Cyprus Property Sales Continue to Fall

Cyprus property sales are continuing to fall, having been in freefall since October last year. According to figures released by StockWatch the year on year drop for last month was 72%, following a 65% year on year drop in December, and q 60% drop in November.

Completed sales of Cyprus property only reached 452 last month, compared to 1615 last January, going by the number of deeds of sale submitted to the Cyprus Land Registry.

The drop in activity in the Cyprus property market is evident everywhere, including Limassol, which is faring slightly better due to the activity of Russian businessmen in the market. Limassol has seen a 50% drop in sales, compared to drops of 70 and 80% elsewhere.

The fall in Cyprus property sales is worrying the government, which has been earning millions of Euros in property taxes the past couple of years. It has released 200 million Euros to help mid-low income families to buy houses in Cyprus, and hopefully go some-way to alleviate the situation.

The 200 million Euro fund will be music in the ears of people who invested in property in Cyprus last year and the year before because it will no doubt provide them an exit strategy. That said most bought resort properties which tend to be re-sold to other holiday home buyers and investors only, not by average families.

Cyprus property investors will be waiting to see the effect the new golf courses, and proposed new Disneyland have. Those who bought property in affected areas will anyway; which is un-coincidentally where most investors and holiday home buyers purchased property in the past two years.