Bank of Cyprus' Real Estate Management Unit (REMU) continues to receive mortgaged real estate objects.
The total value of housing credited to the bank's balance sheet as part of the alienation of collateral for non-performing loans in 2020 amounted to EUR 1,457 million. The net profit from the sale of such real estate in 2020 reached EUR 8.2 million.
Since 2016 (when the REMU was created), 2,076 real estate properties worth EUR 1.34 billion have been sold.
REMU has signed a deal to sell 492 properties in 2020 for a total of EUR 91 million. Finally they proceeded deals for EUR 80 million. Also, contracts were signed for the sale of objects worth 53 million euros.
Real estate was in 2020 transferred to the REMU to pay off debts of EUR 146 million, which is 26% less than in the same period in 2019.
At the end of December 2020, REMU had 1,364 properties in total: 158 houses, 240 shops and offices, 24 hotels, 606 land plots, 262 golf courses, 74 industrial buildings, as well as 95 facilities in Greece and Romania.
As you may know, mortgaged property is a type of real estate that is pledged by the creditor bank or on its balance sheet after collection from the debtor.
These are mainly secondary housing, but there are a small number of offers and primary housing. Buying property in Cyprus from banks is a very good opportunity to save money. It is like a big "sale" of the housing market, where "liquid" apartments are sold at a reduced (sometimes up to 50%) price.
You can find profitable options in comfortable residential complexes with sea views or in central areas. If an urgent sale of objects is required, then the cost can be reduced up to 70%, but such offers are very quickly taken up by local realtors.
It is profitable to purchase mortgaged housing for subsequent renting. In addition, experienced investors are actively investing in objects of this type for resale.