Renting out your property in North Cyprus starts with one decision: a long-term let, a short-term holiday let, or a managed rental guarantee. Holiday lets now sit within a clear framework under the TRNC Holiday Homes Law (No. 54/2025), so with a registered operating permit you can welcome guests with confidence. Rental income is taxed under the TRNC's own tax system, with the rate depending on the currency of your tenancy agreement. The good news is that once you know the steps, the process is straightforward. We've written this guide based on the letting processes we handle with owners every day, as a developer that has delivered more than 5,000 homes in North Cyprus since 1989. It walks you through the tenancy agreement, tax and the real costs of letting, step by step.
At a glance:
Long-term lets: A written tenancy agreement and declaring your rental income are all you need.
Holiday lets: Registered with the Holiday Homes Registry and run under an Operating Permit, so everything is above board.
Tax: Rental income is taxed under the TRNC's own system, based on the currency of your tenancy agreement.
Living abroad? A local contact, professional management or a rental guarantee makes life much easier.
1. Start With the Right Letting Model for You
The same apartment can be let in three different ways. The right one depends on how much you'll use the property yourself, whether you're on the island, and how comfortable you are with income that varies through the year.
Long-term let (6–12 months or more)
Best for: Students, professionals and island residents
Your workload: Low
Income: Monthly and steady
Paperwork: A written tenancy agreement and declaring your rental income
Short-term holiday let
Best for: Tourists and seasonal guests
Your workload: High; bookings, cleaning, check-ins and check-outs
Income: Varies by season
Paperwork: An Operating Permit under the Holiday Homes Law and declaring your rental income
Rental guarantee
Best for: Owners who live abroad or would rather not deal with day-to-day operations
Your workload: Very low; the operator runs the apartment
Income: A fixed amount set out in the contract, paid annually
Paperwork: A rental agreement with the developer or operator
If you'd like to spend your summers in the property, a 12-month tenancy won't fit. An off-season long let, or a managed model with your own usage days built in, will suit you better. And if you're not on the island, handing the day-to-day running of a holiday let to a professional team makes things far easier.
2. How to Rent Out Your Property: Step by Step
Check the property is ready to let. A newly built apartment can be let once you've received the keys. Have a look at the development's management rules too; knowing the site's policy on holiday lets early on helps you plan.
Prepare the property. Get the air conditioning serviced, the plumbing checked and any decorating done before tenants move in. Decide whether you'll let it furnished or unfurnished.
Make a photographed inventory. Record every item and its condition, room by room. This becomes an appendix to the tenancy agreement.
Set the rent and the currency. Look at comparable listings in the same development or area with the same number of bedrooms. The currency you choose also determines the tax rate (see Section 5).
Advertise and choose your tenant. Use well-lit photos. Ask prospective tenants for ID or a passport, proof of employment or study, and references where possible.
Sign the agreement. Use the 10-point checklist below.
Hand over the keys. Read the electricity and water meters, take photos on the day and agree whose name the utility accounts will be in.
Complete tax and registration. Declare your rental income to the Inland Revenue Office. If you're doing holiday lets, get your Operating Permit before taking your first booking.
Manage the check-out. Check the property against the inventory, read the meters and return the deposit in line with the agreement.
3. Holiday Lets and the Holiday Homes Law (54/2025)
Nightly and weekly tourist lets in North Cyprus are governed by the TRNC's own Holiday Homes Law No. 54/2025. To list on Airbnb, Booking.com or a similar platform, your property needs to be entered in the Holiday Homes Registry and hold an Operating Permit. This registered system gives both owners and guests peace of mind.
Ready-to-run developments make life easier. Buying a standalone second home and setting it up to operate under the new Holiday Homes Law is more involved than investing in a development where the letting and operating infrastructure is already in place. If you own a home in a Döveç development, working with our in-house short-term rental company means you don't have to deal with any of this: lettings, guest operations, maintenance and cleaning are all handled for you. To find out which services apply to your home, get in touch with our team.
4. 10 Things Every TRNC Tenancy Agreement Should Include
A well-drafted written agreement sets clear expectations from day one and gives both sides confidence. We recommend including:
Parties and property: ID or passport details, the property address and title deed details.
Term: Start and end dates, and renewal terms.
Rent and currency: GBP, EUR or TRY; payment date and method.
Annual increase: In the TRNC, rent increases are agreed freely between landlord and tenant. Make the most of that flexibility by stating the rate or calculation method clearly.
Deposit: The amount, where it's held and when deductions may be made.
Bills: Who pays the service charge, electricity, water and internet.
Maintenance and repairs: A clear split, for example minor repairs for the tenant and structural or major repairs for the landlord.
Inventory: The photographed list, attached as an appendix.
Subletting: The tenant may not sublet the property or let it short-term.
Termination: Early exit, notice period and moving-out terms.
If your tenant doesn't read English comfortably, use a bilingual English–Turkish agreement. For longer tenancies, we recommend speaking to a lawyer.
5. Tax on Rental Income
Rental income in North Cyprus is taxed under the TRNC's own tax system, which is separate from the rules in the Republic of Cyprus and in your home country. The rate depends on the currency of the tenancy agreement: agreements in Turkish lira and agreements in a foreign currency, such as sterling or euros, are taxed at different rates.
Rental income is declared to the TRNC Inland Revenue Office (Gelir ve Vergi Dairesi), so it's worth bearing this in mind when you choose the currency for your agreement. Working with a developer that runs lettings in-house makes the filing side easier too.
6. The Real Costs of Letting
When you weigh up rental income, look at what's left after costs rather than the headline figure. Budget for:
Service charges: Usually paid by the owner.
Maintenance: Air-con servicing, plumbing, decorating and appliance repairs.
Furniture and refreshes: Furnished lets need refreshing every few years.
Utilities: On holiday lets, electricity, water and internet are usually yours to cover.
Cleaning and laundry: Between every guest on holiday lets.
Platform fees: Commission charged by Airbnb, Booking.com and similar sites.
Management fees: If you use a professional property manager.
Insurance: Buildings and contents cover.
Empty days: Especially off-season for holiday lets.
Tax: See Section 5.
Net rent = gross rent − tax − the costs above. Want to factor in purchase costs too? See our guide to [title deed fees and taxes in North Cyprus – ADD EN LINK].
7. Managing Your Property From Abroad
When you let a property from the UK or anywhere else, what matters most is having someone reliable on the island looking after things for you. There are three ways to do this:
Someone you trust: Give a friend or relative power of attorney to handle key handovers and small jobs.
An estate agent: Helps with finding a tenant and the agreement; day-to-day management usually isn't included.
Professional property management: Finds tenants, collects rent and handles maintenance, check-ins and check-outs on your behalf.
Döveç homeowners can send maintenance requests through Döveç Holidays and service requests through the [Döveç Life app – ADD EN LINK]. For what makes a property easy to manage from abroad, read our guide [choosing a home in North Cyprus that's easy to manage from abroad – ADD EN LINK].
8. Prefer a Hands-Off Approach? The 10-Year Rental Guarantee
If you'd rather not find tenants, collect rent or worry about empty months, there's another option: the rental guarantee model. Here, the letting is committed through a rental agreement signed alongside the sale contract, and the operator runs the apartment.
As part of a limited-time campaign, Döveç Group offers a 10-year rental guarantee on a limited number of apartments in selected resort developments:
Developments: Courtyard Platinum, D-Point and La Casalia
Apartment types: Studio, one-bedroom and two-bedroom
Start date: The guarantee runs for 10 years from key handover.
Payments: Rent is paid annually, with the first payment at the end of the first operating year.
Condition: This is a limited-time offer for purchases paid 100% upfront within 30 days.
Rather than chasing the highest market rent, you receive an amount agreed in writing upfront, and hand over the ups and downs of the market in return. For full details, read our guide [rental guarantee projects in Cyprus – ADD EN LINK].
9. Six Tips for a Smooth Let
Get your permit first. Start your holiday let with the permit in place and you can list your property with complete peace of mind.
Put everything in writing. A written agreement makes both sides' expectations clear.
Agree rent increases upfront. There's no need to renegotiate at every renewal.
Do an inventory and take photos at handover. Returning the deposit becomes quick and transparent.
Plan on net income. Factoring in tax and costs from the start gives you a realistic plan.
Read the development's rules early. Knowing the policies on holiday lets and pets makes planning easier.
10. Frequently Asked Questions
Can foreigners rent out property in North Cyprus?
Yes. Foreign owners can let their property in North Cyprus. For holiday lets, the Holiday Homes Law permit requirements apply to everyone.
Can I charge rent in sterling or euros?
Yes. Tenancy agreements in foreign currency are possible in the TRNC. Foreign-currency agreements are taxed at a different rate from Turkish lira agreements.
Is there a cap on rent increases in North Cyprus?
Rent increases are agreed freely between landlord and tenant. Simply state the rate clearly in the agreement.
Do I need a permit to list my property on Airbnb?
Yes. Short-term tourist lets require registration with the Holiday Homes Registry and an Operating Permit under Holiday Homes Law No. 54/2025. The registered system protects both owners and guests.
Is rental income taxed in North Cyprus?
Yes. Rental income is taxed under the TRNC's own tax system, with the rate depending on the currency of your tenancy agreement. It's declared to the TRNC Inland Revenue Office.
How much should the deposit be?
The law doesn't set a fixed amount; it's agreed between the parties. State the amount, where it's held and when deductions may be made in the agreement.
Can I rent out my property while living in the UK?
Yes. You can run the whole process remotely by giving someone you trust power of attorney or by working with a professional property manager.
Is rent paid monthly under the rental guarantee?
No. Under Döveç's 10-year rental guarantee, payments are made annually, with the first payment at the end of the first operating year.
Final Thoughts: Choose the Right Model and Put It in Writing
Renting out your property in North Cyprus comes down to choosing the right letting model, meeting the legal requirements and planning your costs from the start. For long lets, a good agreement is key; for holiday lets, an operating permit; and in every case, a clear view of your net income.
If you own a Döveç home, or you're looking to buy with letting in mind, explore our holiday homes in North Cyprus or speak to our team.
This article is for general information only and does not constitute legal or tax advice.
