The discovery of a large amount of natural gas off the southern coast of Cyprus has brought a glimmer of hope to the country's real estate sector. In 2011, Noble Energy Inc., based in the United States, discovered significant natural gas reserves in the country, estimated to be between 70 trillion and 80 trillion cubic feet. This discovery has provided much relief to many in the real estate industry. Numerous international energy companies and banks have already engaged in investment for the construction of natural gas projects in the country. This is sufficient for Cyprus to achieve energy independence in the coming decades, and the overall situation in the country is shifting in a positive direction.
According to the Royal Institution of Chartered Surveyors, the prices of residential real estate in Cyprus tripled during the period from 2002 to 2008, prior to the European credit crisis. Research reports from real estate companies indicate that in some cases, price increases were even higher, especially for real estate and land transfer prices in coastal areas.
Due to the impact of the European credit crisis, the real estate price index shows that in major tourist areas where foreigners are the primary buyers, property prices in some locations have halved in recent years. Analysts from the Royal Institution of Chartered Surveyors have pointed out that prices are expected to further adjust downward in the coming years.
In response to the sluggish real estate market, the Cyprus government has been actively boosting the real estate industry, with specific measures including the reduction of land registration transfer taxes. Additionally, the government has stipulated that non-EU individuals who purchase property in Cyprus for more than €300,000 can obtain permanent residency in Cyprus. This measure has attracted an increasing number of Russians and Chinese to purchase residences in the coastal cities of Limassol, Larnaca, and Paphos. On March 19, 2014, the Cyprus Citizenship by Investment Amendment was approved by the Cabinet and announced to take effect on March 28: purchasing a certain amount of real estate can lead to citizenship approval within three months, granting the entire family EU citizenship passports. WorldWay was quick to understand this policy and promote it to Chinese investors. Due to WorldWay's largest client base in the Cyprus project sector, it also holds the greatest advantage in group purchasing of properties.
