Entering 2012, the "small country" of Cyprus in the Mediterranean began to test the waters in mainland China. By offering a European green card in just 2 months through the purchase of a permanent property villa for 300,000 euros, it quickly ignited the mainland investment immigration market. A large number of domestic investors visited Cyprus for inspection, and this booming phenomenon subsequently covered major television, online, and print media.
According to statistics from foreign business agencies, from January to August 2012, more than 600 Chinese families applied for the Cyprus investment immigration program, directly generating transaction funds of over 24 million euros, equivalent to 190 million RMB.
So, amidst the wave of immigration to mainstream countries such as the United States, Canada, and Australia, why has there been a "rush" to Cyprus?
Experts from Worldway Immigration provide a reasonable explanation: In fact, there is no such thing as the best or hottest immigration country; each country is suitable for different target groups. It is best to identify the respective advantages and disadvantages of these immigration countries, compare them, and then see which country you want to go to and where you are suitable to immigrate.
Delving into the reasons, the following eight points are believed to resonate with the psychology of the vast majority of Cyprus investors.
Saying NO to mainstream immigration countries
In the past two years, the investment immigration industry has been changing rapidly, with immigration policies in various countries and regions undergoing successive reforms, and "price hikes" are undoubtedly the main theme. "We only sell houses in Quebec, Canada, and do not provide immigration opportunities." "We only guarantee the rental income of your Australian property investment; handling immigration is another matter. It is not just about buying a house; you must have businesses both domestically and abroad." At the Beijing Autumn Property Exhibition that concluded last month, when reporters consulted two foreign property agents, they received the answer of "no immigration provided." In the past, investment immigration was the biggest selling point for overseas developers coming to Beijing to sell houses.
With Canada suspending skilled immigration applications and indefinitely stopping investment immigration applications, although the U.S. EB-5 investment immigration bill has been extended for three years, U.S. projects still carry unpredictable risks, and whether prices will rise after the extension is unknown. Australia's immigration policy has undergone major changes... These major changes in the policies of mainstream immigration countries have hit the confidence of domestic applicants.
Mainland investors have begun to pay attention to European countries that also have immigration competitiveness, and Cyprus has taken advantage of the situation with its fast-track immigration channel and its own convenient conditions, becoming a big hit among European countries.
Purchase restrictions or high housing prices become catalysts for overseas home purchases
On one hand, major domestic cities have implemented purchase restrictions, leaving many citizens who want to invest in real estate unable to do so. On the other hand, high housing prices have also made the real estate market less optimistic. Unlike the domestic market, overseas property markets are gradually warming up and have great room for appreciation. For investors facing a sluggish domestic real estate market under current regulations, overseas property investment immigration projects are undoubtedly a better choice.
Buying a house in Cyprus and getting a green card is killing two birds with one stone for investors. Industry experts state that Cyprus housing prices are currently at the bottom of a U-shaped valley, making this an optimal time to invest in property. Most properties in Cyprus are located near mountains and the sea, with low prices, high growth potential, and very low vacancy rates. A client of the Worldway Cyprus project mentioned: "When buying a house for investment, part of it is capital appreciation, and part is rental return. Chinese people basically ignore rental returns. But in Cyprus, rental return is a very important part."
Just a foreign status
With the arrival of the third generation of Chinese immigrants, some people have become more rational. They only want to obtain a foreign status to facilitate business and travel, while still living in China most of the time and keeping their businesses entirely in China. However, this cannot be equated with the concept of "naked officials/businessmen."
In addition, during the domestic college entrance examination, if one possesses a legal foreign status, the threshold for admission to top domestic universities is relatively much lower. For many domestic universities, the threshold for "overseas students" is generally just the HSK (Chinese Proficiency Test) plus a foreign passport. For many parents who plan to send their children to study abroad in the future, this can be considered a new path.
Of course, wanting to stay in China for a long time without losing foreign status is only suitable for countries that do not have rigid requirements for immigration residency time. The new Cyprus policy on August 23, promoted by Worldway, clearly states that as long as you visit Cyprus once every two years, your permanent visa will not be cancelled. In this way, it will not affect the work and life of investment immigration applicants in China at all.
Seeking benefits
The superior welfare of developed countries has always stimulated our nerves, with meticulous care from birth to death, unemployment benefits, pensions, business subsidies, free education, university education loans and allowances, free emergency medical care, and so on.
When immigrants choose Cyprus, before considering these invisible benefits, there are tangible benefits enticing them. For example, Cyprus's bilingual education in English and Greek; studying at the Cyprus branch of a well-known British or American university, and then going to the UK or US to continue studies after 2 years; free medical service systems and advanced medical technology; unique Mediterranean landscapes, tourism supporting facilities, and healthy, environmentally friendly diets, which are undoubtedly the favorites of retirement-oriented immigrants.
The best country to live in
In the "Human Development Report 2011" released by the United Nations Development Programme, Cyprus ranked 31st out of 187 countries in the world, belonging to the category of countries with high human development levels.
Cyprus is a traditional European health resort, a world-famous land of longevity, rated by the World Health Organization as having the cleanest waters, and is the "back garden" for European leisure and vacation. Moreover, it is one of the countries with a low crime rate in Europe and was rated as one of the "World's Top Ten Safest Travel Destinations" by Forbes Travel Guide.
Cyprus has over 300 sunny days a year, features Mediterranean-style tourism, has a long history of wine and perfume food culture, and the local residents are polite and hospitable, with coffee culture permeating the streets and alleys of the island. I believe another reason why many investors choose Cyprus is the slow-paced life on the island.
Immigration springboard
Worldway immigration experts truthfully told reporters that although some Cyprus project applicants are currently looking at the low threshold of Cyprus, their hearts are not set on Cyprus itself, but rather hope to use Cyprus as a springboard to open up markets in Europe, the Middle East, and Africa. She also mentioned that Cyprus is an offshore tax haven with the world's lowest tax rates, providing huge room for business development, and the headquarters of most global companies are located in Cyprus.
In addition, many immigration applicants choose Cyprus for another purpose: to apply for status in Australia, Hong Kong, or Macau. Because Cyprus applications can be quickly approved in 2 months, after enjoying EU status, it is easier to apply for Australian or New Zealand visas and move there, and it also fulfills the necessary conditions for applying for investment immigration to Hong Kong and Macau in one step.
Global jet-setter
The most perfect scenario in the mind of an immigrant who travels globally is: walking around the world without obstacles: after getting a U.S. visa, simultaneously obtain the status of a European country, and then get a British visa. For immigrants who need to fly globally frequently, Cyprus is undoubtedly the fastest and most convenient country. Since Cyprus is an EU member state, traveling in Europe is very convenient. In addition, Cyprus has been invited to join the Schengen Area, and it is expected to officially join in 2014. With its passport, one can travel freely in the "borderless zone" of greater Europe.
For investors who are good at overseas asset allocation, because their vision is broad enough, they can accurately identify the lack of synchronization in the economic cycles of various countries and choose to trade property price fluctuations on a global scale. For example, some investors who made money in the mainland before are now bottom-fishing in the Cyprus property market, and it is not ruled out that they will head to other markets after making money in the future.
Attractive immigration policy
According to the Cyprus investment immigration policy, by making a fixed deposit of over 30,000 euros in a bank in Cyprus for a period of no less than 3 years, maintaining property ownership in Cyprus worth over 300,000 euros, and having paid 80% of the property price before submitting the immigration application, one can obtain permanent residency in Cyprus for the whole family within 2 months. At the same time, the investor's domestic household registration (hukou) will be retained, which will not affect their career and life in the mainland. This is absolutely attractive to Chinese buyers.
As a country for property-based immigration, in order to attract domestic investors, Cyprus property developers have also come up with various tricks. Developers of some new projects have begun to install Chinese-style kitchens, follow Feng Shui principles, and assign the lucky number 8 to selected suites. Some real estate companies have also sent representatives to fly to China and hired brokers who can speak Mandarin.
