After a period of prolonged economic difficulties and stagnation in the Cyprus property market. The property experts are now saying that following new property tax incentives and the government’s golden visa scheme which offers Cyprus citizenship in exchange for cash investments. This scheme has attracted hundreds of non-European Union buyers every year since its introduction in 2013. Additionally with an increase in relatively cheap available debt funding and an improving banking system. The Cyprus property market has now made a positive turn round.
The same property experts are now promoting the property market as riding on the crest of a wave. August saw a 27% increase in the number of property sales in Cyprus, compared to the same month last year, according to the Department of Lands and Surveys statistics.
This rise follows an 18% increase in July, a 28% increase in June, and 59% increase in May. Sales rose in all districts with Limassol leading the way with sales up 56% compared with August 2016. Sales in Nicosia (the capital) rose by 19%, and sales in Paphos rose 18%. With these figures it is no wonder that the property market is now considered to be booming.
According to the Finance Minister Harris Georgiades who told the Cyprus International Investment Summit which took place in Limassol earlier this month.
‘The Cyprus economy is currently growing at a rate of 3.5% of the GDP per year, much higher than the EU average, and the outlook remains positive’.
The government of Cyprus has raised more than €4bn (US$4.75bn) since 2013 by providing citizenship to the wealthy non-European Union buyers / investors. Granting them the right to live and work throughout Europe in exchange for cash investment. More than 400 passports are understood to have been issued through this scheme last year alone.