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All reports tagged with: "bubble"

A new property bubble in the making?

Nobel Laureate in Economics Christopher Pissarides believes there’s another bubble being created in the Cyprus property sector although George Mouskides refers to the rise in transactions as a “healthy increase”.

What next for Limassol development?

With Limassol’s seafront peppered with luxury towers and new developments, there is almost no room for new projects, so investors are heading outwards while eyeing the area between the new marina and the old port.

Is the Cyprus construction boom sustainable?

Questions raised about the latest Cyprus construction boom and whether there is a sustainable demand for new homes or is it just the result of the ‘passports for cash’ scheme?

Passports scheme could bring Dutch disease

The Fiscal Council has warned that overreliance on the Passports for Cash Scheme aka Citizenship by Investment Scheme aka Golden Visa Program could bring ‘Dutch disease’ to Cyprus.

Limassol becoming a sky-rise bubble?

Referring to Limassol as “the bubble of towers” Politis suggested that the uncontrolled vertical development is causing headaches to town planners, warning that the town could pay the price of uncontrolled development.

No property bubble in sight

Although the Cyprus Finance Minister does not foresee another property bubble and believes that the downturn of the sector has bottomed out, the ECB believes there will be further price falls.

The recent property boom and bust cycle

The continuous increase in property prices created a false sense of security in Cypriot banks and led to further credit expansion and a real estate “bubble” which burst resulting in a large increase in non-performing loans.

Law of supply and demand will take care of prices

The law of demand and supply will take care of rental and sale prices of property much better than politicians would ever do. The market will adjust to the new economic conditions.

The ballooning Cyprus fiasco

Troika inspectors are swarming over Cyprus to find out how much money the banks would need to deal with their putrefying balance sheets, and how much the government would need to stay afloat.

Banks should offload distressed properties

The banks need to offload billions of Euros of property left on their books by bankrupt developers and offer 100 percent mortgages spread over 40 years, similar to those being offered in Spain.

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