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Recent: Crystal Lagoon

Southern Cyprus is shaping up to be one of the most popular retirement and investment hotspots of the next 10 years. Why?

Put simply, finance.

Until recently mortgages in Cyprus were 70% LTV and had capital repayment terms of 15 years. Meanwhile Spain, Portugal and France have seen finance to 100% interest only which has spiraled prices ever higher. We believe these markets are now restrained in terms of growth. Meanwhile Southern Cyprus is just being unleashed with 90% LTV finance just beginning to become available.

Unlike many of the other lifestyle investment hotspots of the moment, Cyprus offers investors strong drivers for growth with 15% being realistic for some time to come. Drivers include:

• Attractive Finance: High loan to value, low interest rate long term mortgages are just now becoming available creating affordability and hence more competition for prime properties - this fuels capital growth.
• Becoming a member of the EU has led to political, legal, economic and currency stability.
• Property on the East side of the island is 25-30% less expensive than the West side - yet has better beaches and is more family oriented. This is about to change with golf courses opening, a new International Airport.
• Tourism is growing at 30% per annum, and with the baby boomer generation now reaching retirement age, growth is sustainable.
• There is a strong British influence in administration, law and culture making it both an incredibly safe and easy place to buy.
• Crime in Cyprus is almost unheard of, making it one of the safest investment and holiday destinations World-Wide - and especially attractive to families and pensioners, many of whom return annually.
• Quality building plots are in ever decreasing supply – there are barely five years of good development potential left. The scarcity of quality plots will drive capital growth as competition for prime locations increases.
• Strict building restrictions deny high rise, high density developments.
• 80% of Cypriots speak English and all provide a warm welcome to tourists.
• Cyprus is already a favourite destination for pensioners. The current baby boom and future generations seeking refuge from inheritance and pension taxation will be attracted to Cyprus like no other location: Pension income from overseas is taxed at 5% and those who become permanently domiciled may avoid Inheritance Tax world-wide!
• Property prices are likely to rise when Cyprus joins the Euro in 2009 and interest rates come into line with the Euro zone.
• The re-unification with the Turkish occupied North of the Island is increasingly likely as Turkey pursues EU membership. This would boost tourism and investment in Cyprus and could see it returned to its former position as the "jewel of the Mediterranean". It is interesting to note that Spain took off as a result of the Turkish invasion of 1974, forcing Brits to holiday elsewhere!

Our core criteria of high growth, low risk and a clear exit strategy are satisfied by Cyprus. The fact it is a place in sun increases its investment appeal!

We cannot understate the importance of chosing the right location - for us it has to be the East coast which will shortly benefit from a modern high capacity airport, the first golf courses in the area and a new Marina.

But what really makes holiday investments like this work is innovative finance, and ability to rent both in and out of peak season.

We have recently closed off the ONLY 90% Loan to Value opportunity to date. These were villas located 50m from the beach (and hence significantly lower cost than beach front), to be built to the highest specification in the region, with heated pools and plasma TV screens included, and that the development itself is gated - another first.

These factors add up to rentability - we believe these villas will be the most sought after by holiday makers which means excellent rental income which, when put in the context of the extra-ordinary finance we achieved, mean that our investors only need to rent them out for 9 weeks out of the 32 peak/mid rental season to cover annual interest payments - and that's after taking out rental and management costs!

REGISTER YOUR INTEREST IN OUR NEXT CYPRUS PROJECT NOW !