Cyprus property prices expected to stabilise

Tuesday, January 11, 2011

Cyprus property prices expected to stabilise

The vice president Cyprus Association of Valuers and Property Consultants projects that Cyprus property prices will stabilise in 2011, following two years of declines across many parts of the country.

In a recent interview with Bloomberg, Kyriakos Talatinis said that Cyprus home prices will remain largely unchanged during the first half
of this year.

Talatinis commented: “In the first half of 2011, home prices overall will remain unchanged compared with 2010.”

He added: “Domestic demand will depend on whether banks keep their rating standards the same or tighten them”.
Mr Talatinis believes that homes in many coastal areas offer the greatest room for property price negotiations in the country.

The Cyprus property market has been adversely affected by a fall in demand from British holiday home buyers, and a consequent fall in sales.

According to figures released by the Department of Lands, property sales have declined by around 75 per cent over the past two years.

However, the Central Bank reports that there has been a significant rise in mortgage lending in recent months, suggesting that property demand is improving.

The greatest rise in demand for property in Cyprus has reportedly been recorded in Nicosia.

To read our guide to buying a property in Cyprus, click here.


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