Money Transfers to Cyprus for Home Buyers

Short answer: In a home purchase, a money transfer to Cyprus should be made by bank transfer to the bank account of the seller or contractor company named in the contract, in the currency stated in the contract (usually sterling), with the unit number written in the payment description. If you are sending from Turkey, buying sterling through your own bank and sending it by SWIFT is the most traceable method. Cash payments by hand and payments outside the contract can cause problems at the title deed and permit stages.

This article has been prepared for buyers who want to understand how to send money when buying a home in Northern Cyprus (TRNC), in which currency, and by managing which risks. We calculate with an example how much the exchange rate difference can amount to in an instalment purchase, and we cover bank charges and the most common payment mistakes seen in practice. For the entire purchase process, you can read our step-by-step guide to buying a home in Cyprus.

Which methods are used to transfer money to Cyprus?

There are four common ways to send money from Turkey to the TRNC for a home purchase; only two of them can be documented smoothly during the title deed and permit process. The choice depends on which currency the seller wants to be paid in and where you prefer to convert your foreign currency.

Some banks in Turkey have branches or subsidiaries in the TRNC; transfers within the same banking group may sometimes be faster and cheaper. Ask your own bank about this and request the fee schedule in writing (as of October 2026; confirm with the bank).

Sterling, TL, euro: which currency should you pay in?

Always make the payment in the currency stated in the contract; the vast majority of housing contracts in the TRNC are denominated in sterling. If you pay in a different currency, the exchange rate to be applied becomes a matter of dispute and the exchange rate difference turns into a receivable/payable item.

The official currency of the TRNC is the Turkish lira, but housing prices are mainly set in sterling and, in some projects, in euros. The contract must include these two sentences: "Payments shall be made in ... currency" and "For payments made in a different currency, the foreign exchange buying rate of ... bank on the payment date shall apply." If these sentences are missing, ask your lawyer to have them added. You can follow official exchange rates on the TRNC Central Bank website.

Exchange rate risk: example calculation for an instalment purchase

In an instalment purchase, exchange rate risk can change the total cost by hundreds of thousands of lira for a buyer who earns in TL and pays in sterling. The calculation below is hypothetical and is intended to show the impact of the exchange rate clearly.

For a flat worth 150.000 £, a 35% down payment (52.500 £) was paid; the remaining 97.500 £ will be paid in 24 equal instalments of 4.062,50 £ per month. The initial exchange rate is 1 £ = 64 TL (October 2026, please verify).

If the exchange rate averages 25% higher over two years, the TL cost of the instalments increases by more than 1,5 million TL. If you have not built your budget according to this line, you may face the risk of missing instalments in the future. A delayed instalment may, depending on the contract, give rise to default interest or a right of termination.

Practical ways to reduce exchange rate risk

• Gradual foreign currency purchase: Convert instalment amounts into sterling as your income comes in, without waiting for the monthly payment date, and accumulate them in a foreign currency account.
• Increasing the down payment: If you have savings, a higher down payment both narrows the exchange rate risk and often gives you room to negotiate a cash payment discount.
• Matching the number of instalments with your income: If you do not have sterling income, a long term may seem attractive, but it extends the exchange rate risk; choose the term according to your payment capacity.
• Do not expect TL fixing: It is rare for contractors in the TRNC to offer fixed instalments in TL; if it is offered, it may have been reflected in the price.

For a comparison of instalments, bank loans and financing options from Turkey, you can read our article on housing loans and financing in Cyprus.

Secure payment step by step

A secure payment is one made to the correct account, with the correct description and in a documentable way. Repeat the sequence below for every instalment.

1. Match the account holder with the contract. The recipient account name must be the same as the full legal title of the seller company in the contract. Do not pay into an individual account.
2. Verify the IBAN through a second channel. Confirm the account details received by email by calling the sales office on a number you already know.
3. Write the description in a standard format. For example: "Name Surname – Project name – Block/Flat no – 3rd instalment". This makes it indisputable which unit the payment relates to.
4. Select the fee option. In an international transfer, the "OUR" option allows you to assume intermediary bank deductions and helps the full amount reach the seller.
5. Request a receipt. Once the money reaches the account, obtain an official collection receipt from the seller showing the date, amount and unit number.
6. File everything. Keep the bank receipt, SWIFT message and collection receipt in a single folder; they may be needed for contract registration, permit application and a future sale.

If you are buying remotely, be careful not to grant your proxy the authority to receive payments; the details are in our article on buying a home in Cyprus by power of attorney.

Bank charges and foreign exchange purchase tax

The cost of sending sterling from Turkey consists of three items: foreign exchange purchase tax, the bank’s exchange rate spread and the transfer fee. For large amounts, the biggest difference is usually caused by the exchange rate spread.

• Foreign exchange purchase tax (BSMV): It is reported that, as of October 2026, 2 per thousand is applied to individual foreign currency purchases in Turkey (confirm with your bank). For a 52.500 £ down payment, at an exchange rate of 64 TL, this is approximately 6.720 TL on a purchase of 3.360.000 TL.
• Exchange rate spread: This is the difference between the bank’s foreign currency selling rate and the market rate. For large amounts, requesting a special rate from the branch can make a significant difference.
• SWIFT and intermediary bank fees: The sending bank charges a fixed or proportional fee; intermediary banks may also make deductions. Obtain the tariff in writing.

The purchase costs of the property (VAT, stamp duty, title deed transfer fee) are a separate budget item and are generally paid during contract registration. For current rates, see our article on taxes and costs when buying a home in the TRNC.

Unrecorded payment and low declared price risk

Paying an amount different from the contract price by hand or to another account is one of the practices that causes the greatest loss to buyers. It may look like a saving on paper, but it limits your rights to the figure in the contract.

A common example in practice is: "Let’s write 120.000 £ in the contract, pay the remaining 30.000 £ separately, and the fees will be lower." This offer works against you in three ways. First, the title deed transfer fee is already calculated on the higher of the contract price and the value assessed by the Land Registry Office; the expected saving often does not arise. Second, in a dispute, the amount you can claim back is the figure in the contract; proving the 30.000 £ paid off the record becomes difficult. Third, when you sell in the future, your tax burden may increase because capital gains tax will be calculated on the basis of an understated purchase price.

Another risk in cash payments by hand is being unable to show the source of the money. Banks and official institutions may ask for the source of funds in large transactions; in the TRNC as well, legislation on the prevention of laundering proceeds of crime imposes reporting obligations on banks. When leaving Turkey for abroad, cash of 10.000 € or more must be declared at customs; confirm the declaration threshold on entry into the TRNC before travelling.

Against fake account fraud

In recent years, the most common type of fraud has been the email sent in the name of the seller or lawyer saying "our bank account has changed". Verify every message notifying an account change by calling a phone number you already know. This is also the basic rule that the Akol Global after-sales team gives to buyers: the account details are only the account written in the contract, and any change can only be made by a written and signed addendum.

How should the payment schedule be planned in a project?

When buying from a project, the payment schedule should be planned together with the progress of construction and the contract registration dates. Alongside the down payment and first instalments, include the stamp duty and fees payable at the time of registration in the same period.

A practical method is to put the payment plan into a three-column table: date, sterling amount and the TL source that will cover that amount. Months where the source column is empty are the months when you need to prioritise foreign currency savings. To understand the contractor’s project execution structure and construction stages, you can review our construction and project development page.

Frequently asked questions

Is it allowed to send money from Turkey to the TRNC for a home?

Yes, it is generally allowed for persons resident in Turkey to send foreign currency abroad through banks. For large amounts, the bank may ask about the purpose and basis of the transfer; keeping a copy of the sales contract ready will make the process easier. Since legislation and bank practices may change, confirm the current conditions with your bank as of October 2026.

Can I send the home payment in TL?

You can, because the official currency of the TRNC is the Turkish lira. However, if your contract is denominated in sterling, the money must be converted into sterling in the TRNC and paid to the seller in that currency. If payment will be made in a different currency, have the contract specify which bank’s exchange rate on which day will be taken as the basis; otherwise, the exchange rate difference becomes open to dispute.

Is it risky to pay the seller in cash by hand?

Yes, it is risky for large amounts. Proof of a cash payment relies only on a receipt; showing the source of the money also becomes more difficult. It is very hard to recover amounts paid by hand outside the contract price in a dispute. The safest method is to make payments to the company account stated in the contract by bank transfer, with the unit number included in the payment description.

What can I do against exchange rate risk?

The most practical method is to convert instalments gradually into sterling and accumulate them in a foreign currency account without waiting for the payment date. If you have savings, increasing the down payment reduces both the exchange rate risk and the total instalment burden. Before signing, test your budget with a scenario in which sterling appreciates by 20–25% and choose a term compatible with your income.

Does declaring a lower price in the contract save on fees?

In most cases, it does not. The title deed transfer fee is calculated on the higher of the contract price and the value assessed by the Land Registry Office. In addition, in a dispute, the amount you can claim remains limited to the figure in the contract, and the capital gains tax on sale may increase due to the lower purchase price. Have the real price written in the contract.

What should I do if the seller notifies me that the bank account has changed?

Stop the payment and verify the notification by calling the sales office or your lawyer on a phone number you already know. Do not call the number in the email. An account change should only be considered valid with a written contract addendum signed by the parties. Fake account emails are one of the most common fraud methods targeting overseas buyers.

If you would like to build your payment plan together with exchange rate scenarios or verify account details, you can contact the Akol Global team.

This article is for informational purposes only; it does not constitute legal, tax or financial advice. Last updated: October 2026.