The best time to buy a luxury villa in Cyprus or Greece

The number of tourist arrivals to Cyprus and Greece has increased dramatically in 2022. According to the Cyprus Statistical Service, 3.09 million tourists arrived in Cyprus, almost 68% more than the previous year. Similarly, international travelers to Greece nearly doubled to just under 3 million in 2022; these numbers are expected to exceed 4.5 million in 2023. As one of the oldest civilizations in the world, Cyprus attracts travelers from all over the world who want to experience the blue waters of the Mediterranean Sea, taste the most exquisite food and find the best quality of life. No wonder, living by the sea is said to have therapeutic properties. But that's not all. Cyprus and Greece have introduced several programs and incentives to attract foreign investment in their properties. Tax vacations, reduced fees on transfer of ownership and seamless real estate acquisition processes act as the cherry on the Mediterranean cake.

Residence permit programs

In 2021, Greece and Cyprus announced important changes to their residence permit programs. For example, Cyprus canceled its Golden Visa program and revamped its permanent residency program, which allows foreigners to obtain immigration permission through real estate investments starting at €300,000. As a result, people can enjoy unrestricted access to Cyprus and the entire European Union. This is particularly popular with investors from the Middle East and North Africa (MENA) region who have any personal or professional interests in Europe. In addition, as European Union countries such as Spain, Portugal and Ireland have discontinued their Golden Visa and residency programs, Greece and Cyprus are becoming increasingly popular with global investors. Greece's Golden Visa program, one of the last of its kind in the EU, provides the most affordable access to the Schengen area. Buying a vacation home or primary residence for only €250,000 entitles you to a residence permit.

But beaches are not the only attraction of Cyprus. Visitors can ski in the mountains in winter. The island also has some of the best nightclubs, a cruise terminal and the largest casino in Europe, making it an ideal vacation destination. For tourists and investors looking for luxury accommodation or buying property for investment, Paphos is one of the most desirable locations in Cyprus with first line villas. These exclusive villas in a gated complex have large verandas, extensive landscaped gardens, saunas and state-of-the-art gyms - all just steps away from the Mediterranean Sea. Prices for sea view villas in Cyprus start from €699,000 plus VAT and rise into the millions of euros. As for Greece, its most popular destination is Crete, which was once the center of the first highly developed civilization in Europe. Beachfront villas on the west side of Crete offer the most stunning mountain views. Prices for these villas start from €1.25 million plus VAT and upwards. In addition to being fantastic vacation homes or sound investments for international investors, villas in Cyprus and the Greek Islands also provide a steady rental income that can be much higher during the tourist season. New villas in a secured complex with direct access to the beach are the most preferred properties. Tax incentives in Cyprus, including a moderate income tax rate, make it an attractive option for investors wishing to spread their investments, optimizing financial returns. As for Greece, as the Greek government may increase the minimum investment amount, inquiries received from potential investors looking for luxury villas have been on the rise in recent weeks. Given these circumstances, now may be the best time to buy a luxury villa in Cyprus or Greece. (Author - Co-President - Leptos Group)