Cyprus is an island state in the Mediterranean Sea. The mild climate and rich cultural heritage attract not only tourists, but also those looking for comfortable housing.
Advantages of buying residential property in Cyprus
The main advantage of the island is the climate. Cyprus has more than 300 sunny days a year, and the Mediterranean Sea provides high humidity, which makes the hot summer easier to bear. Winters are warm - the temperature rarely drops below 15 degrees.
Advantages of buying property in Cyprus:
- Safety. The Cypriot authorities pay great attention to the fight against crime and ensuring security, as these are important factors in attracting tourists.
- Tax incentives. Cyprus provides attractive tax conditions for owners of Cypriot property, including the absence of inheritance tax.
- The possibility of obtaining permanent residence. To obtain a Cypriot residence permit, it is enough to buy real estate in Cyprus worth at least $ 300,000.
- Stable rental income. On the resort island, rental property is rarely idle. The same applies to cities far from the coast - there, rental housing is in demand among labor migrants.
Key features of buying property in Cyprus
To buy Cyprus real estate, foreign citizens must obtain a special permit from the Council of Ministers of the Republic of Cyprus. Moreover, such a permit must also be issued for further purchases of properties.
Features of the local market:
- Taxes and fees. When buying secondary property for sale in Cyprus, a property transfer tax is paid in the amount of 3 to 8%, depending on the value of the property. For new buildings, VAT from 5 to 19% is applied. A stamp duty of up to 0.2% of the value of the property is also charged.
- The purchase process. The standard procedure includes choosing a property, signing a preliminary contract with a deposit, obtaining permission to purchase, signing the main contract and registering the property with the Land Department.
Cost of residential property in Cyprus
The property prices in Cyprus varies depending on the region and type of housing. For example, in the capital of Cyprus, Nicosia, the average price of an apartment in the center is €2,000-€4,000 per sq. m, villas - €3,000-€5,500 per sq. m. These are the highest rates on the island, and they remain so despite the fact that Nicosia is located in the center of the island and has no coastline.
Other cities:
- Larnaca. The second largest city. Apartments in the center cost €2,000-€2,500 per sq. m, villas — €2,500–€3,500 per sq. m.
- Limassol. A large port city. The average price of an apartment in the center of Limassol is €1,700–€2,100 € per sq. m, villas — €1,900–€2,500 per sq. m.
- Paphos. Apartments in the center of Paphos are priced at €1,600–€1,900 per sq. m, villas at €1,800–€2,300 per sq. m.
Resale Cyprus real estate for sale is usually 10-30% cheaper than on the primary market. However, the statistics are heavily influenced by low-cost properties in dilapidated settlements in the center of the island, which are difficult to reach.
Popular cities and areas of Cyprus for foreigners to buy property
The popularity of cities in Cyprus among foreigners varies depending on the purpose of the property. If we are talking about buying property for rent, then the following are in greatest demand:
- Limassol. The city is the business center of Cyprus. There are more banks and international companies here than in the capital. Elite new buildings and skyscrapers, such as Trilogy, One Tower, Del Mar, form the basis of the local real estate market.
- Paphos. Paphos is divided into two parts - old and new. The historical city is an archaeological site (UNESCO site), reflecting the centuries-old history of the island. Sale of residential property in Cyprus in Paphos is carried out in the new part and is in demand among European retirees, young families and investors.
- Larnaca. The city has more affordable prices, which attract the middle class and young families.
- Ayia Napa and Protaras. Resort towns aimed at tourists. Suitable for investors in seasonal rental property and for young people who love nightlife. The cost of apartments per night near the main beaches - Nissi Beach, Fig Tree Bay, Konnos Bay - can reach €300-€500 per night.
- Nicosia. The capital and business center is suitable for businessmen and investors in office real estate. The choice of real estate is large and includes apartments in the center, offices and commercial real estate.
