Benefits of Purchasing
a Property In
Northern Cyprus
Benefits of Purchasing Property in North Cyprus
The thoughts of purchasing property in North Cyprus can be distressing. Renting the property seems like a much easier task because there are no large purchase prices or legal issues to deal with. However, in the long run, purchasing property in North Cyprus will pay off. Not only will you have a great vacation home that you can stay in whenever you want to, but you can also rent the property out when you are not there. The benefits of renting can bring in a valuable amount of regular income.
The price of properties in North Cyprus are slowly increasing due to the current boom in tourism. However, the prices are still relatively cheaper than those in South Cyprus. When the island was divided among the South and the North, the Greek Cypriots lost access to their land in the North, and the Turks lost their land in the South. The value of the properties were decreased so that each side could afford it.
The belief among the country is if the land has a house or building on it, then the property will remain in the hands of the current owners. Because of this, many people have been adamant about purchasing land and building homes in North Cyprus. Unlike other tourist areas, there is no mortgage system in North Cyprus. This is also the main reason for the cheap prices on property.
Some of the independent developers offer a line of credit to the buyers so that they can afford it immediately. The only downside to this is that the developer will not sign over the deed until the mortgage has been paid for. Therefore, you could be stuck paying for this particular "mortage" for up to 10 years before you are ever able to receive the keys to the house. There is not much legal support for this situation, so it is highly recommended that a buyer not enter into this form of agreement with a developer.
Many people are choosing to live in North Cyprus because of the higher standard of living. Pensions also have a much higher purchasing power, and the knowledge that the environment is safe makes one feel comfortable. Investors are slowly learning about the country and are opting to invest in the island instead of other Mediterranean areas. As far as a family destination, North Cyprus has it all. Destinations with beaches often become boring after a couple of days, especially for children. North Cyprus has beaches, but there a large area of lush mountains located in the heart of North Cyprus. Other attractions include ancient castles, shops, and other family activities. The fact that a large income can be made with properties in North Cyprus is simply a bonus.
Within the last year, North Cyprus has become a popular place for investors. The trade travel embargoes are set to be removed so this is also a plus for investors. The EU has also donated 259 million Euros to the aid in funding the North Cyprus infrastructure. These funds will help improve foreign investment and prepare the island for more tourist growth.
The previous complaint of main tourists was that there was not an entrance into North Cyprus by airplane. In May of 2004, an airport in Ercan opened. For the first time since 1974, the travel embargo was lifted. The reason for this was the anticipated number of tourists to rise from 433,000 to 2 million annually over the next five years. The goal is for the number to be 2.3 million because that is the annual visitors that South Cyprus has annually.
