Spotted: Signs of recovery in CyprusSigns of a property market recovery have been spotted in Cyprus, after a long period in which there were none at all.
Cyprus' property market has not fared well since the global financial crisis, with its own banking catastrophe and ongoing issues surrounding title deeds and incorrectly valued homes helping to deter buyers and investors, both domestic and overseas.
This year, though, has seen something of a turnaround, with property sales in May 2014 increasing for the third month in a row.
Figures from the Department of Lands and Surveys show that 551 contracts were registered for commercial and residential properties and plots of land, an increase of 157 per cent year-on-year. 72 per cent of contracts were deposited on behalf of domestic buyers, while 28 per cent were accounted for by international buyers.
Overseas property sales more than doubled year-on-year in May 2014, led by a rise of 800 per cent in Nicosia. Sales in Larnaca also jumped 140 per cent, while transactions in Limassol climbed 106 per cent. Famagusta and Paphos enjoyed smaller price increases of 80 per cent and 60 per cent respectively.
The figures have been backed up by developers, who told representatives from the Troika - the European Commission, European Central Bank and International Monetary Fund - that sales to foreign buyers have risen 10 per cent.
“Troika agreed that despite the most difficult circumstances, the property market has begun to show signs of recovery. Actually, the sales data for Jan-Mar 2014 show an increase when compared to same period of 2013," Yiannis Misirlis, Association Secretary General of the Board of the Cyprus land and Building Developers, told OPP Connect.
According to the Department of Lands and Surveys, overall sales of Cypriot property during the first five months of 2014 have increased 20 per cent compared with the same period last year.
With both domestic and overseas sales on the up, could this be the start of a recovery?