Larnaca is a reasonably priced tourist location, privileged by many British expatriates who are attracted to the many facilities offered by the area. With constantly increasing demand for accommodation, Larnaca investments continue to be prosperous.
Larnaca is a coastal town that has traditionally been economically motivated by the tourist industry. There are two sides of property market in Larnaca, constant development of the Larnaca town and the new development of coastal holiday areas in outskirts of Larnaca.
The growth of the main town of Larnaca depends on the local population’s housing needs. The development of outskirts is driven by the demand for holiday home buyers and retirees. Acquisition of property for retirement purposes is probably the major factor for property market in Larnaca.
As a small town, Larnaca has the advantage to offer villas in quiet relaxing areas only 100 meters from the sea and 10 minutes drive from the centre of Larnaca and its international airport.
Long Term Rentals in Larnaca do not seem to offer sufficient returns for investors. Though rentals for holiday homes show a different picture because they are seasonal and comply with investors demands. If they are appropriately promoted, they can provide good returns.
Larnaca attracts many visitors due to the combination of a tourist destination and the facilities of a city.
The demand for Property market in Larnaca town comes mainly from the local population, combined with some repatriate Cypriots.
Investors have realized that outskirts of Larnaca can reach a different market of buyers than Protaras. Larnaca represents its own unique investment potential by having its own airport, marina, English schools, shopping malls and large commercial roads and many more.
The property growth in the outskirts of Larnaca in turn affects the prices in main Larnaca area.
The Property Demand is increasing and for new projects, particularly in the outskirts, buyers are asked to wait about 15-20 months for delivery of their property.
Market Trends That Form Property Market in Larnaca:
1. Larnaca has its own unique investment potential;
2. Prices in Larnaca are lower comparing with the same properties in Paphos and Limassol;
3. Due to the property demand developers have been selling their properties before they begin the construction process;
4. Foreign investors are expected to reinvest their money in real estate in Larnaca because they already seem to be have benefited by the past years property prices growth.
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