Cyprus Overseas Property Sales Figures:
There has been some welcome news from the Cyprus land registry with sales figures for Cyprus from foreign buyers being relativity unchanged at roughly half their heights of 2006.
Looking at the statistics it is easy to see that the last few years have put off investors in the region but now seems to be a great time for people to buy in Cyprus.
And while the fall of 4.9% in August is still a reduction it marks a slowing down of the rate of change that we have seen for the last 14 months, each with consecutive drops in sales.
Cyprus property bargains:
With property sales to foreign buyers falling in most regions bar Limassol, it is actually a fantastic time in our opinion to start looking at property for sale in Cyprus.
Buyers are currently faced with the dilemma of holding on for longer to get a better deal or simply saying I can afford this property and want to buy it as an investment or to live in.
Either way there is no denying that there are some great properties to be had at very reasonable prices in Cyprus currently.
How long will downturn last?
Polys Kourousides a property valuer states that the downturn is not finished yet,
“I don’t think that things will change in the next months. Limassol recorded an increase in August due to the purchase of properties by non-Cypriots, Russians mostly”,
VAT cut will not help first time buyers:
It is obvious to many that the downturn and downgrading of the banks is all to blame for such a stagnant market, investors are simply scared of the market for fear of negative equity issues, but for the more traditional buyers things are quite rosy if you are fairly cash rich already.
Discussing the Cypriot parliament’s approval to cut VAT for first-time buyers to 5%, Polys Kourousides said
“the VAT cut will give a boost to those buying big houses, but for 1-bedroom or 2-bedroom apartments things will remain the same.”
With overseas buyers now accounting for around 25% of Cyprus’ total property sales and many of these coming from Russia, this is mainly down to a collapse of the domestic market as opposed to an overall increase in the amount of foreign buyers of Cyprus property as many would have you believe.
Russian buyers boost Cyprus property market:
Russian buyers seem to be favouring property in Limassol and Paphos, and there would indeed be a marked decrease in sales if these investors and buyers were not around.
Total overseas sales up to August for the first 8 months in 20111 to foreign buyers was 1,197, this is compared to the same duration last year when 1,222 sales were made to the same demographic, a fall of 2%.