Property loans in Cyprus reach record highs
New figures from the Cyprus Central Bank indicate that the number of loan approvals for home purchases increased in April when compared with a year earlier.
The total number of loan approvals in the Cyprus domestic market accelerated in April, driven by property loans and loans to non financial organizations. The total value of loans stood at €44.52 billion which is up from €32.89 billion in April 2007. Property loans reached €8.73 billion in April which is also up considerably from the €6.33 billion in the corresponding month of 2007.
Investors are buoyed by the encouraging figures as the loans are clearly up from last year and Statistics on loans are typically used by real estate investors to predict the state of the market.
The property loan growth goes against all normal seasonal trends and may well reflect the encouraging growth of Cyprus’s economy which is growing at a faster rate than that of all the EU member states on average. Global Property Guide has said that despite a global economic slowdown, property in Cyprus continues to hold its value and is increasing in a faster pace. The country has seen the cost of property showing a rise of 13.26 per cent last year.
Recently the European Central Bank has praised the Authorities on the island for their effective handling of the currency changeover.
Popularity: 28% [?]
