LATEST figures from the Department of Lands and Surveys reveal that a total of 394 contracts for the sale of property were deposited at Land Registry offices across the island during November compared with the 444 deposited in November 2012; a fall of 11%.
This monthly fall is considerably lower than those experienced in previous months and could be a sign that the slump in sales is slowing down.
Of those 444 contracts 76% (298) were deposited on behalf of domestic buyers, while 24% (96) were deposited in favour of overseas buyers.
Sales fell in all districts. Famagusta was the hardest hit with sales dropping by 37%. Sales in Larnaca fell by 31% and those in Limassol by 30%, while sales in Nicosia and Paphos fell by 24% and 18% respectively.
During the first eleven months of 2013, total sales are down 41% compared to the same period last year having fallen to 3,388 from 5,774.
Domestic sales
Domestic sales during November were up 10% compared with November last year, having increased to 298 from 292, resulting from increased sales in Limassol and Paphos of 39% and 9% respectively.
However sales in Larnaca fell by 26% and those in Nicosia by 15%.
During the first eleven months of 2013, domestic sales have decreased by 44% compared to the same period last year falling to 2,484 from 4,470.
(Note the anomalies with the Department of Lands and Surveys November 2012 figures for Famagusta.)
Overseas sales
Sales to the overseas market fell sharply in November compared with November last year, having fallen to 96 from 172 (-44%). Although sales in Limassol increased 35 from the 29 recorded in November 2012 (+21%), sales fell in all other districts.
Famagusta was hardest hit with sales falling 82% compared with November last year, while sales in Nicosia fell 64%. Sales were also down in Paphos and Larnaca, falling by 48% and 44% respectively.
During the first eleven months of 2013, property sales to the overseas market have slumped 31% compared to the same period last year falling to 904 from 1,304.
The overseas buyers are the important figures. These buyers bring capital into the country. This creates wealth and employment.
As one friend said to me ….
A man goes to a hotel and provisionally books a weekend stay for himself and his wife, leaving €100 as a refundable deposite.
The hotel use the €100 to pay his supplier (farmer) for goods used in the kitchen.
The farmer being €100 richer decides to treat his family to a meal at the hotel and uses the €100 for food, services and a bottle of Australian wine.
A week later the businessman returns to the hotel and cancels the booking and the exact notes he left, his €100 is refunded.
So where did the money go? Who made a profit and just how did the country benefit?
Money from overseas produces wealth, money from inside the country just goes around creating a false wealth.
Hi I think it’s something to do with the title deeds , it will never change until they get there head out of the sand and realise that until they start doing the right thing when you buy a house you get your deeds, I got my deeds for our house in the UK, just 30 days after the mortgage was paid in full, and you don’t pay 4 your deeds like Cyprus, just rips people off. It’s not right that you pay for your home then also have to pay two get your deeds, you should get that with out having to pay again it’s just putting money in there pockets, and then they laugh at you …
I can’t think of a reason why hardly anyone wants to buy a property here!!!