North Cypus Investments
North Cyprus is new to the property industry. Before the two sides of Cyprus were split, the Greeks had property in North Cyprus, instead of just the Turkish people. However, when the two sides were separated, the Greeks lost access to their land in North Cyprus, and the Turks lost access to their land in the South. The land in the North that was once the Greek’s land then became the land of the Turkish people. Because the Turkish people were worried about the Greeks being able to come back and claim their land, a law was set stating that whoever built a home on the land will forever be the rightful owners.
Unfortunately, any Turkish people that were living in a home built by a Greek person, could lose their home. There has been talk of the country reuniting and if that happens, any home that was originally built by a Greek person would be given back to them, no questions asked. The government has already allowed the two sides to cross over to one another’s state so it may not be long before the land situation is worked out. Now is the perfect time to invest in the property market in North Cyprus. Not only are the prices extremely low due to the fact that North Cyprus has not been in the property industry for very long, but if you buy land now, and then build on it, it will forever be your property.
In North Cyprus, it is possible to purchase a villa with 3 bedrooms and a private pool for 100,00 pounds. There is currently not a large amount of newly built homes, but the tourists are very eager to own their own property so an older home will be valuable as well. You can renovate the older home and turn over a larger profit by selling it for much more than you purchased it.
In previous years, North Cyprus was thought of as a cash only investment opportunity. There were no mortgage options available from the local banks. However, since the property market has improved and became more dependable, there have been several banks that have started a mortgage plan. Estate agents are also supplying clients with financial options. Because North Cyprus is so new to the property industry, foreigners are not allowed to purchase property with a loan from a foreign bank. This is the main reason that many of the Turkish banks began offering financial help.
The local banks in North Cyprus currently offer a mortgage with a plan of borrowing up to 40% of the purchase price. For those who wish to purchase an apartment, they can borrow up to 50% of the total price. You can also borrow up to two and a half times of your total household income. For those who want to start small can borrow 4% and pay off the debt over a period of 8 years.
The property developers in Northern Cyprus started their own financial plans when they found out about the limit of mortgages offered through the local banks. There are many developers that will offer a “mortgage” with their own payment options available. The purchaser simply pays the developer in increments over the course of the development. While this may be convenient for those who do not or cannot receive a loan, it is still very risky. The independent mortgages offered by the developers are not supported by the UK based law system in Cyprus. If there were any financial problems between the two of you, there is not much that a lawyer could do for you.
Special
offers
regarding cyprus investments:
- You can choose from a variety of property types and locations,
- and get a special offer by contacting real-estate companies that are active in Cyprus:
