Investment Property

With over 320 days of sunshine a year, Cyprus is definitely a major European travel destination, but sunshine isn’t the only thing in Cyprus beckoning Europeans.  As Cyprus Properties investors will attest, the sunny Mediterranean island is also a hot spot for real estate investment — and developers and agents assure us that there is plenty of growth potential remaining.

According to recent figures, real estate prices rose by at least 20 percent last year, a hike that was largely due to Cyprus’ entry into the European Union (EU), which pushed many investors to hurriedly purchase property before May 1st.  Additional factors, such as the Cypriot government’s decision to allow members of the EU to own businesses outright on the island and relaxed rules regarding rental properties (prior to changes in the laws regarding rentals, non-Cypriots were prohibited from letting their Cyprus Properties) also boosted real estate values.  It is estimated that approximately 60,000 Britons own property in Cyprus.

According to Mr. Hamilton, the list of reasons that so many Europeans find real estate investment in Cyprus appealing is a long one: “The place is absolutely gorgeous, you can scuba dive and ski on the same day, and the temperature never drops below 60 degrees. The island’s long association with the British means that English is spoken everywhere, the people are friendly, they drive on the left and, now that Cyprus is in the EU, Brits can live, work and own Cyprus Properties freely in the southern part.”

“You can still get Cyprus Properties of an excellent standard at an affordable price,” Hamilton added. “Apartments start from £55,000, semi-detached villas are around £130,000 and wonderful beachside villas are around £150,000. Compared with Spain, that’s good value.”
Hamilton is predicting another 20 percent rise in prices next year: “I met one guy last week who bought eight Cyprus Properties from us. People are looking for sound investments and some are even buying because they can’t get on the property ladder in the UK.”  Investment potential in Cyprus may also receive a boost from the increased tourism expected from Cyprius’ new status as a member of the EU.
Property Investor Show North recently conducted a survey on overseas buyers, which bears out Hamilton’s prediction.  According to the survey, the primary motivation for buying abroad was ‘investment and rental returns’. Eileen Williams cited these factors in her decision to buy a one-bedroom apartment in Larnaca: “I can’t afford to buy in the UK but in Cyprus I don’t think that I can go wrong,” she said. “A friend of mine bought there two years ago and her Cyprus Properties has already risen in value enormously.”  Williams paid £55,500 for her Larnaca apartment, which she plans to use as a vacation and rental property.