Cyprus Property Prices

RRV8

GCM
Hi Team, (and apologies for this long post):

I'm after a bit of advice from fellow Arssers regarding the health of the property market in Cyprus.

The missus and I have just returned this morning from a 6-day house hunt session in Cyprus and, although we've seen a couple of nice villas for sale, I've still been left wondering just what is happening to the property market over there, i.e. it seems to be deflating IMO and, in many places, it's just stagnating with very few sales being recorded from June this year beyond the €200K price-point.

It's a while since I was last in Cyprus and I have to admit that I was shocked by the huge volumes of construction which has sprung up recently - In some places it just looks like a concrete jungle with very little to offer apart from crappy pothole'd roads, dirty roadsides and incomplete building projects where 'further phases' were never completed due to the 2013 banking crash etc. There's some great places but you really do need to hunt them out.

On a personal note we've seen a nice little place (built by Aristo Developments in 2007/2008 where all of the houses are immaculately maintained by the residents, that is, with the the exception of those villas that have been purchased by the Russians, besides others, to help them achieve the Cypriot Golden Visa status - and then the houses are left to fall apart on the developments without ever being visited once by their owners.

I've mentioned the Golden Visa-thing as according to the recent news reports the Russians have now dropped off the investment curve and are now buying in Turkey instead. The EU/EC is applying huge amounts of pressure on Cyprus to stop it from issuing further Golden Visas but after hauling in €2-billion in revenue recently then Cyrpus is trying to push back, albeit 26 golden visas have been revoked in the last two weeks alone.

Stats-wise; In Q3 this year there was a 3% increase in recorded sales in Cyprus compared to the same Q3 period last year but the interesting bit is that the value of those sales has dropped by 37%. On reflection this means that it's still the small properties and flats that are being sold and not the €200K-€500K sale point and beyond.

We looked at the €250K-€325K price point and, although we've seen some nice things on the market, it does seem a bad time to buy there with lots of properties in this band now being reduced after failing to secure any serious interest.

Also, we investigated 18 different properties during our 6-day visit and all but three were British owners

If anyone can explain the Cypriot house market to me and what is happening with it then I would really appreciate your thoughts and input. Me, personally; I have a feeling that the Cypriot house market will deflate further in 2020 so I'm wondering if it's best just to sit and wait this one out. (P.S. I'm also considering such things as the Brexit results and its timelines and the fact that Turkey, Cyprus and the EU are not exactly seeing eye-to-eye about the whole political relationship and gas exploration gig).

Again, apologies for the long post.

Thanks in advance,

R
 

homeworker

War Hero
Hi Team, (and apologies for this long post):

I'm after a bit of advice from fellow Arssers regarding the health of the property market in Cyprus.

The missus and I have just returned this morning from a 6-day house hunt session in Cyprus and, although we've seen a couple of nice villas for sale, I've still been left wondering just what is happening to the property market over there, i.e. it seems to be deflating IMO and, in many places, it's just stagnating with very few sales being recorded from June this year beyond the €200K price-point.

It's a while since I was last in Cyprus and I have to admit that I was shocked by the huge volumes of construction which has sprung up recently - In some places it just looks like a concrete jungle with very little to offer apart from crappy pothole'd roads, dirty roadsides and incomplete building projects where 'further phases' were never completed due to the 2013 banking crash etc. There's some great places but you really do need to hunt them out.

On a personal note we've seen a nice little place (built by Aristo Developments in 2007/2008 where all of the houses are immaculately maintained by the residents, that is, with the the exception of those villas that have been purchased by the Russians, besides others, to help them achieve the Cypriot Golden Visa status - and then the houses are left to fall apart on the developments without ever being visited once by their owners.

I've mentioned the Golden Visa-thing as according to the recent news reports the Russians have now dropped off the investment curve and are now buying in Turkey instead. The EU/EC is applying huge amounts of pressure on Cyprus to stop it from issuing further Golden Visas but after hauling in €2-billion in revenue recently then Cyrpus is trying to push back, albeit 26 golden visas have been revoked in the last two weeks alone.

Stats-wise; In Q3 this year there was a 3% increase in recorded sales in Cyprus compared to the same Q3 period last year but the interesting bit is that the value of those sales has dropped by 37%. On reflection this means that it's still the small properties and flats that are being sold and not the €200K-€500K sale point and beyond.

We looked at the €250K-€325K price point and, although we've seen some nice things on the market, it does seem a bad time to buy there with lots of properties in this band now being reduced after failing to secure any serious interest.

Also, we investigated 18 different properties during our 6-day visit and all but three were British owners

If anyone can explain the Cypriot house market to me and what is happening with it then I would really appreciate your thoughts and input. Me, personally; I have a feeling that the Cypriot house market will deflate further in 2020 so I'm wondering if it's best just to sit and wait this one out. (P.S. I'm also considering such things as the Brexit results and its timelines and the fact that Turkey, Cyprus and the EU are not exactly seeing eye-to-eye about the whole political relationship and gas exploration gig).

Again, apologies for the long post.

Thanks in advance,

R
My brother in law's father (ex-military) has a property in Cyprus that he is trying to sell (exact location is not known) but he has had it on the market for 3+ years, his wife hates the place but they now seem to be trapped.

Anecdotally, and having been out there with UN tours, I would not touch the place with a telegraph sized barge pole.
 
Retired Lt Col I know retired out there mit wife in 2007 .
Now back in the UK ,seems to have lost its shine and as he said . Full of bloody foreigners.

Also know a retired Lt Col who retired in 2004 to Italy , same story now stuck with a property he cannot sell.

Take off the rose tinted glasses. Cyprus will be running out of water soon.

 
My mother has a place on the turkish side - Lets just say she wouldnt have repeated the purchase. Saying that, 8 months of the year its a nice place generally to retire.
 
Learn Russian before you go , seriously though , rent for six to twelve months in any intended country of purchase , you`ll then hear all the gossip and bad points and can then make an educated purchase ....if you still want to.
 
Do developers still do that dodgy "legal loophole" thing of designing a house with three floors, but intentionally only building two and leaving rebar sticking up on the roof to avoid the completion tax?
 
I`ve owned a property in the EU for over 15 years , lived in it full time for 7 , no regrets but we were very lucky and had a good lawyer when we purchased , most ex pats get stitched up , many deserve it as they do no home work and leave their brain on the plane , believe me when I say rent before you buy is the only sensible way , as a bonus you will soon be offered discounted properties by desperate expats once the word gets around you are a buyer with cash in your pocket .
 
I lived and worked in Greece ( Crete ) 2004-2012 approx.
Rented in a couple of places first , eventually bought a nice villa.
I worked for 2 house building Companies (corrupt and ultimately shite ) before working for a Civil Engineering company ( 2 Cretan families, lifelong mates from Uni)

The whole thing is fraught with financial danger, get it right and it is a lovely lifestyle.
 
I`ve owned a property in the EU for over 15 years , lived in it full time for 7 , no regrets but we were very lucky and had a good lawyer when we purchased , most ex pats get stitched up , many deserve it as they do no home work and leave their brain on the plane , believe me when I say rent before you buy is the only sensible way , as a bonus you will soon be offered discounted properties by desperate expats once the word gets around you are a buyer with cash in your pocket .

Did the same now 12 years ago and loving it.
 
Hi Team, (and apologies for this long post):

I'm after a bit of advice from fellow Arssers regarding the health of the property market in Cyprus.

The missus and I have just returned this morning from a 6-day house hunt session in Cyprus and, although we've seen a couple of nice villas for sale, I've still been left wondering just what is happening to the property market over there, i.e. it seems to be deflating IMO and, in many places, it's just stagnating with very few sales being recorded from June this year beyond the €200K price-point.

It's a while since I was last in Cyprus and I have to admit that I was shocked by the huge volumes of construction which has sprung up recently - In some places it just looks like a concrete jungle with very little to offer apart from crappy pothole'd roads, dirty roadsides and incomplete building projects where 'further phases' were never completed due to the 2013 banking crash etc. There's some great places but you really do need to hunt them out.

On a personal note we've seen a nice little place (built by Aristo Developments in 2007/2008 where all of the houses are immaculately maintained by the residents, that is, with the the exception of those villas that have been purchased by the Russians, besides others, to help them achieve the Cypriot Golden Visa status - and then the houses are left to fall apart on the developments without ever being visited once by their owners.

I've mentioned the Golden Visa-thing as according to the recent news reports the Russians have now dropped off the investment curve and are now buying in Turkey instead. The EU/EC is applying huge amounts of pressure on Cyprus to stop it from issuing further Golden Visas but after hauling in €2-billion in revenue recently then Cyrpus is trying to push back, albeit 26 golden visas have been revoked in the last two weeks alone.

Stats-wise; In Q3 this year there was a 3% increase in recorded sales in Cyprus compared to the same Q3 period last year but the interesting bit is that the value of those sales has dropped by 37%. On reflection this means that it's still the small properties and flats that are being sold and not the €200K-€500K sale point and beyond.

We looked at the €250K-€325K price point and, although we've seen some nice things on the market, it does seem a bad time to buy there with lots of properties in this band now being reduced after failing to secure any serious interest.

Also, we investigated 18 different properties during our 6-day visit and all but three were British owners

If anyone can explain the Cypriot house market to me and what is happening with it then I would really appreciate your thoughts and input. Me, personally; I have a feeling that the Cypriot house market will deflate further in 2020 so I'm wondering if it's best just to sit and wait this one out. (P.S. I'm also considering such things as the Brexit results and its timelines and the fact that Turkey, Cyprus and the EU are not exactly seeing eye-to-eye about the whole political relationship and gas exploration gig).

Again, apologies for the long post.

Thanks in advance,

R

As a 'Cyprus' property owner, for 16 years, my BEST advice to you is to rent a property. Buying a property is easy, selling one is almost impossible/

However, if you DO decide to buy then your problems will start almost immediately.

Title Deeds - Basically, you'll never get them. They'll tell you lots of bullshite about 'how they're ready' but the long and short of it is that they're talking out of their arrse. You won't get them and if the developer has mortgages on the land that your property sits on, or the developer owes taxes, you ain't getting them till that hole in your arrse heals up.
Sales Contract - You're agreeing to pay almost all fees including the ones that the developer was meant to pay, things like Sewerage Tax and Immovable Property Tax.
Fees - Cypriots love their fees and as the country is still largely a state run monopoly, they are all BIG FEES. Everything has a Large fee attached to it.
Utilities - Water, Electric, communications are all state owned and are state controlled monopolies.
Banking - Whilst personal banking is actually allot better then here in the UK, that's largely because banking ISN'T free, you pay for everything. Direct Debits, Cards, ATM'S, Bank Statements and this is also largely why the majority of transactions in Cyprus are paid by cash.
Cars - ALL cars are imported and doing so is expensive, I've imported 3 cars and the cheapest in fees alone was about €1500. Because of those fees second hand cars in Cyprus are expensive and a £1000 car in the UK will cost you circa €5000 in Cyprus.
2013 Banking Haircut - Seriously read up about the Cypriot banking crisis of 2013 as the EU, ECB and IMF forced the Cypriot government to 'lock down' all the banks and TAKE all monies from ALL accounts that had over €100k in them. So if you had €250k in the bank on Friday, when it reopened on the Monday you only had €100k, and a worthless government issued bond to cover the other €150k. That 'money grab' included money sitting in accounts from property sales, pensions, businesses or any other funds that people had sitting "safely" in their bank. Six years later and those people still haven't got their money back although they have been credited with a 1% pa return on their money.

The developer who built our complex, and several others, owes €2 million in unpaid taxes and he ain't ever going to pay them, and the Cypriot government ain't ever going to make him. So we ain't ever going to get our title deeds so until such times that that happens, legally he still owns the land that our place sits on.


RENT, DON'T BUY.
 
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RRV8

GCM
I`ve owned a property in the EU for over 15 years , lived in it full time for 7 , no regrets but we were very lucky and had a good lawyer when we purchased , most ex pats get stitched up , many deserve it as they do no home work and leave their brain on the plane , believe me when I say rent before you buy is the only sensible way , as a bonus you will soon be offered discounted properties by desperate expats once the word gets around you are a buyer with cash in your pocket .

That's a really good bit of info. The missus and I have already started to experience some dodgy deals going on behind the scenes.

As an example I was dealing with a non-Brit expat estate agent three weeks ago (he has a small office in Paphos) whereby on the third reply email from him about a property, he had the bloody cheek to carbon copy his legal mate, also expat, on our communication before asking for a 10% deposit to secure the property, which incidentally didn't have any deeds!!

It seems that some of the expat sales agents are some of the most dodgy feckers out there.

I did visit said XP estate agent while I was in Paphos and he certainly knows what I think of him now.
 
That's a really good bit of info. The missus and I have already started to experience some dodgy deals going on behind the scenes.

As an example I was dealing with a non-Brit expat estate agent three weeks ago (he has a small office in Paphos) whereby on the third reply email from him about a property, he had the bloody cheek to carbon copy his legal mate, also expat, on our communication before asking for a 10% deposit to secure the property, which incidentally didn't have any deeds!!

It seems that some of the expat sales agents are some of the most dodgy feckers out there.

I did visit said XP estate agent while I was in Paphos and he certainly knows what I think of him now.

Deposits - Generally speaking, if you make an "Offer" that is accepted, they will want a deposit, non refundable, as it's a sort of 'shitt filter' that weeds out the time waster that are just on holiday and wanting to look good in front of friends/family, never heard of 10% though, think we paid £2k.
Brit Expats - The majority of them think they're Arfur Daley and they're all pout to rip you off, especially when it comes to taking a bung.
Also Expats - Generally speaking, I hate them as they all want a custy life in the sun but non of them want to pay for it. Case in point being that on our complex of 100 properties only about 45 of us pay the pool fee's for our huge pool. Also, non of the Cypriots will pay for anything, no council/waste tax, no communal fees and certainly no pool fees.
 
On the plus side though, we rent our place out as a holiday home and doing so means that it basically pays for itself and subsidises our holidays. We've had a great run and have enjoyed our visits, three a year, but TBH, we wouldn't do it again.
 
Many dont appreciate how lucky we are in the UK , property law is comparatively simple and more straight forward than most of the rest of the world .
If you fancy getting away for a few years with little risk then why not rent your UK property out and spend 80% of the income on renting a foreign home , if things hit the fan overseas give your UK tenants their notice and throw your rental keys at your landlord?
Worst case scenario is you have to re fit your UK home but youve put 20% of the rent money aside so win win.
 

RRV8

GCM
As a 'Cyprus' property owner, for 16 years, my BEST advice to you is to rent a property. Buying a property is easy, selling one is almost impossible/

However, if you DO decide to buy then your problems will start almost immediately.

Title Deeds - Basically, you'll never get them. They'll tell you lots of bullshite about 'how they're ready' but the long and short of it is that they're talking out of their arrse. You won't get them and if the developer has mortgages on the land that your property sits on, or the developer owes taxes, you ain't getting them till that hole in your arrse heals up.
Sales Contract - You're agreeing to pay almost all fees including the ones that the developer was meant to pay, things like Sewerage Tax and Immovable Property Tax.
Fees - Cypriots love their fees and as the country is still largely a state run monopoly, they are all BIG FEES. Everything has a Large fee attached to it.
Utilities - Water, Electric, communications are all state owned and are state controlled monopolies.
Banking - Whilst personal banking is actually allot better then here in the UK, that's largely because banking ISN'T free, you pay for everything. Direct Debits, Cards, ATM'S, Bank Statements and this is also largely why the majority of transactions in Cyprus are paid by cash.
Cars - ALL cars are imported and doing so is expensive, I've imported 3 cars and the cheapest in fees alone was about €1500. Because of those fees second hand cars in Cyprus are expensive and a £1000 car in the UK will cost you circa €5000 in Cyprus.
2013 Banking Haircut - Seriously read up about the Cypriot banking crisis of 2013 as the EU, ECB and IMF forced the Cypriot government to 'lock down' all the banks and TAKE all monies from ALL accounts that had over €100k in them. So if you had €250k in the bank on Friday, when it reopened on the Monday you only had €100k, and a worthless government issued bond to cover the other €150k. That 'money grab' included money sitting in accounts from property sales, pensions, businesses or any other funds that people had sitting "safely" in their bank. Six years later and those people still haven't got their money back although they have been credited with a 1% pa return on their money.

The developer who built our complex, and several others, owes €2 million in unpaid taxes and he ain't ever going to pay them, and the Cypriot government ain't ever going to make him. So we ain't ever going to get our title deeds so until such times that that happens, legally he still owns the land that our place sits on.


RENT, DON'T BUY.

There's a whole chunk of info in your tip-top post that I wasn't aware of - you're a star, thank you.

I'm an avid 'recent' reader of the Cyprus Property News Magazine. The stories paint a fairly grim outlook for Cyprus and its legal system but in some cases I get a better insight from the comments of the expat readers that are attached to the articles.


One particular story that was posted last week is about a lady who after 29-years this month has still not received her title deeds. Her husband died a few years ago and now she's stuffed.

I also didn't realise that Cyprus had the 7th most expensive utility costs out of the 42 countries in the extended EU domain so, based on what you've said above, I can see the prices going up again to cover future costs.

The bit that you've mentioned on banks, fees, charges, cars, collectively all infers massive political instability and scares me no end. It's taken a while to put a few quid in our post office account and we can't replenish once it's gone. The Cypriot system seems so corrupt in parts that I really wouldn't know who to trust. A recent article (in the link above) highlighted the extreme corruption which was present in the banks, agents, developers and the legal system.

That said, the only bits of Cyprus that we seem to like is the bit between Latsi, Polis and Argaka but that looks to be a sleepy hollow with not much going on besides the build up of Turkish war ships and drilling rigs just off the Cypriot coastline.

If we bought in Polis then I could start collecting Turkish warship numbers just like some people collect train engine serials, lol.

Again, thanks for your post as I've gained a load of great points from it.
 
There's a whole chunk of info in your tip-top post that I wasn't aware of - you're a star, thank you.

I'm an avid 'recent' reader of the Cyprus Property News Magazine. The stories paint a fairly grim outlook for Cyprus and its legal system but in some cases I get a better insight from the comments of the expat readers that are attached to the articles.


One particular story that was posted last week is about a lady who after 29-years this month has still not received her title deeds. Her husband died a few years ago and now she's stuffed.

I also didn't realise that Cyprus had the 7th most expensive utility costs out of the 42 countries in the extended EU domain so, based on what you've said above, I can see the prices going up again to cover future costs.

The bit that you've mentioned on banks, fees, charges, cars, collectively all infers massive political instability and scares me no end. It's taken a while to put a few quid in our post office account and we can't replenish once it's gone. The Cypriot system seems so corrupt in parts that I really wouldn't know who to trust. A recent article (in the link above) highlighted the extreme corruption which was present in the banks, agents, developers and the legal system.

That said, the only bits of Cyprus that we seem to like is the bit between Latsi, Polis and Argaka but that looks to be a sleepy hollow with not much going on besides the build up of Turkish war ships and drilling rigs just off the Cypriot coastline.

If we bought in Polis then I could start collecting Turkish warship numbers just like some people collect train engine serials, lol.

Again, thanks for your post as I've gained a load of great points from it.

That website is run by a guy called Nigel Howarth and he is a font of information and a very nice and genuine bloke. If Nigel infers that something is 'Bullshite and dodgy, then it is.

Although utilities are nearly all state controlled and owned they aren't extortionately expensive, it's just that you have virtually no other choices. Which TBF in a country with a population of less than one million some things are always going to be different from what you're used to in the UK, with some things being better. For instance, car insurance is in the car owners name as Fully Comprehensive but any driver aged 25 - 70 can also drive it on a 3rd part basis at no extra cost.
 

RRV8

GCM
Deposits - Generally speaking, if you make an "Offer" that is accepted, they will want a deposit, non refundable, as it's a sort of 'shitt filter' that weeds out the time waster that are just on holiday and wanting to look good in front of friends/family, never heard of 10% though, think we paid £2k.
Brit Expats - The majority of them think they're Arfur Daley and they're all pout to rip you off, especially when it comes to taking a bung.
Also Expats - Generally speaking, I hate them as they all want a custy life in the sun but non of them want to pay for it. Case in point being that on our complex of 100 properties only about 45 of us pay the pool fee's for our huge pool. Also, non of the Cypriots will pay for anything, no council/waste tax, no communal fees and certainly no pool fees.

The small house which we like is on a 25-house Aristo development on the west coast and they have an annual community fee which has never been paid by the Russian owners of the four abandoned properties on the estate. It just means that the Brits (like you say) and one Romanian guy have to pick up the slack.

The residents committee has taken this issue to all the local Cypriot authorities and yet time after time they've been told that nothing can be done.

Enough said, the system seems to be well and truly buggered.
 
To highlight how bent and corrupt the entire system is, when we had Wills made out our solicitor told us that if we paid cash that it'd be €300 but if we paid by card then she'd have to add VAT!!! and that's the so called legal system.

The Dentist I've used has a house the size of a football pitch but as the 'earnings before tax' in Cyprus is €19k, guess what? That's all she declares as her earnings.

By law, all transactions of €10k and over have to be made electronically.
 
The small house which we like is on a 25-house Aristo development on the west coast and they have an annual community fee which has never been paid by the Russian owners of the four abandoned properties on the estate. It just means that the Brits (like you say) and one Romanian guy have to pick up the slack.

The residents committee has taken this issue to all the local Cypriot authorities and yet time after time they've been told that nothing can be done.

Enough said, the system seems to be well and truly buggered.

Once Title Deeds are issued to all the properties and an Owners Committee has been legally formed, once annual communal fees are issued any properties that don't pay can have a 'Charge' placed against them at the land registry. Meaning that if/when that property is sold that charge will be deducted from the sale and paid to the Communal Committee accounts. Glaring problem being is that you all first need to have your Title Deeds.
 
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