Cyprus house price growth outpaces Europe

Wednesday March 5th , 2008

The rate of house price growth in Cyprus is outpacing many other European countries, new figures have revealed.

Data from the Royal Institute of Chartered Surveyors (Rics) revealed that property values on the Mediterranean island went up by 15 per cent last year.

By contrast, established markets such as Spain saw growth of just three per cent throughout the same period.

Rics cited a number of reasons for Cyprus' strong performance, including high domestic demand for property and growing levels of inward migration.

However, it also pointed out that the island is becoming very popular with second home buyers from overseas.

Rics added that Cyprus' appeal is broadening beyond the traditional sources of demand such as the UK, as people from places including Russia are also showing interest.

Earlier this week, the island was described as one of the hottest spots to invest in overseas property by the Sunday Mail.