Cyprus Real Estate

Cyprus is ideally situated in the Mediterranean Sea and is the third largest island in it. It is very popular as a tourist destination and its entire economy is geared to providing the tourists the facilities that they require. It has been an independent Republic since 1960, though Turkey disputes the existence of the Republic and annexed by military force one third of the northern part of the island.

The property market in Cyprus is one of the fastest growing in that area with an annual growth of 20%. Prices are still lower than many other EU countries especially in the north of the island. A lot of golf properties that add 40% value to the property are also available. It has a low tax rate for citizens of the UK as a double taxation treaty gives them additional protection. Your property if you are not a citizen of Cyprus has to be acquired through a Cypriot company and the corporation tax is limited to 10%. If you are a foreign resident you will pay a flat income tax rate of 5%.

Cyprus enjoys sunny days for 340 days in a year and the climate is extremely moderate because of the Mediterranean Sea, making it an ideal place to live in. A very high standard of living is possible as all such shopping and other avenues for sport especially golf are available. The cost of living is comparatively low, and the friendly nature of Cypriots and the low crime rate make daily life there quite safe and enjoyable. Medical facilities available on the island are in tune with the best in the world. The island is very easily accessible through its international airport to flights from all over the world. The ports of Larnaca and Limasol are hosts to cruise ships and can be used to reach Cyprus.

There is a very strong market for rentals during the season and even 35 weeks of letting can cover up to two thirds of the mortgage value even if you pay only 30% as down payment. So a purchase becomes self funding in no time at all, and if you are letting it out for only part of the year, the other days are available to you for your personal use and with the excellent climate in Cyprus this is never onerous.

Banks in Cyprus offer foreign currency mortgages to expatriates and because of the conducive business climate there is a lot of flexibility induced by the competition between banks that can lead to you getting very favorable terms. Citizens from the UK are especially benefited because banks in the UK will also allow you the benefits of your property in the UK to enable you to fund a property buy in Cyprus.

There are certain resorts being developed that have very good facilities that are now the rage in investment for real estate in Cyprus. These developments include a complete lifestyle apartment with golf courses, riding schools, tennis academies and the like. The city of Limassol which is the biggest town in Cyprus offers a lot of apartments on rent or purchase and a lot of investors buy these properties with the idea of renting it out.