Property sales rising in Cyprus

The property market in Cyprus received a much-needed boost as house sales rose year-on-year in January.

Investors may be interested in figures released by the Cyprus Department of Lands and Surveys, which show that sales increased by 24 per cent last month.

Popular areas included the country's capital city Nicosia, port city Limassol and coastal city Paphos.

Chairman of the Pancyprian Association of Real Estate Agents, Solomon Kourouklides, told StockWatch: "The latest increase is attributable to the opportunities in the market.

"Many Cypriot individuals and investors buy properties from non-Cypriots or Cypriots that cannot pay off their loans."

However, Mr Kourouklides warned that these opportunities will not last forever and attention should be drawn to the fact that sales fell by 84 per cent in 2009 compared with 2007.

Some developers have been offering discounts of up to 30 per cent on properties in an attempt to lure investors back to the market.

The Bank of Cyprus has agreed to a loan to construct a new marina in Limassol.