[interesteduser123]

Hi,

We've been recently thinking of buying a 1-2 Bedroom apartment (up to EUR 100K) in Cyprus as an investment and ideally as a holiday home (for instance having there 2-3 weeks per year).

Can you please share your experiences with investing in Cyprus:
- Which cities have the best rental yields?
- Paphos seems to have the lowest prices - how are the rental yields there?
- Are properties in the coastal areas usually rented to locals/expats on annual basis or more to tourists (through short-term rentals)?
- Which are the best real estate agencies that deal also with rentals and property management?
- How do you find returns in Cyprus as compared to some other similar destinations?

Many thanks.

 

[Veronica]

The purchase prices in Paphos are cheaper than Limassol because so many Russians buy in Limassol. Also Nicosia being the main business and government hub prices there are higher than Paphos.
Locals tend to rent in the towns and villages rather than the coast. Coastal properties tend to be mostly rented as holiday lets or to long term renters from European and Eastern European countries.
Brits tend to want to be close to the coast or at least have sea views.

 

[GSmith]

Limassol probably has the highest rental yields if you are looking at long term letting. This has been driven lately by the growth of the Forex (Foreign exchange - akin to online gaming) industry which is concentrated in Limassol. In addition, many Russian companies that were previously just a P.O. Box now are required to have staff on the island. As a result, property prices in Limassol, for very high end villas and the lower end apartments has been driven up. There is a band in the middle of these that have not benefited so much from the rise in prices.