Nеmigаtion in the real estate market of Cyprus: tips for buying and selling real estate - The Frisky

Cyprus is a Mediterranean island, combining magnificent sea and poetic landscapes, diverse economy and dynamic real estate market. Real estate is a business that brings in millions of euros every year, over a billion in2023. It is also competitive and developing. Here we explore and give you advice on buying and selling!

The real estate market is sensitive to various factors, including:

• The global investment group Goldman Sachs reports that the world housing market is stabilizing rapidly. "Housing prices are exceeding expectations and are rising in major economies." On May 26, 2023, they stated that sales and prices worldwide are recovering "at such an astonishingly fast pace."
• Cyprus has a stable real estate sector. Financial Mirror (August 1, 2023) reports increased construction activity in the first quarter. RICS (Royal Institution of Chartered Surveyors), in its report for the second quarter of 2023, notes an increase in all assets, including rentals and leisure.

The first thing to do when buying or selling real estate is to conduct research. Real estate is a valuable asset that appreciates over time. However, "quickly, but with caution." Study the market and understand it to make an informed decision. Learn about the market influences and the availability of residential properties. Buying or selling a home is an important step. You will regret a hasty or careless decision!

In addition, define your investment strategy. Are you buying for the long term or short term? Will you be renting out the property? Calculate the costs. Besides the price, consider:

• Expenses for repair and maintenance
• Taxes and fees
• The cost of a mortgage or loan
• Potential rental income

Also, consult an experienced real estate agent. They know the local market and the ins and outs of buying and selling. Don't risk trying to navigate property listings, prices, and advertising your property on your own without the help of a professional.

In addition, you will need a lawyer registered with the Cyprus Bar Association. The lawyer will handle the process and submission of documents, conduct a legal due diligence, and protect your interests.

A professional will also provide personalized advice. When buying and selling, your specific situation matters. The best property is the one that suits you best. Assessing its investment potential comes later.

Television presenter and real estate expert Phil Spencer, writing for the Evening Standard (June 23, 2023), says that you should always choose a property that will be flexible and adapt to your lifestyle. Choose a home that will suit you for the long term.

Places in Cyprus are divided into urban, rural, and coastal areas. If you love city life or are involved in business, it's better to choose the city; if you don't mind commuting to work, consider the countryside. Cyprus is small, and you won't be far from amenities or the city.

Limassol is the most popular place due to its business culture and proximity to the sea. It is also more expensive than other cities, with Nicosia coming in second.

Right on the seashore, various types of real estate are available, from apartments to bungalows and villas. However, they are usually more expensive. If you don't mind the quiet, you might consider options in the mountains. Urban villages have amenities and are popular places to get acquainted with the local culture.

There are two questions that need to be settled here. The first is the budget: how much can you afford to spend on a mortgage each month or how much money do you have in savings. To determine what you can afford, carefully calculate your monthly expenses, keeping in mind that your salary or income may decrease in the future. The second is real estate and location. Choose a property that fits your budget and needs, considering whether you will have a family or if it will be expanding. Realtors will provide recommendations for suitable properties.

As soon as you select a few properties, drive around the neighborhoods. Check how close they are to schools and amenities, how far they are from the city center, and how noisy it is there.

During the house inspection, pay attention to the details:

• Quality of construction
• Condition of the kitchen and bathrooms
• Condition of the electrical system and plumbing
• The area and layout of the rooms

From a legal standpoint, your lawyer will explain the purchase agreement. They will also conduct a legal due diligence check on the property and, if the seller is a company, verify its financial status. If you are taking out a mortgage, the bank will provide you with the amount, and you will pay the seller. Do not sign anything until your lawyer advises you to do so.

The realtor will advise you on the price range and will receive offers when selling the property. You will choose the buyer and sign the contract. After payment, you will transfer ownership to the buyer. Make sure the property is renovated if it's a resale. If there are any issues, it's better to discuss them in advance. Don't sign anything until your lawyer gives the go-ahead.

You should research and work with professionals to navigate the real estate market. Cyprus combines natural beauty, a business culture, and activity in the housing market. The prospects for buying and selling look promising and positive!

This post is for informational purposes only. It does not replace personal legal, financial, investment, or real estate advice. We make every effort to ensure the accuracy of the information. However, we do not guarantee the accuracy and completeness of the information. We are not responsible for any potential errors.