North Cyprus property market - advantages and benefits of investment
In a short time, Northern Cyprus has become one of the most promising places for investment in residential and commercial properties. One of the reasons is that local currencies change their value in different countries. It naturally leads to the need for a long-term investment. Real estate is known to be one of the best options for saving and increasing the capital with the least risk.
Why do buyers choose real estate in North Cyprus?
The Turkish Republic of Northern Cyprus is interested in tourism and additional financial income. Therefore, many large-scale infrastructure projects are taking place next years: tourist complexes, hotels, golf clubs, nightclubs and casinos, marinas, etc. Foreigners come here not only to have a good time but also to buy housing for permanent residence. Most of the properties on the market are apartments or houses. The price includes a dressing room, kitchen furniture and, in some cases, household appliances. It is worth noting the taxes, which create additional benefit for the purchase of housing in North Cyprus. For each m2 of space, the buyer has to pay only one TL (Turkish lira). These are all taxes that are required to be paid by the future owners of the property.
How do you purchase real estate in Cyprus?
The next stage is making a deposit. The title documents of the seller or developer have to be checked. Then, both parties sign a contract. You need to pay for the services of a lawyer and 0.5% of the special stamp tax. The documentation goes to the Land Committee to receive confirmation of the legality of the agreement. After receiving confirmation, the client pays the rest of the amount. The payment has to be in cash. To obtain a loan, there is no need to present certificates and have a surety. Interestingly, loans in Northern Cyprus are not given by banks, but by the development companies themselves. Typically, the rate is around 7%.
How to get a residence permit?
What construction sites are the most profitable for investment?
The second option is residential real estate, which, as we have already said, becomes more expensive every year. You can choose to live in your property or rent it out during the high season. Resort housing offers a chance of having about 8-10% profit. If you choose the right property, its location will help you successfully rent it out. This option implies a higher price and can bring about 15% per year.
Today Northern Cyprus, despite its status, is an independent power that is actively establishing trade routes with many countries of Europe, Asia, America, Australia. Many real estate buyer are the British and residents of the Scandinavian countries, who calculate all the risks and benefits before taking such a step.