PwC Cyprus analyses developments and prospects in real estate sector during 2017
PwC Cyprus presented its publication “Cyprus Real Estate Market – Year in Review 2017”, at an event in Nicosia on 28 March.
The publication provides the latest developments in the real estate sector during 2017. The event was attended by professionals of the sector and other stakeholders, who had the opportunity to learn more about the current developments in the market, the new legislative and tax regulations that affect land development, as well as the latest real estate market trends.
During the presentations, statistical data on property transactions, building licences and the behaviour of price indices were analysed in detail. Specifically during 2017, an increase of 24% in the number of sale contracts across Cyprus was recorded, with the majority of transactions being recorded in Limassol (36% of total transactions). Famagusta district recorded the highest growth in sale contracts during 2017 (44% growth) followed by Nicosia (42%).
Furthermore, an annual growth of 33% was observed in real estate transactions from foreign buyers. Paphos and Limassol appear to be the preferred districts for foreign buyers (together comprising 70% of foreign transactions).
The data also shows that there was a significant growth (45%) in the purchase of luxury properties (≥ €1,5mln), with Limassol continuing to be the preferred location for such transactions.
As regards property prices, there appears to be growth as indicated by all price indices during 2017, reflecting the increased demand and activity levels in the real estate sector. Indicative of the sector’s growth of course is the increase in the value of new building permits.
Addressing the event, Mr Constantinos Constantinou, Partner in charge of Advisory Services at PwC Cyprus, said: “The real estate sector is of high interest to PwC Cyprus. Capitalising on the organisation’s expertise, we stand by the sector’s companies, providing them with the solutions they seek in order to keep up with the ever-changing market conditions. This event is taking place at a time when the sector has been showing strong elements of stability and growth. It should therefore remain a priority for everyone to support the sector in the future years.”
The report “Cyprus Real Estate Market – Year in Review 2017” is directed at individuals and companies interested in developing, investing, purchasing or putting real estate up for rental or sale. It is a rich source of information for better understanding the current situation in the sector, as it analyses all the parameters involving a property, with geographical and time criteria, as well as depending on the type of the property.