Cyprus real estate continues to go from strength to strength as values of villas and luxury Cyprus apartments steadily rise. This booming property market is showing no obvious signs of any kind of slow down now or in the near future. The average price of a two bed room apartment has almost tripled in the last five years making them one of the best selling propositions on the Island. In fact eager holiday home buyers are snapping them up as fast as the Cyprus real estate developers can build them. Most units are already sold “off plan” before construction even commences and many owners are selling them on at a profit without ever setting foot in them.
All booming property markets provide investment opportunities for speculators and is no exception. More to the point holiday home investments are amongst some of the most lucrative markets in real estate. Despite the fast pace of development and the rising market there are still plenty of great deals to be had. Many developers are caught up in this building frenzy and they are snapping up more and more land to secure it at the best prices before the market rises. This in turn puts the pressure on to sell the units making funds available for even more land purchases. This is when a little negotiation could take an astute buyer a long way.
Of course everyone wants a bargain and the Cyprus real estate developers are also in the property business to make money. The bottom line is that property is very lucrative so there is plenty of money being made by both the developers and the land owners so they have plenty of room to maneuver. Do you think the developers pay the first price they are asked for by the land owners? Or even that the Cyprus real estate agents always get the full rate of commission on the sales? Of course they don’t because every one want’s a good deal and so does the buyer. Buyers should never be shy of making an offer (within reason) on any property they are interested in buying.
Buying Cyprus real estate is not as complicated as some people may have been led to believe and with a little research under their belts most buyers can secure a great deal for themselves. The main difference between Cyprus real estate and property in the U.K.lies in how the payment is made. More precisely when the payments are made because the property is paid for in several stages. The first phase is the paying of a holding fee or deposit made directly to the Cyprus real estate developer. This secures your chosen villa or apartment usually for thirty days whilst you raise the next payment. After thirty days buyers will be expected to pay about 30% of the total cost of the property followed by the rest at various phase of the construction up to and including the final finishes.
Late payment of any of these fees to the Cyprus real estate developer either directly or through your Cypriot solicitor could incur interest penalties so check your contract before you commit. Also scrutinize the contract very closely because it forms an agreement between the buyer and the developer. It should also name you as the owner of the property in the absence of the title deeds. These deeds will not be available until several years after the development is completed so the contract is of vital importance in terms of property ownership. Apart from these two major differences the conveyance is very similar for the U.K. and Cyprus real estate.