Why Investing in Property in Cyprus
By today’s standards the real estate market in Cyprus is very active with a good response from buyers in the field of buying both houses and apartments
Timely investment in Cyprus real estate opens up many doors to success possibility of business diversication and also guarantees a stable income in many factors in the finance industry. Taking into account the time factor and if you follow the popular wisdom can be interpreted as follows: do not postpone of what you can do today until tomorrow if it can be done today.
Houses and Apartments Increase in Value
The increase in value of the houses and apartments for last year 2022, reached 15-20% rise. Some forecasts of many brokers in the building industry are promising a slow down in price growth at the same time with the demand for this type of real estate to remain high. The only problem here is the increase of the lending rates which reduced the interest of buying among the Cypriot people.
The European Market
Most buyers from European countries are in the Scandinavian region, Great Britain and Germany, which can confidently be called the most developed countries of the Old World. Such investors have high purchasing power and, in the process of turning to the Cypriot real estate market, are able to make it bullish.
High Demand from Russian Investors
Many of the investors from third countries, in addition to real estate, are interested and attracted by the possibility of obtaining Cypriot permanent residence. A very high percentage of these investors are Russian citizens who, in the context of the application of international sanctions policy, seek to obtain the official status of one of the EU countries.
Limassol and Larnaca top Priority
Since Cyprus provides this opportunity through the acquisition of new residential or commercial real estate worth from 300 thousand Euros + VAT. If you are interested in these apartments varying in price ranging from 300-500 thousand and located in Limassol and Larnaca, are in very high demand, so those of you who wish to purchase one, you should hurry up because every month, Housing from this section is located farther and farther away from the blue sea coast.
Residential Real Estate the Picturesque Paphos
The discovery of last season, in terms of the growth in the sale of residential real estate by 22%, was the picturesque Paphos. The local market is mainly represented by a large number of villas and apartments in low-rise complexes. According to the expert opinion, the region offers the best quality of life on the island and is an ideal place for those who move to Cyprus in search of a more relaxed pace of life.
First in the sale of real estate for last season comes Paphos with 22%. Total sales include a large number of
villas and apartments in low complexes. According to the opinion of those who live or visit Paphos, it is the area that offers the best quality of life on the island and is an ideal place for those who move to Cyprus in search of a more relaxed pace of life. All properties in Paphos are in high demand for rent in tourist self catering apartments, especially during the summer months. Most who choose Paphos are residents from Europe and the United Kingdom where in recent years the prices of properties offered by developers have doubled.
Long Term Investments
The most profitable investments in Cyprus are those in the residential sector. For now the market is rising for the benefit of the investors who are holding on to their apartments and sell them for a higher price in the future or making a good income from rentals. The rate of return of real estate in Cyprus reaches almost 7% per annum, which is higher that of Mediterranean competitors such as Greece, Italy and France a d other European countries.
The Effect of the Tourist Industry
During the tourist season on the island which is the longest in the region, which is also an undeniable bonus for the landlord. The maximum interest for such intended use are apartments and villas located near the coastal areas or business, districts of seaside cities and the capital Nicosia.
Cyprus is depending on tourism which is the most important sector of the economy of the Republic of Cyprus. Investing in hotels even if is already built or a project with a plot of land for future development is a promising and logical investment of capital.
The Cypriot market offers a wide range of tourism industry objects: private villas, apart-hotels, hotels and resorts with well-equipped infrastructure.
Cyprus Tourism Today
The worse problem for Cyprus and off-course many other countries was the pandemic but now is over, the flow of tourists to the island is rapidly growing, so the whole industry is profitable and sustainable and can reach 7% per annum. However, the war in Ukraine with the building materials going sky high will affect the growth factor in the cost of coastal land adversely affect the investor’s balance sheet.
