According to the most recent RICs property price index report for Cyprus, there has been more promising signs of economic growth throughout the country. An improved confidence in Cyprus’ banking system resulted in a higher number of transactions taking place in the final quarter of last year. 2016 also saw an overall GDP growth of 2.9%, which was an excellent reflection of how fruitful the Golden visa programme is proving for the country.
The Minister of Finance recently commented that there had been approximately two thousand golden visas issued to non-EU citizens last year. This equates to around 4 billion euros worth of investment, which in turn makes up around 25% of Cyprus total GDP.
Rental values have also noticeably increased. Comparing Q4 of 2016 to the previous year, there has been a rise in ROI’s of 6.6% for apartments and 8.7% for houses, making the average rental yield now between 3-4% p.a.
The countries Citizenship by Investment programme still holds it’s place as Europe’s quickest CBI programme. Following an investment of €2,000,000 + costs, it is possible to obtain an EU passport within just 6 months which in turn allows one to live, work or study anywhere in the EU. Contact our Experts for more information…
Over the last few weeks La Vida have hosted a number of informative webinars for our clients to learn more about the various residency and citizenship programmes that we offer. Last week our Cyprus visa expert, Edwina Keyser, hosted a very successful webinar on the Citizenship by Investment programme. The webinar covered many points about the scheme, including the requirements, the step by step process, real estate options and a Q & A section at the end. If you missed the live session it is possible to catch up and listen to the recording online. La Vida can assist you from A to Z with the Cyprus citizenship and permanent residency schemes and if this is something you are considering, we would be delighted to hear from you.
To receive a copy of the recording, please see the link:
Cyprus Citizenship by Investment and a Second Passport
According to several recent reports the real estate market and economy in general have started showing very positive signs of growth. The most recent RICS Property Price Index Report states that Paphos has been one of the strongest regions of Cyprus with an average price increase of 1.77% on residential houses in 2016. Limassol also saw a steady rate of growth, 1.4% on average; and there was an overall growth of 1.6% for holiday apartments throughout Cyprus.
Rental values have also increased across Cyprus by 0.7% for apartments and 3.3% for houses. The average ROI for rental property now stands between 3-4% per annum.
Following the 2013 economic crisis, both the economy and real estate market finally appear to be stabilizing. KPMG’s recent report notes that 2016’s growth is a primary result of the government’s Citizenship by Investment scheme with has now been successfully running for a number of years, generating a lot of new income for the country.
In the first two quarters of 2016, the total number of property sales increased by over 28% in comparison to Q1 and Q2 in 2015. Tourism, financial services and real estate account for nearly 80% of Cyprus’s GDP, so a rise in the property market will have a great effect on lifting the overall economy.
The market in Cyprus certainly now seems to have bottomed out in most area’s, meaning that there has never been a better time to buy, with great potential for future capital appreciation. We predict further price rises in 2017.
Cyprus remains the fastest Citizenship by Investment programme in Europe offering investors a second passport within just 6 months following a real estate investment at €2m. Dependent children up to the age of 28 years old can be included under a family application and grandparents can also be included for just an additional €500,000. The real estate investment must be held for 3 years, after which investors only need to retain a residential investment of just €500,000 for the future. As Cyprus is a full EU member a passport here will enable one to live, work and study in any EU country, currently still including the UK.
For more details on this scheme, please contact our specialist consultants today for further advice.
Venue: Conrad Hotel
Date: Week beginning February 27th 2017
Arrangement: By prior appointment only
Meet our team in London! Not everbody wishes to travel to Cyprus to discuss the Citizenship by Investment programme, so we will be holding individual meetings throughout the week of 27th February at the Conrad Hotel in London. We will have our Cypriot lawyers available for one to one meetings plus our usual advice and guidance from our real estate consultants on a wide range of property options from apartments through to villas and commercial property that qualifies for the scheme. Our lawyers will be able to give advice and guidance of all aspects of residency in Cyprus including programme requirements and initial tax advice. Meetings are strictly by appointment and as with many of our location timetables with the free unconditional advice on offer, times and availability get booked out quickly.
Contact Edwina Keyser in our UK office on +44 207 060 1475 or complete this form for further details or to schedule an appointment.