Useful Tips on buying Cyprus property

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  Best investment - Properties on or near the beach. Demand for Cyprus properties on or close to the beach, is very high, therefore yielding both high resale values and high rental return.
  


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  EU, VAT and increase in demand & prices - After EU accession, most restrictions to foreigner buyers were lifted and Cyprus is no longer just another tourist destination. It’s becoming the home, work place, business destination, retirement place for more than half a billion people coming from all over Europe. All these are already increasing demand for properties in Cyprus. But what else could push up the prices even more? VAT is definitely another factor. Cyprus has a transitional period until 2008 before imposing VAT on land but buyers of houses, flats, e.t.c will have to pay a 15% VAT on developments approved after May 1st 2004. What does this mean? Prices will increase gradually, at least by 50 % by 2008.
  


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  Checkpoints when buying Cyprus property - Location / Building & other restrictions (for land) / Facilities provided (c/h, a/c, s/pool, etc) / Quality of construction / Reliability of seller / After sales support / Extra Costs (extras not included in selling price could increase the price up to 50% or even more).
  


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  Cancellation fees - Selling a new Cyprus property before receiving the title deed means that you have to pay a cancellation fee to the seller. Try to minimize or eliminate this from the beginning.
  


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  Specific performance - If you don't register your buying contract within 60 days you are not fully covered by the law and the seller could take advantage (mortgage) your Cyprus property.
  


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  Current price Vs Selling potential of Cyprus Property - Very important factor to consider, since at some point you might want to sell. Buying cheap does not always mean a good investment.
  


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  Financing & Currency Exchange Facilities - This could make a significant difference on the final cost of your Cyprus property. We offer various long term payment schemes at favorable terms to assist its purchasers. Furthermore, Currency Exchange assistance is also available at the lowest cost.
  

Our professional & experience consultants will guide you through the process in order to avoid all the traps before and after property purchase. Please visit http://www.cyprus-online.com/buy-sell/cyprus-property-tips.html for more information.

"Off-plan" Investment Plans for Cyprus Properties

A ‘smart investor’ is a well informed one. Not only on when to buy but when to sell. There is a huge amount of un-tapped investment potential in property markets where buying ‘off-plan’ affords the flexibility and maximum returns on investment.

Cyprus 4 Properties are offering prestigious “off-plan” properties in some the fastest growing property markets.Secure properties for as little as £10K. 20-30% down payment and no payments until the project is finished. And best of all, the ability to sell before completion for phenomenal capital returns!

Ask today for your free Investment Plan that will match your individual needs >>>

To view our best off plan properties in Cyprus please click here http://www.cyprus-online.com/buy-sell/cyprus-off-plan-properties-investment.html

Buy to Let Cyprus Properties

It's no secret that buy to let property is still the most secure and simple way to build a substantial asset base. It can and will easily replace your existing pension and provide you and your family an affluent lifestyle in the short term.

All you need to do is build a portfolio of buy to let properties that are fully managed using competent professionals, that way you'll have the time and freedom to enjoy life.As property investment consultancy, our purpose is quite simple. To assist you in building a portfolio of buy to let properties that will provide a stable, secure and growing net worth and provide a healthy cash flow throughout your life.

Giving you peace of mind by taking care of everything, we provide a full service so all you have to do is enjoy the benefits that off plan buy to let property offers. Most of our clients are too busy to source the off plan property or they do not have the expertise to do so. That's why we do this for you. We believe that you don't want the hassle of chasing mortgages, solicitors, furniture, flooring and letting agents, so we only refer you to competent professionals that can manage these processes for you.

Your first step is to contact us and map out your portfolio strategy plan (click here >>>). We can then begin to source and acquire the properties to achieve this plan. Your Property Consultant will conduct regular reviews as your portfolio grows and provide all the assistance and education as you need it.

Below you can find our Buy to Let investment plans with guaranteed (with contract - click here >>> ) rental Income.

http://www.cyprus-online.com/buy-sell/resales.html

Rental ROI in Cyprus is 6.3%, reveals owner survey

With Cyprus earmarked as one of the investment hotspots for 2007, leading ‘for rent by owner’ holiday home site, www.holiday-rentals.co.uk surveyed its owners in order to quantify the actual rental return on investment potential buyers can expect.

According to the results, owners manage to rent out their Cyprus holiday homes for 18 weeks per year on average, providing a 6.3% RoI, based on the average purchase price of £134,000 and the average rental rate of £470 per week*.

Cyprus has long been an investment favourite with Brits and its imminent adoption of the Euro in 2008 could make it an even more attractive choice, as interest rates fall to align it with the eurozone and make borrowing cheaper.

Offering higher gains than France or Spain and more stability than Bulgaria, Cyprus could provide a safe and lucrative alternative for those looking to buy foreign property in 2007.Ross McGowan, sales director, www.holiday-rentals.co.uk commented, “The number of properties in Cyprus listed has increased by over 40% since 2005 and by nearly 240% when compared to 2004.

The site now lists 795 properties in Cyprus, including 72 in the Turkish North. With tourism booming and a reputation for attracting repeat visitors, a buy-to-let investment in Cyprus is still a great bet as rental demand continues to outstrip supply.”He continued, “Advertising on the Internet is the most cost-effective way to rent your property and ensure you get the maximum return on your investment. In the past, you would have needed to employ a management company, who can take up to 30% of profits.

By advertising online and managing rentals yourself, you can cut out the middleman and keep all of that 6.3% return for yourself!”The results of the survey by www.holiday-rentals.co.uk also support the fact that capital growth in Cyprus has been high.

The majority of owners bought between two to four years ago and of those who said they knew the current value of their property, 40% said it had increased between 30-60% and 30% said it had increased between 10-20%. The factors believed to have played the most significant role in the rise were Cyprus’ imminent adoption of the Euro and the fact that tourism is growing by around 7% per year.

The average purchase price respondents had paid was £134,000, with 40% having personally financed the purchase, 33% taking mortgages against their main residence and 27% holding a mortgage in Cyprus. The vast majority said the rental potential in Cyprus was one of the most significant factors in their decision to buy there, with 16% saying it was the most influential factor. The reasonable cost of property and economic performance were also significant influences.

In terms of owner profiles in Cyprus, 36% are between 41-50, 32% between 51-60 and 15% between 31-40 years old. The over 60s represented 13% of owners. The vast majority are married and either employed full time, or self-employed, managing the rental of their property themselves in their spare time. Over a third have a total household income of less than £50,000 per year, however a fifth earned £61-£80,000 and another fifth £100,000 or more per year.

Over and above the financial merits of investing in Cyprus, there are numerous other reasons why it’s a great place to buy a holiday home. With over 340 days of sunshine per year, it’s a year-round destination and English is widely spoken on the island. There is lots of development going on, including new golf courses and marinas, which will further improve facilities on the island in the coming years.

Cyprus also has a high standard, but relatively low cost of living, low taxation and low crime rates. Is it any wonder the Brits are in love with Aphrodite’s Isle?

Fore more news on Cyprus Properties please visit http://www.cyprus-online.com/buy-sell/cyprus-news.html

Russian woman goes to trial for illegal purchase in North Cyprus

A RUSSIAN woman buying a property in the north did not know it was actually owned by Greek Cypriots, a Nicosia court heard yesterday.The trial of Elena Mirkushova, 30, accused of illegally purchasing a house built on land belonging to Greek Cypriot refugees, yesterday began with the investigator of the case taking the stand.Yesterday’s proceedings were followed by Theodora Antonis Polycarpou, Marios Antonis Polycarpou and Andreas Antonis Polycarpou, the Greek Cypriot owners of the land sold to the woman by Turkish Cypriot estate agents.

Mirkushova was arrested at the Ledra Palace checkpoint in Nicosia on November 18, along with a Latvian friend of hers, after customs officers discovered a contract of purchase for a property in occupied Lapithos, as well as advertising pamphlets for properties in the occupied areas, in her bag.Addressing the court, CID Constable Costas Costa said he had taken a statement from Mirkushova who confessed to buying the property in the north.

“However, when asked if she knew that the property originally belonged to Greek Cypriots, she said she was conned by the Turkish Cypriot estate agents because they never told her who were the original owners of the land she was buying.”The investigator told the court that Mirkushova had signed the contract of purchase and had paid £1,000 sterling as a down payment for the house, which was being sold for £78,000 sterling. According to the contract, Mirkushova would then have to pay £14,600 sterling a few months later and then pay off the rest of the amount in £2,500 sterling monthly installments.

“The defendant told us that she had not yet actually decided to buy the property but had wanted to go back to Russia so that her lawyers could go over it for her,” said Costa.The court heard how Mirkushova had wanted to buy the house in the north “because she thought it would have been a good investment for her daughter.

”Evidence was also submitted to the court by the investigator, who handed to Judge Lemonia Kaoutzani various police statements, the contract of purchase and the advertising pamphlets for the properties in the north.The Russian mother was remanded in custody on November 18 before being charged with two counts of illegally purchasing a property in the occupied areas and conspiracy to commit a crime.She denies both charges.

Yesterday, the prosecution also dropped the arrest warrant against 42-year-old Bulet Fikri, the estate agent who sold her the house, because “he is in the occupied area and it is not possible to arrest him.”According to the first charge of the indictment, Mirkushova and Fikri conspired to commit a crime. The second charge stated that on November 18, Mirkushova purchased from Fikri a property that belonged to somebody else, which was being built in the Ayios Theodoros area of Lapithos.

The property sold is built on two plots, one which belongs to Panayiota Grigoris Polydorou and one which is shared between the three members of the Polycarpou family.The charge said the accused had signed a document of purchase, dated November 18, 2006, but should have known that there was no consent from the rightful owners.The trial continues of December 19, with the Polycarpou family as well as an official of the Land Registry Department to be called up as witnesses.

Fore more news on Cyprus Properties please visit http://www.cyprus-online.com/buy-sell/cyprus-news.html

Leptos in talks to buy out Aristo

TWO OF the island’s biggest developers are in negotiations over a possible takeover.According to press reports, the Leptos Group, backed by an unnamed French company, is to buy out Aristo Developers.

Earlier this week, Aristo secured from the Cyprus Stock Exchange a second day of suspension of its shares pending the outcome of intense negotiations aimed at finalising the takeover bid now in progress on the group.

According to the Financial Mirror, the bid is for 100 per cent of the company and has to be all-out cash.

The Aristodimou family controls a little over 50 per cent of the CSE-listed Aristo, with the Elma Group controlling another 25 per cent. The remaining 25 per cent is spread among the public.
The price at which negotiations are being held is reported to be between 90 and 100 cents per share, with the buyer reportedly backed by a Cypriot bank, which in turn is acting on behalf of a foreign financial institution willing to provide a bank guarantee. Local press reports have put the total figure somewhere in the region of £300 million.Aristo own £200 million worth of properties and are reported to have secured permits for the development of three golf courses.

A spokesman for Leptos yesterday told the Mail that he couldn’t make any official comment but did add that, “should these reports turn out to be true, it will be beneficial to the whole island as a large part of the property market will remain in Cypriot hands.”

Traditionally, the two companies have been the major players in the Paphos area with any possible takeover likely to leave competitors trailing in their wake.

Fore more news on Cyprus Properties please visit http://www.cyprus-online.com/buy-sell/cyprus-news.html

Cyprus, France and Spain top November overseas interest

British property investors continue to opt for the old favourite locations of Cyprus, France and Spain to invest their cash, according to new research.

The three European nations, old friends of British holiday-home seekers, beat off stiff competition from emerging markets in the Eastern Bloc to become the three top countries for currency enquiries to foreign exchange firm HIFX.

In the company's monthly survey of global property hotspots, Cyprus, France and Spain made up over half of all its currency transactions last month.

Mark Bodega, marketing director of currency specialists HiFX, commented: "Despite a fair amount of dabbling by investors in some more exotic locations, old time favourites Cyprus, France and Spain are still the first choice for British buyers looking for a holiday home or retirement home.

"With the markets in these countries having slowed down over the last 12 months, we are seeing some really good bargains coming up and it seems that many canny Brits have also spotted this and are beginning to return to these traditional overseas markets in increasing numbers."

Although he admitted that the markets in these countries – especially Spain – had cooled of late, Mr Bodega said that traditionalists were now looking at "lesser known costas and inland amongst the olive groves", as opposed to eastern Europe.

Indeed previously touted hotspots Bulgaria, Turkey and Morocco actually saw their proportions of currency enquiries decrease in November, while those in Cape Verde and Dubai remained the same as the previous month.

In a statement, HIFX said that although quick returns can be attained in emerging markets, investors "should be careful as the fad of these countries could disappear just as quickly as they have appeared".

The monthly decline of interest in the emerging markets may be linked to homeowners' increasing affordability constraints due to the recent rise in interest rates, causing overseas property to bank on the more stable markets of Cyprus, France and Spain.

With an array of regular cheap flights to a comprehensive list of destinations, Brits are turning to these countries due to the ease of access and the security of stable house price inflation.

Furthermore, houses in Cyprus, France and Spain are much easier to rent due to their inherently strong tourist markets and high regard among UK residents.

The large ex-pat community in these countries means that settling in is not too much of a culture shock for retirees, who make up a large proportion of the overseas property market.

For more Cyprus Property News please visit http://www.cyprus-online.com/buy-sell/cyprus-news.html

Cyprus property market stable but healthy for 2007

As 2007 gets under way, there’s continued confidence from international buyers in Cyprus’ residential property market. After a period of rapid price rises in anticipation of the country’s EU membership in 2004, the market is now showing stable but healthy growth with the promise of more good things to come as the country prepares to adopt the Euro currency on 1st January 2008 and Monarch Airlines adds Cyprus to its list of budget destinations.

According to the President of the Cyprus Council of Real Estate Agents, Dinos Sotiriou, house prices have recently started to stabilise after three to four years of intense annual growth of around 10-15 per cent. Long-term trends remain positive but are more sustainable, offering the dual benefits of stability and continued growth particularly throughout 2007, in anticipation of the Euro currency, but also into 2008 and beyond.

For potential investors, Cyprus’ economic statistics are impressive. The country enjoys a high standard of living and is ranked highly among other European economies. The per capita income is around CYP 20,000 with low unemployment (3.7 per cent) and low inflation (2.3 per cent).

The Central Bank of Cyprus interest rate stands at 4.5 per cent and Cyprus Investment Policy is liberal. It allows 100 per cent foreign participation in all sectors of the economy, for example the acquisition and development of land - both for EU nationals and investors from non-EU countries.

There are no exchange control restrictions and it’s no longer necessary to prove that property was purchased from external funds.Seasoned investors in Cyprus already know about its wealth of attractions, which make it a popular location for both tourists and foreign residents, especially retirees.

As well as the 340 days of sunshine per year, stunning beaches and dramatic scenery, Cyprus is also an attractive financial proposition. It has a low cost of living and low taxation, especially for retirees with the added benefits of no inheritance tax and banking and legal systems closely resembling those in the UK.

In addition, 2007 brings an added bonus, with Monarch Airlines offering budget fares from London Luton airport to Larnaca international airport, promising to further boost the appeal of Cyprus to tourists and potential homeowners alike.

The Monarch Airlines service begins in March 2007 and will provide some healthy competition for current major operators, Cyprus Airways and British Airways. As most investors know, when a budget airline adds a new destination to its list of routes, it’s a sure sign of a healthy property market with a promising future.

Tourism has always played a major part in Cyprus’ economic success and a stable tourist market is a major consideration for property investors concerned about the potential for high rental yield and worthwhile capital returns.

The Cyprus Tourism Organisation (CTO) has recently embarked on the Strategic Plan for Tourism 2010 which will improve the tourism sector overall, with upgraded resorts and an increase in high quality facilities, such as marinas and golf courses developments.

In addition, the CTO wants to appeal to a more diverse range of tourists, encouraging return visits and out of season holidays. Cyprus’ two international airports at Larnaca and Paphos are both currently being refurbished and extended to deal with increasing numbers of holiday makers, second home owners and foreign residents.

A recent report in the Cyprus Mail suggests that the reason for Cyprus’ popularity among all types of investors is that the quality of homes on the island remains high, despite the fact that buyers enjoy prices which are lower than many other popular European destinations.

Now that the economy has steadied in preparation for adoption of the Euro, Cyprus is the perfect environment for investors - good value combined with economic stability.

For more news on Cyprus Property please visit http://www.cyprus-online.com/buy-sell/cyprus-news.html

Luton to Larnaca route launched by Monarch (low fair airline)

Monarch is to launch flights from London to Cyprus next year as the airline expands its network to the Eastern Mediterranean.

The four times a week service from London Luton to Larnaca begins on March 26, with fares starting from £69.99 one-way including taxes.

Tim Jeans, managing director of Monarch's scheduled services, said: "We are delighted to be the first low fares airline to launch scheduled services to the Eastern Mediterranean, a market that has historically been dominated by the flag carriers and charter services.

"Cyprus Airways and British Airways have operated a high fares cartel to Cyprus for decades which we'll break with our widely available, flexible low fares.

“Our new service will be warmly welcomed not just by the growing holiday and overseas property markets in Cyprus, but the 150,000 strong Greek-Cypriot community in London, who've been deprived of choice and low fares until now.”

Flights to Larnaca will operate on Monday, Tuesday (starts July 10), Wednesday and Saturday and tickets can be booked through the Monarch website from Wednesday, December 20.

For more news on Cyprus Property http://www.cyprus-online.com/buy-sell/cyprus-news.html

Expected boom in Cyprus Property for 2006-2008

After EU accession, Cyprus is no longer just another tourist destination offering sandy beaches and fun. It’s becoming the home, work place, business destination, retirement place for more than half a billion people coming from all over Europe.

Furthermore, the government introduced a 15 % VAT on property purchases in accordance with the “acquis communautaire”. All these lead to one and only conclusion - property prices are only going one way and that is up!

Until now, a foreigner was allowed to buy as much property as she/he wants, but was only allowed to transfer one house or one plot of land up to 4,000 sq.m to her / his own name. But now most restrictions to foreigner buyers are lifted which will lead to an increase in demand by 50-100% and generate an increase in both sale and rental prices. Louis Constantinou, with his more than 30 years experience in the real estate industry, believes that property prices could rise by more than 50 %.

“Until now, there was a rush to buy before EU accession and VAT introduction. But freedom of movement after EU, will further increase demand for real estate. Once restrictions are lifted we will have a new wave of buyers coming here to live, work, invest or retire. That’s millions of people coming to a small island with limited land resources!” added Louis.

Jacob Clein, another real estate expert, agrees with Louis’ assessment. “Prices will only go up. Cyprus is becoming a top destination for retirement, investment, working and living. EU citizens prefer Cyprus to other countries because they find it safer and friendlier. There is a big interest on new properties. The relatively low taxation and low cost of living in Cyprus has also an added appeal for potential buyers, offering a full, but comparatively inexpensive lifestyle. ” he added.

All these will for sure increase demand for properties in Cyprus. But what else could push up the prices even more?

VAT on land is definitely another factor. Cyprus has a transitional period until 2008 before imposing VAT on land and when this applies property prices are expected to go up by at least 5% only because of that.

Joining the Eurozone (adapt the Euro as a currency) is also another factor that will contribute towards an increase of demand since interest rates will fall. This will have a dual effect. On one hand mortgages will be cheaper and buy to let investments will have much better returns than today. On the other hand depositing money in the banks will stop being a good investment and people with a lot of cash will be looking for property investments in order to get a better return on their money.

So what does all these mean? Prices will increase gradually, at least by 50 % by 2008. The future remains to be seen but what we know for sure is that now the prices of real estate in Cyprus are going up fast and will continue going up even faster for sometime to come. So if you are considering to buy a property my advice would be to first do your own research and then find a reliable consultant to assist you in minimizing any risks of a price stabilization.

Always, keep in mind that the best investment are properties on or near the beach. Demand for these properties is very high, yielding both high resale values and high rental returns.

For more news on Cyprus Property please visit http://www.cyprus-online.com/buy-sell/cyprus-news.html