New buildings in Cyprus attract many buyers. The demand among foreigners is especially high as they rarely buy secondary housing. Why? There are a number of good reasons for this.
Reason 1: the opportunity to obtain permanent residence in Cyprus
Probably, all non-European potential buyers of real estate on the island know that when buying properties in the amount of 300 thousand euros or more, they get Cyprus residence. This does not require language proficiency exams and allows not only the buyer, but also their family to permanently reside on the island.
It should be noted that this visa does not allow its owner to work on the island. They must receive income from abroad.
The requirements for obtaining permanent residence in Cyprus when buying real estate are quite clear, here are the main ones:
- purchase of one or more objects for a total amount of 300 thousand euros
- making a one-time payment of at least 200 thousand euros (the remaining amount can be paid in installments or a mortgage can be issued)
- deposit at least 30 thousand euros in a Cyprus bank
- confirmation of the income of the property buyer
- confirmation of the income of family members if they also participate in the Cyprus Permanent residence program
- no criminal record.
The purchase of secondary real estate, even of impressive value, is not considered by the authorities of Cyprus as an investment in the economy. Consequently, the program of permanent residence is not available to such buyers. In addition, the secondary market shows less growth dynamics in price, while new buildings may rise in price by 10-25% after a while. And this is an important indicator for investors.
Reason 2: prices can be cheaper
As in any country, the purchase of a new building under construction is much cheaper than the delivered project. By investing money in a building under construction, the buyer receives it at a lower price.
Of course, some are afraid of both fraud and unforeseen circumstances that may slow down or even freeze construction for an indefinite period. To avoid trouble, contact only trusted developers. You can get acquainted with them on our website in the section "complexes".
Reason 3: the opportunity to take out a more profitable mortgage
A mortgage loan in Cyprus is issued even to foreigners. Of course, more favorable conditions are provided to residents of Cyprus, but non-residents have the right to count on a small percentage.
Banks give loyal conditions to buyers of real estate in new buildings:
- lower down payment (up to about 30% of the total cost of the object)
- lower interest on the loan.
Please note that by purchasing primary real estate through a developer (and this is a prerequisite for simplified permanent residence), you increase your credit of trust in the bank.
Reason 4: the ability to order and make a convenient layout
If you are making a purchase of real estate at the very early stage of construction, then you can ask the developer to make some adjustments to the layout of future housing. This is especially true for large families or those who work at home and need a specially equipped place.
In addition, the moving of non-load-bearing walls in a ready-made apartment is a big problem. It is necessary to issue a number of documents and appeals, wait for permission, and survive repairs. There are no such problems with primary real estate.
It is also worth noting that modern new buildings in Cyprus have more interesting and diverse layouts (there are plenty to choose from). Panoramic windows, comfortable terraces and loggias, spacious kitchens-living rooms and even several bathrooms — all this allows you to purchase a comfortable apartment.
Reason 5: Modern building materials
I wanted to write "high-quality building materials", but then it would mean that older houses were built from low-quality materials, and this, of course, is not the case. Here we are talking about something completely different.
If earlier Cyprus was built only taking into account the fact that it was easier to survive the heat, now attention is paid to comfort at any time of the year. It is no secret that it is quite cold in winter in old apartments, and heating on the island is expensive. In the new houses, this problem is being successfully combated. For this purpose, special building materials and systems are used, as well as external insulation.
It is worth noting the higher quality of utility lines and other "little things", like windows. In new buildings, double glazing is increasingly used, which retains more heat in winter and does not miss the heat so much in summer. Of course, windows can be changed independently, as well as utility lines, but many buyers do not want to spend time and effort on this.
Innovations in building materials, first of all, affected luxury housing, but slowly they are "moving" to business class. It is quite possible that they will soon become the standard of construction throughout Cyprus.
Reason 6: tangible savings on utility bills
The energy efficiency class is one of the important indicators of the quality of housing and the economy of its maintenance. The highest class is A, it assumes that the building fully or almost completely covers the costs of residents on its own. Class B is slightly lower, but it still implies electricity consumption almost 2 times less than in old houses.
The energy efficiency class is awarded depending on many factors, we will not list them. Let's just note that residents of new buildings really pay 1.5-2 times less for electricity, while in winter their apartments are warm and very comfortable.
Reason 7: No problems with former owners
Of course, any problem can be solved. It is enough to hire a lawyer. But this is an extra expense, at least. As a maximum — constant worries, uncertainty, delayed purchase dates and so on.
When purchasing primary real estate, such problems do not arise. Sudden relatives who have a share in the acquired housing are not announced, hereditary disputes do not last, there are no delays with spouses sharing property, their minor children and the like. It is enough for the buyer to contact the developer and make a deal by collecting a minimum number of documents.
Reason 8: the novelty of housing
For many buyers of real estate nowadays, it is important that the apartment or house be "brand new". In other words, so that no one has lived in them before. Surprisingly, the moral and ethical side of this issue sometimes becomes decisive. Fewer and fewer people want to buy an apartment with an "incomprehensible" history. And more and more buyers are even willing to overpay to live in the "new".
By the way, the same applies to the neighbors. The secondary can be inhabited by a variety of people, whereas in a new building, as a rule, people of approximately the same income, social status and lifestyle are selected. Therefore, many people choose primary real estate based on these considerations.
If you have not yet decided whether to buy a secondary or a new building, then you can take a look at our article. And if the decision has already been made, then pay attention to the selection of primary housing, with the purchase of which you can get permanent residence in Cyprus:
Have you decided to buy an apartment or a house in Cyprus? Contact DOM! The website offers a huge selection of real estate —residential and commercial. Experienced agency specialists will be happy to help you make the right choice.
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