Paphos properties represent excellent value for money

Located on the west coast of Cyprus with its focus around an attractive harbour, the picturesque open air fish restaurants of Paphos line a quayside of fishing boats.

The town is blessed with a natural beauty that ranges from golden beaches and rugged coastlines to rolling hills and forest clad mountains, dotted with picturesque villages. The harbour with its ancient castle, the wonderful antiquities, and beautiful churches and monasteries has prompted UNESCO to include Paphos on its World Cultural Heritage list.

In a recent Daily Express article, it was stated that capital growth in the Cypriot property market was expected to continue at a high level for the foreseeable future due to interest from buyers all over Europe and a shortage of finished property. With 340 days of sunshine per year, long summers are an obvious attraction for buy-to-let investors in Cyprus as they minimise the out-of-season periods. The Paphos region has an unusuallystrong winter rental season due to the mild weather. Impressive returns as high as 9% to 15% can be expected depending on the type of property.

Investors Provident have a number of studios and 1 bed apartments in the Paphos region of Cyprus. The developments are in Pegia, Coral Bay, Emba and Mesogi, all small villages within 10 minutes of Paphos and 15 minutes from the international airport. All apartments have use of a communal pool and are situated in landscaped gardens with either sea or mountain views. The studios and apartments are extremely spacious, with studios ranging from 30-44 sq.m. and the 1 beds from 52-56 sq.m. - all with balconies.

We believe that these developments are extremely good value for money. Still off-plan with a year until completion, they present excellent capital growth opportunities. The rental return for this area is also excellent as Paphos has a very strong summer season and also a good winter season. Rental returns of 8%-10% are achievable based on only 50% annual occupancy (70% summer and 30% winter).

The attractiveness of Cyprus is continually growing, and it is expected that prices will increase even further when Cyprus joins the EU currency in 2007 and when low interest Euro mortgages will also become widely available.

However, Investors Provident has found lenders today that will lend on Cypriot properties based on the Euro rate. This is a fantastic bonus for our investors because they will be paying only 4% APR as opposed to the standard 7%.

Price is another key incentive of these properties. Majority of the units fall under the CYP£ 50,000 bracket, thus making them very affordable to all investor groups. However, we have also structured this as such because at that price threshold, the property tax levied by the government on completion raises from 1% to 3%. So most of these units will fall within the 1% tax bracket.

Based on our research, most of the properties available in the Paphos market today are above CYP£ 50,000. There are also very few studios in the market, thus increasing the demand for studio apartments. One and two bed apartments are available more widely, but even so are not as competitive as the prices we have negotiated.

These apartments are an excellent investment for someone looking for a long term rental property with exceptional capital growth. They lie in a low risk area with a very well established tourism market and are therefore easy to rent out. Investors Provident can also assist with complete lettings and management for those investors who wish to let these. The attractive rental returns and the small amount of investment required is definitely the icing on the cake.

The developments are called Milla Parc, Sea View Court, Coral Bay Court, Almenara, and Pine Village. For more information on these projects, please visit ___________________________________

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