Cyprus has experienced a decline in its position as a preferred destination among Russian property buyers.
The results of sales in the first half of 2024 show that the island state has fallen five places down the ranking.
It is worth noting that Cyprus remains in the top 10 most popular destinations for Russian investment abroad, although its ranking has slipped from 4th to 9th place over the past three months.
Local experts have indicated that demand for property in Cyprus has declined, primarily due to the complexity of the transaction process. Previously, Cyprus was a popular destination for Russian citizens seeking to obtain a second passport or residence permit, transfer capital, and purchase property in a location that could potentially be converted into a residence in the future.
Turkey was the most popular destination in the first half of the year, followed by Bulgaria, Montenegro, Spain, the UAE, Finland, Thailand and Spain. Egypt was the 10th most sought-after country.
It is worth noting that over 40% of Russian buyers conducted transactions between January and June 2024 with the aim of obtaining a residence permit or, where permitted by the laws of the country, a second citizenship. The average purchase price was 500 thousand euros. Investment transactions accounted for 35% of total sales to Russians, while another 25% of properties were purchased for their own residence, either permanent or seasonal.
It should be noted that Cyprus is the only country in the EU that provides residence permits not only to investors, but also to their spouses and children under 18 years old, without the need for an interview, medical examination, language tests or the requirement to live in the country.
In this case, the investment threshold is 300,000 euros. It should be noted that Russian citizens tend to prefer purchasing comfortable apartments with one or two bedrooms, with an area ranging from 50 to 80 square metres, situated within a 5-10 minute walk of the coastline, in the city centre.
