Modern investors are constantly seeking new opportunities for profitable investments. Among such promising avenues is real estate investments in Northern Cyprus. This small island in the Mediterranean Sea has gained popularity among investors due to its unique geographical location, attractive housing prices, and potential for economic growth. This article explores why investing in Northern Cyprus has become an attractive option, as well as the existing risks and ways to manage them, as explained by Evgeny, a client of the Northern Cyprus real estate agency VELES PROPERTY. Evgeny is a programmer, fell in love with this place and decided to stay here permanently, supported by many well-reasoned factors.
Why has Northern Cyprus become an attractive destination for investors?
Evgeny, could you tell us how you first came to Northern Cyprus and what attracted you to this place?
— Initially, it was the geographical location that caught my attention. Cyprus is situated near Europe, Turkey, and Africa, making it convenient for those who want to visit multiple countries. Besides, this was one of the reasons why I decided to stay here and invest in real estate. It’s an attractive investment destination because the island has the potential to become a bridge between Europe, Africa, and the Middle East.
You’ve invested in real estate. Could you tell us about local property prices?
— Compared to other European markets, real estate in Northern Cyprus remains affordable but steadily appreciates. Given my meticulous nature, I thoroughly researched this topic. For instance, according to Estates International, growth forecasts are comparable to property prices in the UAE. So, now is the perfect time to acquire such assets at attractive prices, which is exactly what I did, and I have no regrets.
What else, in your opinion, can attract investors here?
— One example is the potential for tourism. Northern Cyprus has the potential to develop tourism thanks to its beautiful nature, historical attractions, and stunning beaches. This attracts investors looking to develop a tourism business.
— Undoubtedly, one of the main advantages is the Residence Permit program through real estate investments. Northern Cyprus offers the opportunity to obtain residency. Buy residential property, and you’ll have a Residence Permit in your pocket. It’s an additional incentive for investors.
— I’ve been living here for several years, and I see how the region’s economy is steadily growing. Besides real estate and tourism, which I’ve already mentioned, education and technology are also progressing, which is especially pleasing. This development potential makes Northern Cyprus attractive to investors, offering promising opportunities.
— I have children, so I want to mention safety. It’s at the highest level here. According to research by the American company Value Penguin, Northern Cyprus is one of the safest places in the world, ranking fifth on the list. This fact is reassuring for those who value tranquility and comfort when choosing a place to live or invest.
Major Risks and Risk Management Strategies in Real Estate Investment on the Island
— We’ve talked about the advantages, but are there any risks associated with investments in residential property in Northern Cyprus?
— There are a few, but they are worth paying attention to. Firstly, political situations. Since Northern Cyprus is a partially recognized state, its political and economic stability depends on its nearest neighbor, Turkey, which recognizes the republic. Therefore, the risk is conditional.
— The second aspect is illegal real estate agents. Before choosing a real estate agent, make sure they have a membership certificate from the real estate agents’ association, and if you have any doubts, contact the local association.
Real estate and property investments for Europeans
In summary, Northern Cyprus offers unique conditions for real estate investments for Europeans due to its geographical location, attractive prices, and tourism development potential. There are certainly some downsides, as in any field, but the advantages far outweigh them. With proper planning and management, investments in real estate in Northern Cyprus can become a reliable and long-term source of income.