Latest Headlines

Crisis shakes overseas investor confidence

Honorary president of the Cyprus chapter of the International Real Estate Federation (FIABCI), Nicolas Lemonaris, has said that the financial crisis has shaken the confidence of potential foreign investors.

SPEAKING to the Cyprus News Agency, the honorary president of the Cyprus chapter of the International Real Estate Federation (FIABCI) said that the financial crisis has shaken the confidence of potential overseas investors.

He said that property sales over the past two years were already very low and that although people from Cyprus and other EU member states are interested in buying, borrowing money is virtually impossible.

Mr Lemonari added that those who were putting aside money to buy property had seen their savings held at the Laiki and Bank of Cyprus slashed by the haircut imposed on the banks.

Lawyers are also worried as to how the haircut will impact their clients. Lawyers deposit proceeds from the sale of property and money received to purchase property into ‘client accounts’ to keep their customer’s money, which they hold in trust, separate from their own.

How these client accounts will be affected by the financial measures imposed by the government remain unclear. The Central Bank’s press release says that amounts “are ‘frozen’ until the presentation of appropriate evidence to the respective banks for the beneficiaries of the account holder.”

Readers' comments

Comments on this article are no longer being accepted.

  • Andrew says:

    A haircut on their deposit is best viewed as a close shave if that puts the buyer off. They will get away lightly.

    Many people are already stuck with property they cant sell because they do not have the deeds to their home after paying in full.

    Lawyers would do much better by telling the truth about developer mortgages. FIABCI should channel their efforts into resolving the Title Deeds fiasco.

    Sadly it appears as though it is business as usual if they can get away with it.

  • Costas Apacket says:

    Self delusion and denial of the facts is still evident every time one of these property industry spokespersons fails to even acknowledge that the Title Deeds scandal has also shaken potential foreign property investor confidence.

    Until these spokespersons admit the obvious and start to display honesty and transparency about the real reasons holding back foreigners from purchasing property in Cyprus then they are kidding themselves and everyone else.

  • The views expressed in readers' comments are not necessarily shared by the Cyprus Property News.

  • Text size

Back to top