January property sales outperform 2019

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The real estate market is back on track following the pandemic and demise of the Citizenship for investment scheme, as property sales in January exceeded those in the same month in pre-COVID 2019.

According to the Land Registry data, sales documents submitted in January 2022 rose to 855 from 513 in January 2021, up 66.7%.

Compared to the same month in 2019, real estate sales increased 11.6%.

In comments to news site Stockwatch, KPMG partner Tassos Yiasemides said real estate transactions reflect increased domestic demand fuelled by incentives provided by the government last year, as procedures need to be completed within Q1 2022.

He added that the data also reflects the gradual recovery of interest from abroad, with the de-escalation of restrictive measures due to the spread of COVID-19.

Yiasemides said a significant part of the transactions is made by banks or asset management companies who have taken on the bank’s property portfolios acquired mainly through debt to asset swaps.

In addition, some foreign companies are interested in expanding their activities in Cyprus or transferring them here, resulting in demand for offices, homes and apartments for people relocating.

Paphos recorded the largest increase of 181.6%, with sales documents exploding to 214 from 76 in the same month last year.

Limassol followed it, where house sales increased by 73.6%, reaching 276 from 159.

Real estate sales in Larnaca increased 22.9% and by 61.3% in Nicosia.

In ​​Famagusta, sales decreased by 15.6%, the only district in retreat compared to 2019 data.

In 2021, the sales documents submitted amounted to 10,347 from 7,968 in 2020, an annual increase of 29.9%.