The number of homes sold in Cyprus in February tumbled by 26 per cent compared to the same month in 2011.
Cyprus Property News reported on the figures from the Department of Land and Surveys, which revealed just 445 contracts were received by the agency last month, down on the 602 it was sent a year earlier.
According to the organisation, overseas buyers accounted for 18 per cent of the real estate deals in Cyprus in February.
Famagusta and Larnaca did not record a drop in interest from foreign purchasers; however, fewer investors are targeting the property markets in Paphos, Limassol and Nicosia.
Overall, the level of transactions concluded by non-Cypriot buyers dropped by 17.7 per cent year-on-year.
In its European Housing Review 2012 published last month, the Royal Institution of Chartered Surveyors pointed out Cyprus's residential property market has been in decline for three years. It noted that, based on data for the first nine months of 2011, apartment prices had fallen by 11 per cent, while the value of houses was down six per cent.