligations.

There are two main types of tenancies that exist in Cyprus: 'legal' and 'contract' tenancies.

Determining the nature of the tenancy is key to determining the competent court with jurisdiction to hear the matter. A legal tenancy comes into existence when the original term of the lease ends or is terminated and the tenant still remains in possession of the property. This applies to both residential and commercial properties located within the area covered by the Rent Act (1983) and its subsequent amendments, provided that such properties were completed no later than December 31, 1999.

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The Leasehold Law applies to EU and Cypriot nationals residing in Cyprus. The law on''provide safe and appropriate to the property, regardless of the purpose of the property. Any dangerous defects must be rectified within a reasonable time.

Tenants' rights and responsibilities

Tenants must avoid willful or negligent damage to the property beyond normal wear and tear. They must not do anything that results in damage, neglect or unauthorized alterations. A security deposit usually guarantees the return of the property in its original condition. If damage or unauthorized alterations occur, the owner can demand financial compensation. Tenants must pay rent on time.

Any delays may result in eviction and claims o''outstanding amounts. Commercial leases may contain a clause requiring tenants to actively use the leased space for the intended business purpose. If a tenant leaves the property unused, it may void the lease, especially if the rent is contingent on business performance or goodwill. Tenants must ensure that the property is used for legitimate activities. Any illegal activity or nuisance can lead to eviction and possible damage claims.

Landlord's right to increase rent

Rent increases are currently a significant problem for tenants in Cyprus. If'If the property falls within the scope of the Rent Act 1983, then rent increases are governed by that Act, irrespective of the terms of the lease, whether current, expired or revoked. Disputes relating to rent are heard by the Rent Court. The Rent Court has the authority to determine issues relating to the recovery of possession of rent controlled property and the establishment of fair rents, as well as other collateral matters. Under the Department of Justice's new regulation, owners of properties subject to the Rent Act of 1983 will be allowed to raise rents to their tenants by 6% maximum between 2023 and 2025. If an owner wishes to increase rent by an amount,