CYPRUS: Banks can now auction foreclosed properties online

Cyprus banks are now able to sell-off foreclosed properties online as the Minister of Finance Harris Georgiades issued a decree allowing electronic auctions.

Online auctions was a key demand from the banks to help them reduce the large volume of real estate accumulated in their portfolios from foreclosures.

The decree foresees that bidders must submit bids larger highest than the one that has already submitted.

Banks must give 30 days’ notice before an online auction can take place.

In addition, the electronic bidding system will record the bids submitted, with bidding starting at the reserved price set and those interested being immediately informed by the online system of any change in the highest bid.

The property for sale will go to the highest bidder at the end of the auction process.