Many people dream of owning a house in Cyprus but it seems that only a lucky handful ever see that dream turn into any kind of reality. It's really easy to get all worked up about the benefits of property ownership whilst on holiday and even take several viewings only to go "off the boil" on returning home. The chances are that most of these would be buyers could probably afford to own a house in Cyprus if only they knew just how to go about the buying proccess. So maybe if it's your dream to own a house in Cyprus it could still be worth taking another look before you give up on your dreams of holiday home ownership altogether.
First of all there's some bad news and there's some good news. The bad news is that house prices in Cyprus are continuing to rise at a rapid rate and there are no signs of then slowing down for the foreseeable future. The good news is that if you buy your dream house in Cyprus now, there is every chance that you will be making a sound investment. There is even more good news too. Many Cyprus house buyers are cashing in on the booming lucrative holiday rental market by letting their houses and apartments out when they are not using them for themselves.
Many buyers are remortgaging their homes in the U.K. to raise the deposit against property purchase in Cyprus and funding the difference through the Cyprus banks. Most financial institutions on the Island will loan 75% of a properties value to none residents wishing to purchase a Cyprus house or apartment. The holiday rental market then makes great sense for filling in the gap between the deposit and the loan repayments. If the sums are worked out correctly a Cyprus house owner should be able to make the whole investment totally self financing.
If all of that doesn't make good financial sense there's the steady growth in the value of the property itself. Quietly working for you in the background year after year whist you and your family enjoy countless holidays in the warm Mediterranean sunshine. Property prices have always increased overall and holiday home hotspots like Cyprus have seen some dramatic growth in the past few years. No one will ever tell you that property is not a great investment (if they do test their sanity) and although there are often dips the overall picture has always been one of steady growth.
So if you really want to live the Cyprus dream there are not that many real obstacles standing in your way that cannot be easily overcome. Raising capital against existing property has always been the norm especially for investors and property speculators so why shouldn't the avaerage buyer take advantage of the same methods. Banks and other financial institutions are usually happy to loan against the security of property because they are not really taking much of a risk. If they are only putting up 75% of the total value they can't go wrong and that's without even considering any increase in value the property will make before it's even finished.
A Cyprus house or apartment purchased "off plan" is possibly one of the best options for a first time holiday home buyer. They get to choose all the internal finishes like kitchens and tiles and if you are prepared to drive a bargain with the developer a lot more besides. It is not unusual to negotiate air conditioning and white goods into the deal before you sign the contract plus all kinds of other incentives. The bottom line is that developers need to sell properties and they want your money so you should push for whatever you can get. Buying property abroad can be complicated but Cyprus is the exception with a legal systemb based on that of the U.K. Yet another good reason you should consider buying a Cyprus house.
