Articles

CONSULTATION SERVICES

  • Plan layout study and refinement during design stage
  • Consultation on brochure design
  • Pricing
  • Marketing and Sales Strategy

 
SALES AND MARKETING
a.     DIGITAL

  • REACH website
  • Facebook (likes and links to website)
  • Twitter (Followers)
  • Instagram (Followers)
  • Linkedin

 
b.     HARD COPY

  • Format of brochure
  • Layout
  • Copywriting
  • Printing

 
c.     ADVANCED MARKETING

  • On-Site Project Panel
  • Road panels
  • Magazines
  • Participation in property Exhibitions

 
PROFESSIONAL REPRESENTATION

  • Contact with potential clients through phone, personal visits or email
  • Appointments with clients in a professional office environment
  • On-site visits
  • Proposal of custom tailored interior layout changes of apartments where applicable
  • Follow up of clients to lead to sales goal
  • Liason between developer and client
  • Reports to developer on all clients and follow-ups on monthly basis.

 
3.     CONTRACT STAGE

  • Preparation of Sales Contract
  • Arrangement of all necessary documentation from both parties to finalize the sale in a smooth and orderly manner.
  • Assisting in contract signature (Notary Public at REACH office for a more professional and comfortable environment).

 
4.     AFTER SALES SERVICES

  • Following up with clients for their punctual payments according to the terms agreed.

 

 

What Is The Old Rent Law?
Inherited from a first law that was enacted at the end of the Second World War, Rent Acts n°159 and 160 — known as the “old rent” law — were introduced in July 1992 after the end of the civil war. They froze all rental agreements signed before this date, which accordingly do not take into consideration inflation, the increase in rental housing market, and Lebanon’s currency collapse during war years (especially between 1983 and 1987). However, old rents are supposed to take into account the eventual rise in wages. Meanwhile, the law liberalizes rental agreements signed after July 1992 and allows new rents adjustment every 3 years. In addition to giving the opportunity to transmit the right to occupancy to other family members, the legislation specifies that old agreements can be called off in two specific cases only: building demolition and the use of the real estate property by the landlord or his/her family members. Any breach of agreement generates tenants compensation set by a court decision. Compensations usually reach an amount of 25 to 50% of the asset value. [Source]

So basically, you can only ask the tenant to leave if you wish to destroy the building (or the building collapses like what happened in Achrafieh two years ago), or one of the landlord’s family members wishes to live in the apartment as long as he proves a need to do so. Moreover, even if you have proof, you will need to pay the tenant to go out and agree on an amount with him or go to court.

The New Law Proposed:
The new law was drafted by the Parliament’s Administration and Justice Committee, chaired by West Bekaa Member of Parliament Robert Ghanem. A copy of the draft law in the form submitted to the committee was obtained by Executive, despite Ghanem’s office attempting to withhold it from the media. In its current form, the draft law seeks to find a solution by having tenants on old rent pay gradually higher rents over a six year period. Through government-appointed experts that report to a judicial committee, properties will be evaluated and an amount agreed upon by both the landlord and tenant. Then each year for the first four years the tenant will pay a 15 percent increase in rent, then 20 percent per year for the fifth and sixth years. After this time, the property can be rented at free market prices, but the tenant has the right, if they notify the landlord three months before the period ends, to stay on for a further three years, although at market rates agreed upon between both parties.

If a landlord wants to reclaim the property for family usage during the six-year extension period, then he has to pay compensation to the tenant equivalent to four years rent after four years of rental increases. To tear down a building, the same principle will be applied but on the value of the total six years of increased rent. In either of the above situations, if a property is considered ‘luxurious’, compensation will be reduced by half. [Executive-Magazine]

In Numbers:
While the old rent issue could have been a marginal one if the number of tenants was relatively low, according to the advocacy group named the Committee for the Rights of Tenants (CRT), some 170,000 of Beirut’s 210,000 tenants pay old rent rates. But just as no one is exactly sure how many people there are in Lebanon (the last national census was in 1932), the number of properties on old rents — and the number of people living in them — is not exact either. According to Joseph Zoghaib, head of the Association of Landlords in Lebanon, based on taxation records and copies of rent laws submitted by municipalities to the Finance Ministry, there are 81,000 tenants on old contracts and an estimated 40,000 to 50,000 on new contracts. As to the number of landlords affected, Zoghaib estimates it at anywhere between 15,000 to 20,000. [Executive-Magazine]

Even if the numbers provided are not 100% accurate, what’s sure is that tens of thousands of tenants and owners are affected by this law.

What will happen now that the new law is passed?
Adopting the new law was important to resolve the never-ending dispute over the percentage increase of the rent hikes between tenants and owners. Instead of resorting to lawsuits and attending court sessions, rents would increase gradually over a 6-year period till they reach 5% of the current market value of the apartment. Moreover, and in order to assist the low-income tenants who won’t be able to afford the new rent prices, a government fund will be established to cover the difference in rents over a period of nine years. As far as landlords are concerned, they will be able to ask tenants to evacuate the apartment in exchange for 20% of its value.

 

(http://blogbaladi.com/lebanese-parliament-votes-on-new-rent-law-old-rent-law-abolished-at-last/)

 

REACH is proud to have hosted it's 1st seminar, focusing on Property Investment in Cyprus, sponsored by Cyprus's leading development company, LEPTOS ESTATES.  The seminar was held on April 22, 2013, at the Hilton Habtoor Grand Hotel's Beirut Hall.  

A welcome word by REACH's Chairman and CEO, Mrs. Taline Nahabedian was followed by an introduction speech by H.E. the Ambassador of the Republic of Cyprus, Mr. Homer Mavrommatis.  Guests were treated to a DVD presentation of LEPTOS properties, after which the Director of LEPTOS ESTATES, Mr. Pantelis Leptos took the stage to talk about his properties, the current economic situation in Cyprus, and it's effect and interest for investment in Cyprus.

 


To view the photos, please click here

How high are realtors’ and lawyers’ fees in Lebanon? What about other property purchase costs?

Transaction Costs

    Who Pays?
Registration Fee 5% buyer
Transfer Tax 5% buyer
Stamp Duty 0.3% buyer
Municipality Fee 0.25% buyer
Bar Association Tax 0.1% buyer
Notary Tax 0.1% buyer
Lawyer’s Fee LBP750,000 (US$499) buyer
Real Estate Certificate LBP10,000 (US$6.65) seller
Costs paid by buyer 11.57%  
Costs paid by seller 0%  
ROUNDTRIP TRANSACTION COSTS 11.57%  

Source: Global Property Guide

 

How difficult is the property purchase process in Lebanon?

Foreign ownership of real estate property is allowed in Lebanon. Foreigners can acquire up to 3,000 square meters (sq. m) of land. Any bigger than this, a prior decree from the Council of Ministers is needed. Foreigners can only own up to 3% of the total land area of Lebanon. In the case of Beirut, foreigners can acquire up to 10% of the total area of the city.

A lawyer isn’t always needed in real estate transactions, except when it is more complicated than usual. If the two parties have agreed on the sale, the sale agreement can be drawn up by a notary public or a qualified facilitator, in place of a lawyer.

When registering the property, the seller acquires a Real Estate Certificate from the Land Registry. Other documents that may be produced, but not necessary, are: official cadastral map, urban plan certificate from the Municipality and Urban Planning Authority, and tax clearance from the Municipality.

If the documents are signed in the notary’s office, to be presented to the Land Registry, the Notary Tax of 0.1% has to be paid. If the documents are presented directly to the Land Registry, this cost is no longer required.

New and accelerated procedure for granting Immigration Permit to applicants who are third country nationals and Intent to Invest in the Republic of Cyprus.

1.  According to the provisions of Regulation 6(2) of the Aliens and Immigration Regulations, the Minister of the Interior decided to issue Immigration Permit to applicants, who are thrid country nationals, provided that they fulfill the following criteria:

  1. The applicant must prove that he has at his disposal a secured minimum annual income of EU 30,000, from sources other than employment in Cyprus.  The required income of EU 30,000 could derive from salaries of employment abroad and not in Cyprus, pensions, stock shares, rents, etc.  The necessary minimum annual income is increased by EU 5,000 for each dependent person.
  2. The applicant must submit the application form accompanied with a Title of Ownership or contract of sale, of a property in Cyprus, a house, apartment or other building, of a minimum market value of EU 300,000, and proof of payment for at least EU 200,000.  The contract of sale should already have been submitted to the Department of Lands and Surveys.
  3. The applicant must submit a confirmation letter from a Cypriot Bank stating that he has deposited a minimum capital of EU 30,000 in an acount, which will be pledged at least for a three year period.
      It is noted that the amounts mentioned in paragraphs (b) and (c) should be proven to have been transferred to Cyprus from abroad.
  4. The applicant must submit a Criminal Record Certificate (if the applicant resides abroad), which must be issued by the Authorities in his country of origin, and he should not constitute in general any threat against public order or security in Cyprus.
  5. The applicant should submit a Statement that he does not intend to work or be engaged in any form of business in Cyprus.
  6. The applicants should visit Cyprus at least once every two years.

2.  PROCEDURE FOR THE SUBMISSION AND EXAMINATION OF AN APPLICATION

  1. The application should be submitted on Form (M.67) to the Civil Registry and Migration Department or to the District Offices personally or through post or through a representative.  It is noted that the applications submitted to District Offices shall be transferred to the Civil Registry and Migration Department directly, without any processing.
  2. Applications which are submitted in Cyprus, personally or through a representative or by post, shall be filed in an ordinary file (the applicant should ensure that each relevant document of the application must be numbered with blue ink, from the first page to the last).  Inside the file, there shall be included a check0list of all necessary documents, which must be submitted with the application form, which must be completed by the applicant or by a representative of the applicant.
  3. The application shall be examined by the Civil Registry and Migration Department and shall be submitted to the Minister of the Interior, through the Permanent Secretary of the Ministry, for a decision.  For the purposed of the specific type of immigration permit, no personal interviews are necessary, except when the Permanent Secretary decides that an interview is necessary.
  4. The Ministry of the Interior shall inform the applicant or the representative of the applicant and the Civil Registry and Migration Department, about the decision of the Minister of the Interior.
  5. The Immigration Permit shall not be cancelled, provided that the applicant will visit Cyprus one time, at least every two years.

3.  After the publication of this Announcement, any third country national who has applied for an Immigration Permit for Category F, may submit additional documents for the Civil Registry and Migration Department, in order to meet the criteria of paragraph 1, and have the application examined according to the provisions of Regulation 6(2) of the Aliens and Immigration Regulations, regarding the above mentioned criteria and the relevant procedure.

4.  Provided that the criteria described in paragraph 1 are fulfilled and no further questions arise with respect to the Criminal Record of the applicant, or Public Order, the application shall be examined by the Minister of the Interior in a positive spirit and the Immigration Permit shall be granted.

5.  It is estimated that when applying the procedure described above, the period for the examination of the application, shall not exceed a period of 1 - 2 months.

6.  The present Announcement and the following documents which must accompany the application form, can be found in the website of the Ministry of the Interior:  www.moi.gov.cy

  • Application Form M.67
  • Check List
  • Affidavit
  • Statement to the effect that the Applicant is not employed in Cyprus

MINISTRY OF THE INTERIOR

23 August, 2012