04.02.2022
The real estate market has bounced back from the pandemic and the withdrawal of the Citizenship by Investment program as property sales in January surpassed sales in the same month prior to COVID-2019.
The number of sale documents filed in January 2022 increased from 513 in January 2021 to 855, a 66.7% increase, according to the Land Registry.
Compared to the same month in 2019, real estate sales increased by 11.6%.
In his commentary, KPMG partner Tassos Yasemides said the real estate deals reflect an increase in domestic demand driven by stimulus provided by the government last year, with procedures due to be completed during the first quarter of 2022.
He added that the data also reflects a gradual recovery of interest from abroad with the de-escalation of restrictive measures due to the spread of COVID-19.
Yasemides said a significant portion of the transactions are done by banks or asset management companies that have taken over the bank’s real estate portfolios, acquired primarily through debt-for-asset swaps.
In addition, some foreign companies are interested in expanding their activities in Cyprus or moving them here, in connection with which there is a demand for offices, houses and apartments for relocating people.
Paphos recorded the biggest increase of 181.6%, with trade documents up to 214 from 76 in the same month last year.
It was followed by Limassol, where home sales rose by 73.6% to 276 from 159.
Property sales in Larnaca rose by 22.9% and by 61.3% in Nicosia.
In Famagusta, sales were down 15.6%, the only area that lags behind 2019 figures.
In 2021, 10,347 sales documents were submitted, up from 7,968 in 2020, an increase of 29.9% year on year.
