Cyprus Luxury Property Sales Rising

Cyprus luxury property sales are rising quickly according to property agents PwC Cyprus.

From 2010 to 2013 the sales of Cyprus luxury property (€1.5 million and above) remained stable at 41 properties per annum. Since 2014 however, sales of properties in this high-end category have been increasing.

The figure was up to 179 units in 2016, then 2017 saw a further 45 per cent rise to an annual total of 260. This compares to a 24 per cent year-on-year increase in Cyprus property generally over the same period, showing that luxury property sales are outpacing the general market.

A large influx of overseas property investors has helped drive the recovery of the real estate market, including Cyprus luxury property.

The vast majority of sales to overseas property investors relate to residential properties. During the past few years, such sales have been increasing largely as a result of the revisions to the scheme for naturalisation of investors in Cyprus by exception.

Double-digit growth rates in foreign transactions were exhibited across all districts of Cyprus in 2017. The highest volume of properties for which sale contracts were filed by foreign buyers, was recorded in Paphos (36 per cent), followed by Limassol (34 per cent) and Larnaca (16 per cent).

When it comes to Cyprus luxury property however, Limassol continues to be the preferred destination for high-end buyers, accounting for over half (52 per cent) of all luxury transactions. Paphos was the other popular area for big spenders, responsible for 36 per cent of the high-end purchases.

Interestingly, two thirds of luxury property purchases in Limassol were apartments, with the remaining third villas. Whereas in Paphos almost all high-end transactions were related to villas.

The majority of luxury property transactions in Cyprus fell within the €1.5 to €2 million price band. However, with many new high-end property developments in the pipeline, particularly in Limassol and Paphos, the number of properties selling in excess of €2 million continued to rise

Overseas property investors with deep pockets may want to join the Cyprus luxury property boom.