Cyprus Property News for home buyers and real estate investors

Tuesday 26th January 2021
Cyprus Property News logo
Home Property Sales Coronavirus fears hit Cyprus property sales

Coronavirus fears hit Cyprus property sales

PROPERTY sales in March fell by a third compared to March 2019 as coronavirus fears caused house buyers and sellers to reassess their plans.

On March 21 Cyprus airports went into a virtual lockdown with a blanket ban on all passenger flights for 14 days as part of measures to contain the spread of coronavirus. And just yesterday a government decree extended the ban for a further 14 days; according to the Cyprus Mail, air traffic in March fell by 91.6%.

What’s most notable in the figures published by the Department of Lands & Surveys is that the highest downturn in sales is in the districts most popular with overseas buyers, while in the least popular district (Nicosia) the number of property sales actually rose.

It seems certain that overseas property sales will have plummeted as a result of the ban on passenger flights.

With so many developers focussing on building properties for well-heeled investors wishing to obtain citizenship under the Cyprus government’s ‘Cyprus Investment Programme‘, they must be worried how long they will be able to stay in business.

And as Philip Beardwood Bsc Est Man FRICS wrote in an article a few years ago “If I were a bank, I think that I should be spending quite a lot of time in the toilet.”

March property sales

March saw a total of 510 property sale contracts deposited at Land Registry offices across the island compared to the 766 deposited in March last year; a fall of 33%.

Although sales in Nicosia, the capital, rose by 6%, they fell in the remaining four districts:

Hardest hit was Paphos, the most popular hot-spot with foreign investors, with sales falling by 56%.

The second most popular hot-spot with foreigners (Limassol) saw sales fall by 50%

Meanwhile sales in Larnaca and Famagusta fell by 10% and 9% respectively.

Total Property Sale Contracts – 2019/2020 Comparison

District Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Nicosia 2019 161 194 131 169 213 145 174 103 137 183 208 180
2020 197 178 139
Famagusta 2019 53 48 45 96 87 43 49 30 40 50 48 64
2020 50 47 41
Larnaca 2019 114 125 118 140 173 102 157 93 102 160 122 162
2020 147 118 106
Limassol 2019 251 256 287 428 546 219 286 196 240 228 296 284
2020 180 225 143
Paphos 2019 187 211 185 224 404 205 230 166 173 192 233 220
2020 168 171 81
Totals 2019 766 834 766 1057 1423 714 896 588 662 813 907 910
2020 742 739 510

In the first quarter of 2020, Limassol remains the most popular with those buying property followed by Nicosia (the capital), Paphos, Larnaca and Famagusta. The only two districts to record a rise in sales in the first quarter are Nicosia Larnaca.

3 COMMENTS

  1. A slowdown is more than expected, right? We are not immune to the economic realities that the COVID-19 pandemic has brought to almost every sector of the Cyprus economy, including real estate. By every measure, be it sales volume or construction activity, we are experiencing an economic slowdown. Just like every other sector of the economy (services, tourism, shipping etc)… and of the global economy, for that matter.

  2. I would think the banks, government and lawyers must be delighted to be taking a break from being the major cause of failure of the housing market. At last, something else to cite as being root cause other than corruption, incompetence and greed.

  3. With regrets I have taken decision selling my modest property in Kato-Paphos near to the sea, instead buying in Croatia or upper Italy, no flights /airport incomodities but I cannot replace my dear friends in Cyprus, very sad…

Comments are closed.

CYPRUS WEATHER FORECAST

EURO EXCHANGE RATES

EUR - Euro Member Countries
GBP
1.1297
RUB
0.0109
CNY
0.1273
CHF
0.9270

TOP STORIES