Month: June 2025

It is no secret that sunny Cyprus continues to attract the attention of international investors and foreign real estate buyers—demand is indeed growing exponentially. However, any major purchase in this area inevitably involves significant risks: there may be unplanned expenses, legal complications, and even withdrawal from the deal at late stages. To avoid such problems at the initial stages of the purchase, it is worth turning to the practice of Due Diligence.

DUE DILIGENCE – WHAT IS IT?

Due Diligence is a special comprehensive verification procedure that involves the thorough collection and analysis of information related to the investment object. Its purpose is to identify and assess potential risks that may affect the security and feasibility of the transaction. The check covers all key aspects:

• legal status of the property
• title documents and ownership history
• financial obligations
• physical condition of the property
• environmental standards

This ensures that the buyer really gets what they pay for: no hidden encumbrances, debts, or other surprises.
Based on the data obtained during the inspection, an informed decision is made, and a clear understanding of the real value and investment attractiveness of the property is formed.

DUE DILIGENCE CHECKLIST

To avoid chaos in the flow of information and not miss any critical aspects when inspecting real estate, investors and new buyers rely on checklists. This makes the process structured and reliable.

1. Legal issues. Verification of the legal purity of the property and accompanying documentation:

• title documents and confirmation of ownership
• legislative restrictions on zoning and land use
• encumbrances, easements, pledges
• tax documents for the property
• history of legal disputes and litigation
• verification of the authenticity of the purchase and sale agreement

2. Financial assessment. Analysis of current and future expenses related to the property:

• additional payments: utilities, insurance
• current maintenance costs
• current insurance policies (e.g., Pitsas Insurances)
• capital repair and modernization plans
• verification of debts owed by the previous owner (if the property has already been resold after the developer)

3. Technical inspection of the property. Assessment of the physical condition of the property:

• condition of walls, floors, foundation (cracks, wear and tear, outdated materials)
• checking the tightness of windows and doors for signs of moisture or mold
• condition of the roof and drainage systems
• checking electrical, plumbing, and ventilation systems
• assessment of gas and water supply, including direct sources
• report on the presence of pests

4. Environmental situation. Assessment of the environment and potential risks:

• tests for soil contamination or salinity
• level of risk of flooding or drought (climatic factors)
• documents on compliance with environmental requirements and standards

To obtain reliable and meaningful information, it is recommended to engage a qualified lawyer who will not only explain all the key nuances, but also protect you from legal and financial risks when buying real estate in Cyprus.

If you are planning an investment project or moving to Cyprus, be sure to include due diligence in your overall plan and preparation process. This is not just a collection and analysis of information, but a key element that guarantees the safety and success of the transaction. In this case, it is extremely important to consult only independent experts who are not affiliated with developers in order to protect your interests as much as possible. This is the only way to avoid risks and make informed decisions.
Hinode provides professional and qualified real estate verification services in any area of Cyprus. We guarantee our clients a personal approach, constant updating of information, honesty, transparency of actions, and reliability.

Cyprus has long attracted real estate buyers. Its advantages include a mild climate, attractive taxation and a stable economy. New buildings are actively developing here, you can buy from compact apartments to luxury villas by the sea. However, with all the external attractiveness, the quality does not always meet expectations.

Many buyers are faced with construction defects in Cyprus, which begin to appear some time after the purchase. In order not to get into this situation, it is important to know in advance what weak points to pay attention to, and how to fix them in time.

Why do construction defects occur in Cyprus?

There are several reasons for defects in the construction process. They are represented by:

• speed of construction – high demand pushes developers to accelerate the delivery date;
• seasonal weather conditions – hot sun, humidity and salty air affect materials and technology;
• lack of strict construction control – although there are norms and standards in Cyprus, their compliance is not always properly checked;
• insufficient qualification of workers – low-skilled work crews are used to save money.

As a result, the overall quality of construction in Cyprus deteriorates and dozens of defects appear, which spoil the comfort of living and lead to repair costs.

Common construction defects in Cyprus and how to identify them

Defects come in many forms. The most common are:

• Cracks in walls and ceilings. One of the most common problems. Flaws can be cosmetic, in places where the drywall is connected, or structural, for example, due to shrinkage of the foundation. Check the object should be checked before signing the documents. Particular attention should be paid to corners, joints of boards and external facades. – Corners, slab joints and external facades.
• Problems with waterproofing. Due to high humidity and proximity to the sea, roofs, balconies and bathrooms suffer. Signs are represented by mold, peeling paint, dampness, odor in pantries and closets. Inspection with a moisture meter is performed to detect it. It is necessary to carefully check the areas under the bathtubs, windows, joints with the roof.
• Poor installation of windows and doors. Improper installation leads to drafts, flooding during rainstorms, heat loss and rapid wear and tear of hardware. Sashes should be checked for tightness, airtightness, and the operation of all locks and handles. In the south of Cyprus, double glazing is particularly important.
• Uneven laying of tiles. This is not only a visual defect. Voids under the tiles lead to its destruction, delamination and creaking when walking. When checking should use a level. It is also necessary to knock on the tiles, a deaf sound indicates the presence of voids.
• Violations in electrical wiring. One of the most dangerous and hidden defects. Can lead to short circuits, power outages and even fire. It is manifested by flickering light, sparking, spontaneous disconnection of automatic machines. It is obligatory to invite an independent electrician during the technical inspection.

The best way to check the quality of construction in Cyprus is to order an independent inspection of the property. This is an informal but essential practice, especially when buying a new build.

Hinode offers an independent inspection service for new-build properties in Cyprus. Specialists will identify even hidden defects, check all construction and engineering elements, and prepare a detailed report.

Buying a home is always a joyous occasion, and a new-build property in Cyprus is a special one. Modern architecture, sea views, new engineering systems and the opportunity to move straight in look very tempting. However, even a new-build property may not be perfect. Very often in the projects can be found minor, or even serious defects. To protect your own interests, as well as to make sure that the builder has performed all the work properly, perform Snagging List Cyprus.

Snagging List – what is it?

The Snagging List is an official list of all the faults and defects found in a new property after construction has been completed. But it is compiled before signing the acceptance certificate or immediately after it. These can be both minor defects and serious deviations from the design or quality standards. The list of defects of new buildings in Cyprus usually includes the presence of:

• cracks in the walls or ceiling;
• uneven flooring or tiles;
• poorly installed windows or doors;
• plumbing leaks and defects;
• electrical problems;
• chips, stains, outlets that don’t work;
• lack of finishes in promised areas;
• errors in the installation of kitchen equipment and furniture.

Such defects seem insignificant, but after signing the final documents, their correction will fall on the buyer, not the developer.

How do you make a Snagging List Cyprus?

The snagging list is drawn up by a professional. This can be an engineer, an architect or a qualified inspector independent of the builder. The process is as follows:

1. Visual and instrumental inspection of the property. The inspector examines every inch of the premises, from the foundation to the roof. He checks all technical elements, finishes, built-in furniture, plumbing, windows, doors and engineering systems.
2. Fixing of all defects and deviations. Each defect is recorded in a table. The exact location, description of the problem, level of urgency, possible solution are also indicated.
3. Formation of the report. The results of the inspection are formalized in the form of a document, Snagging Report. It indicates a complete list of all deficiencies and the terms of their execution, attach photos and schemes, recommendations for elimination.
4. Forwarding the report to the builder. The report is sent to the construction company with a requirement to remove defects within an agreed timeframe. This usually happens before the keys are officially handed over or full payment is made.

It is best to draw up a list of defects in a new building in Cyprus before the acceptance certificate is signed. In this case, the buyer has legal grounds to demand the removal of all defects without incurring additional costs.

As with the technical inspection, it is important that the list is compiled by an independent expert, not a representative of the developer. Only in this case you can talk about real objectivity and protection of your interests.

Hinode provides a professional service of Snagging List in Cyprus for apartments, villas and townhouses in any area of the island. We will help you to get quality housing that meets the developer’s promises – without hidden problems and unpleasant surprises.