Anastasia Yianni: Foreigners continue buying property in Cyprus as an investment
07:03 - 27 January 2024
Anastasia Yianni, CEO of Cyprus Sotheby's International Realty, said Cyprus remains one of the top investment destinations for the real estate sector, with foreigners buying property as an investment, a summer residence, or a second home, as she provided her own insights on the just-released Sotheby’s International Realty 2024 Luxury Outlook Report.
Yianni also said the integration of AI, data analysis, and virtual and augmented reality is slowly shaping the future of real estate practices in Cyprus
The report explores the trends shaping real estate investment decisions in the year ahead, from the intergenerational transfer of wealth, to pinpointing parts of the world where tax incentives are increasingly enticing. For the year ahead, the report says the global luxury real estate market drivers will be AI, sustainable development and mobility.
Among the report’s key findings is that high net-worth individuals are being more mobile than ever - maintaining multiple residences - and looking at transactions with a modified perspective in light of higher taxes, new government incentives, or in the face of a changing climate.
“Cyprus remains one of the top investment destinations, specifically for the real estate sector,” said Yianni. “Foreigners continue buying property in Cyprus as an investment, a summer residence, or a second home. Factors such as real estate expenses, price fluctuations, new construction, the Euro exchange rate, local laws, and investment regulations - all play a role in their investment decision. Another big plus is the opportunity to get permanent residency in Cyprus through property acquisition. Therefore, having the support of a competent team throughout the property-buying process is crucial.”
Another key finding is that the real estate industry is using the synergy of the real world and the cyber world to market and sell homes.
"Businesses all around the world are using digital tools for their operations, and Cyprus is no exception,” Yianni explained. “One of the primary focuses is to enhance client services through this digital shift, and in the case of the Cyprus real estate market, we can claim this improvement in online real estate platforms. During the pandemic, there was an acceleration of technological changes in Cyprus, where the real estate industry adapted to remote work and embraced digital tools. The integration of AI, data analysis, and virtual and augmented reality is slowly shaping the future of real estate practices in Cyprus."
More than 80% of leading Sotheby’s International Realty agents said AI is likely to have the biggest impact on the real estate industry in the next five years vs. virtual reality or blockchain. Also, the dominance of telecommuting and hybrid work are shifting the demands of affluent homebuyers.
And perhaps most importantly, sustainability is moving from a niche interest to now being top of mind for many buyers.
"Today high-end property buyers are more and more focused on eco-friendly and environmental concerns, making them one of the key factors in their purchasing decisions,” said Yianni. “As a result, features like solar panels, energy-efficient technologies, and eco-friendly building materials becoming more common, adding significant value for these clients. In the Cyprus market, there is also a growing demand for additional sustainability features, with smart home systems and alternative energy sources."
The Sotheby's International Realty 2024 Luxury Outlook report was compiled by surveying Sotheby’s International Realty agents around the world who transact in the US$10m+ price category. This information was complemented by gathering supporting data from other leading industry experts, including UBS; The Brookings Institution; McKinsey & Company; and property technology and security firm, Kastle Systems; in addition to art and luxury experts at Sotheby’s, the famed auction house, to round out luxury trends in the year to come.
Click here to read the complete Luxury Outlook 2024 Report.