Whatever your vision of this Mediterranean Island, it is invariably linked to its geographical location between East and West, its mild climate and its sandy beaches. History and mythology go hand in hand; famous archaeological sites rest alongside luxurious urban construction; cool unspoiled mountains complement the developed coastline. What most people only discover during their first actual visit is that Cyprus, despite its small size and total population well under a million, has so much more to offer. . Whatever your reason for travelling to Cyprus, whether for business or pleasure, three characteristics will be engraved in your memory: the Cypriots’ warm and spontaneous hospitality, the European lifestyle that is woven into a more comfortable Mediterranean pace, and the safe environment – Cyprus has the lowest crime rate in Europe. Combine all these factors and it becomes clear why tourism – and by extension the real estate market – is the backbone of the Cyprus economy.
Apart from the natural, geographical and historical assets of the island, Cyprus stands out on yet another level. In a region marked by political instability and conflict, this island, a member state of the European Union, is not only a magnet for summer holidaymakers. It appeals to EU citizens who value a home in the sun, but also to non-EU citizens who appreciate having a second home they and their families can escape to at any moment. Thus, development in Cyprus focuses on both tourist infrastructure as well as residential and commercial development, in particular in the coastal areas.
Given the conditions as described, investors can easily take the next mental step: While demand for coastal properties is clearly there and growing, Cyprus is and will always be a small island with a finite coastline – and therefore limited real estate and decreasing availability of properties. Indeed, land that is available for sale is even less than meets the eye. Although one might see coastal swaths that are not built up, many such land parcels are either government property, or family owned assets that are not available for sale, or agricultural land with neither road access nor public utilities. As such, the value of any property that is actually on the market is destined to increase; and the closer it is to the sea and the popular tourist resorts, the faster and higher its market price is bound to rise, even in the short term and certainly in the long term.