Cyprus is currently a hot location for property investors. It’s an island on the up with a very positive future. An investment in real estate in Cyprus comes with many benefits. It’s a wonderful sun-filled island with more than 300 sunny days every year. That means, if you’re letting out a property, there’s no off-season so you can profit from your property all year round. Cyprus has one of the lowest crime rates in all of Europe, so you can have peace of mind that your property is safe when you’re not actually on the island to keep an eye on it yourself. But as with all investments, you’ll want to keep your risks low and maximize your profits, so here are 6 ways to ensure you make the best investment choices in Cyprus.
1 - Choose a popular location
The most popular tourist areas see a higher annual property value increase. Invest in areas such as Limassol and Pafos and you will have the best chance of renting out your property all year round, and at a good price, maximising your income. Pafos, with its beautiful beaches and wide range of attractions is incredibly popular and has the most 5-star hotels of anywhere on the island. Apart from being hugely popular with tourists, Pafos has historically been Cyprus’ favourite among foreign investors. To this day, it is considered the best value for money destination with regards to investment, with prices and rental returns estimated to rise significantly in the years to come.
2 - Know where to avoid
It’s certainly wise to avoid investing in property in the north of Cyprus where there are ongoing land disputes from people who have been displaced. Avoid this area and you avoid inadvertently investing in a property that is under dispute.
3 - Check out the Cyprus Investment and Permanent Residency Programmes
When you’re looking at your investment budget, do bear in mind that an investment of 2 million euros or more entitles you to enter the Cyprus Investment Programme which give you instant citizenship. This comes with many benefits so it’s certainly worth looking into. If you’re looking at the prospect of becoming a permanent resident, you can apply for a permanent residency permit after you have made an investment of at least €300.000 in property. You may be eligible for a permit with a smaller investment of at least €100.000 but be sure to check with your legal counsellor to see if you belong to that category.
4 - Think about a high-end investment
The biggest price increases over recent years have been in the luxury accommodation market. The more you invest, the more you can make, so if you have the budget, the high-end luxury villa market is a wise place to put your money.
5 - Take a look at Buy-to-Let
Buy-to-let is the investment of choice for around 25% of Cyprus investors. Both for tourist lets, and long term residential lets to locals, it’s a good solid investment strategy.
6 - Employ a local Cyprus real estate lawyer
Cyprus property investment is different to that in other countries. Hire a local real estate lawyer and they will know all the ins and outs and ensure that your deeds are fully investigated and that everything is legal and above board.
Find your perfect investment opportunity
Visit the Domenica Group website to browse investment properties available right now. Do get in touch with us for any further information regarding any of our properties or investing in properties in Cyprus.