Cyprus developing as property market stabilises

9 January 2007

Despite the slowing down of the property prices in the last quarter of 2006, amidst the boom in the summer, experts predict that the Cypriot housing market is now showng a stable future and this makes it a worthwhile place to invest if you are thinking of buying property overseas.

The peaks and troughs of the tourist seasons have a huge bearing on the prices here but what is emerging are trends which will demonstrate that the prices overall are beginning to show a healthy increase, and with it, the tourism and economy of this mediterranean haven continue to grow.

Following the record August peaks, the price rises showed a minor dip, which all in all is good news for the investor as this means the volatile crashes weve seen in other European property market destinations are very unlikely here. In fact the slowing of prices was similar to that seen in January of 2006 which was then followed by a 6 month boom to coincide with the tourist season.

Inflation in the Cypriot market is showing a healthy 6.3% as at the end of the year, which if you’re considering property investment is a promising return. Cyprus is still tipped to be one of the favourite destinations in 2007 for the overseas investor, and that coupled with the scorching temperatures we are expected to see in the Mediterranean this year, rental opportunites should be at an all time high.