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Land Registry values down while prices rise

The Cyprus Land Registry has come under attack over its valuation of properties on the island and while its 2018 valuations are lower than those in 2013, property prices continue to rise.

Cyprus Land Registry values down while prices rise RECENTLY, the Cyprus Land Registry has come under attack over its valuation of state-owned land in Nicosia.

One piece of prime real estate in central Nicosia, which was valued at €70 million in 2014, was recently re-valued at €5 million.

Another plot in Nicosia, which was set to be sold to Qatari interests in 2012 but the deal fell through, was valued at €143 million in 2010. In 2013 the Land Registry valued the same plot at €92.5 million and €70 million in 2014 and finally €5.3 million earlier this year. AKEL MP Irini Charalambidou asked a surveyor to value the plot; he came back with a valuation of at least €40 million.

However, the Land Registry subsequently admitted it may have made a ‘mistake’ in its valuation of the land that was set to be sold to Qatari interests.

It also notes that its valuations, which are used for taxation purposes and fees, do not reflect a property’s market value. It has also said that properties were valued in collaboration with private surveyors with sales in recent years being taken into account in the assessment.

Not isolated cases

But these ‘strange valuations’ are not isolated cases. When the Land Registry re-assessed the value of 1,634,946 parcels of land and dwellings in 2013, they were valued at €202.6 billion around €24 million. But when it revalued the properties again in 2018 they were valued at €178.7 billion; a fall of around €24 million.

Indeed, the value of my house fell 30% in 2018, from its value in 2013.

Unfortunately, as the Land Registry has not published the methodology it employs for assessing property values.

Prices rising

While (according to the Land Registry) property values have been fallen since 2013, the Cyprus Central Bank, the Cyprus Statistical Service, RICS Cyprus and Eurostat all report that real estate prices have generally been rising annually since the end of 2013.

Where does this leave Joe public?

Mystified, bemused, bewildered, frustrated and angry; particularly as the Land Registry invariably calculates Property Transfer Fees higher than the purchaser actually paid for the property, when by its own assessment, property values have fallen.

Readers' comments

Comments on this article are no longer being accepted.

  • Greg Gregory says:

    Interesting now that I am looking to get a valuation on land I’m looking to sell. Who to believe?

  • Grunge says:

    It’s all housing bubble and squeak again…

  • Ian says:

    I must be misunderstanding these posters which say “Invest in Cyprus and enjoy the benefits”.

    Didn’t realise negative growth was a benefit until now.

    Just shows, I’m never too old to learn (or too stupid).

  • Viennese says:

    Cyprus is and always was…way of administering the Island appears like a playground.

  • Costas Apacket says:

    More ‘make it up as you go along’ from the amateurs being paid as if they were professionals.

    Perhaps it’s thievery they are most skilled in rather than professional land registry activities.

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

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