Cyprus Property News
Cyprus | Posted:

Cyprus luxury property sales on the increase


An undiminished interest in buying luxury property in Cyprus still remains, with Limassol being the main attraction for locals and foreign investors. The results of research survey called “Cyprus Residential Development - Prime Market Report 2012” for the purchasing of luxury developments in Cyprus is very promising. The research was prepared by the independent, international property consultancy firm Knight Frank.

More specifically, despite the fact that prices and the rate of property sales in Cyprus are significantly reduced by approximately 12% compared to the "golden" period of 2007, figures for demand and sales of luxury properties in Cyprus are diametrically opposed to the decline trend. Demand has remained high despite the price drop of 10% - 15% over the past two years. The Cyprus market in this area differs from other markets as the price, location and profile of buyers in excesses of € 500,000 is not following normal trends. High end developments are attracting mostly Russians and other European buyers, who use these properties mainly as holiday homes. The market for luxury properties in Cyprus includes a number of luxurious developments such as the Limassol Marina,  Akamas Bay Villas in Latchi and The Sea Gallery Villas and the Boutique Residence in Limassol to name a few.

The Prime Market Report 2012, challenges that the economic situation in Cyprus, although affected by the economic crisis is in a much better state than in other countries of the EU. Reference is also made to the findings of natural gas deposits south of Cyprus and the momentum that this natural wealth is expected to give the economy of Cyprus and the real estate market. Significance is given to the fact that our economy is based mostly in services, the tourist industry dominating over the rest. Despite the decline, the market of United Kingdom remains the largest source of tourism and the influx of tourists from Russia has increased substantially. Follow the same trend is the property market in Cyprus by foreign buyers.

The “Cyprus Residential Development - Prime Market Report 2012” shows as an example the Limassol Marina, which is a major development on the island. The Limassol Marina, which will be ready to greet the first boats and tenants before the end of the year is attracting the interest of both Cypriot and foreign buyers. The construction work is in full swing. Given the wider European market and comparing it with other developments that are sold during the construction phase, Limassol Marina is one of the most successful projects as during the last 14 months contracts of more than € 55 million have been signed.