Foreigners shun Cyprus property

Cyprus property sales to foreigners in 2008 fell sharply by 41% to 6636 from 11.281 sales in 2007, taking the level back to 2005 levels when property sales amounted to 6485, according to Land Registry data. The situation is even worse in the new year, since according to preliminary data for January 2009, property sales to foreigners is down 72% to 131.
Paphos is the worst hit with property sales to foreigners declining on average 54% to 2273 units in 2008 from 4971 in 2007. The free Famagusta area follows with a 48% decline to 1285 from 2480 while the other areas are all showing declines averaging 20%.
Specifically, property sales in 2008 to foreigners in Nicosia fell to 390 from 483 in 2007, in Larnaca to 1605 from 1950 and in Limassol, where there is a very strong Russian community and interest, property sales fell to 1083 units in 2008 compared to 1397 in 2007.