Cyprus Property Forum for Buyers, Sellers & Investors

There are many reports stating that property prices in Cyprus have fallen and will continue to fall significantly. Having watched the market over the past 18 months I do not see this being reflected in 'For Sale' prices. For prospective buyers, what would you suggest is a realistic starting point for any initial offer?

Hi Neil

There's an explanation why price falls are not being reflected in 'For Sale' prices; Pavlos Loizou wrote an article on the subject that you can read at http://www.news.cyprus-property-buyers. ... id=0013662

I wrote an article five years ago (I'm showing my age) on questions to ask estate agents that may help you - see http://www.news.cyprus-property-buyers. ... s/id=00453

You should also check the web to find prices of similar properties in the same area, which you can then use as a bargaining tool during negotiations.

As for an opening bid, it should be how much the property worth to you. If it's not accepted, you've lost nothing.

Regards,

Thanks Nigel. A good common sense article. I suppose having cash puts the purchaser in an even stronger position.

kempo23 wrote:I suppose having cash puts the purchaser in an even stronger position.

Yes - most certainly. Currently the banks have very little (if any) money to loan to those wanting a mortgage.

Regards,

In my opinion the main reason house prices are not reflected accurately is because the info is based on those sellers who have no choice but to sell in a depressed market. The majority of sellers are looking to make at least what they paid for a property and will hold on to their property till this is achievable. The only ones selling now are doing so because (for whatever reason) they must sell now.
These recorded prices then distort the true state of the market. Most homeowners know that in time the property prices will always rise again over time and therefore those property owners, if they can, will hold out till then.
There are many property buyers who are frustrated as they read everywhere that house prices in Cyprus are down 30% but then find that they are few and far between.
A wise man once told me that, regardless of recessions, collapsed banks, government forecasts etc, etc, every 12 to 15yrs house prices will double. My own experience bears this out and so strike while the iron is hot and search out these distressed properties now, as the bargains wo'nt last forever.

". . . . the true state of the market" is what purchasers are prepared to pay now, nothing more and nothing less. Of course it is the decision of the vendor as to whether they want to sell or not. However, supply is massively outstripping demand at present and the gap is growing with more and more vendors, but less and less purchasers. My view is that an offer of at least 30% below the asking price is reasonable; prices are falling not rising. Perhaps an offer like this will look attractive once the austerity measures are implemented!