North Cyprus Villas…Buy To Let Investment Opportunities
If you are not accustomed to property market terms then allow me to explain what “Buy to Let” actually means. Well it’s quite straight forward really as it’s just a question of buying and completing on a property followed by letting it out to as many people as possible. The only important factor to consider is that your rental income covers your mortgage payments.
If you decided to buy and then rent out your property you must remember there are two seasons, Low Season and High Season. A high season in Northern Cyprus will be around 7 months of the year, while the low season is the remaining months which are left, but don’t worry because Northern Cyprus as over 300 days of the year of clear blue skies and you’ll find that families like to get away from the dull winter to a nice sunny place like Northern Cyprus.
We are now going to go over a real example based on current costs on a property with a sea view valued at 250,000 Euro. If it is a new build property you will be required to leave a 3000 Euro deposit as a reservation fee. You will then be required to pay a total 30% deposit including the 3000 Euro reservation fee amounting to around 75.000 Euro.
The remaining amount due is 175.000 Euro so the best option is a mortgage, but make sure you shop around first. I recently saw one as low as 4.25%, so this will be the base for our calculations making monthly mortgage payments come out out around 800 Euro. Always opt for an interest only mortgage as this will lower the monthly payments, so this time round you would be paying about 9.600 Euro per annum.
If we now take a look at rental statistics and in Northern Cyprus there are 10 months rental income guaranteed. Now comparing to the property we have just bought, you can expect a cool 2600 Euro. in the high season months and 1500 Euro. during the low season.
So if we go into a little fine detail on the property we have just purchased, let’s calculate on it being rented out for around 6 months over the high season and about 4 in the low season. This you may be amazed to know works out at 21.600 Euro rental income in your pocket. Well you will have to appoint a property management company to take care of your payments such as community charges, but this won’t be more than 1000 Euro a year. Are you beginning to see why property investment in Northern Cyprus sounds interesting?
So if your fancy buying a property and renting it out why not try Northern Cyprus, over 2.6 million people visited Cyprus last year and this number is growing year by year, so you can see there is a massive market for renting. The blog at CyprusInformer.org is a very useful guide that we assist you in making the right decision on property in Cyprus.
Unfortunately due to politics, North Cyprus has not been on the tourist map for a number of years, but recent political developments seem to be changing all that now. It has only been the southern part of the island that...
What You Should Find Out Before Buying A Property In CyprusBuying a second house is what most people do these days. If you\'re buying a piece of land or buying a property in Cyprus you\'ll find it\'s the best investment you\'ll ever make or maybe your second. But just how...
The Advantages Of Buying Your Villa In CyprusCyprus is the magic Island of romance, ancient history and stunning weather. You\'ll find most people who visit Cyprus end up going back some time in there life. What you also find is that a low percentage of people who...
Cyprus Property InvestmentThe contract in then longed with the Land Registry within two months if being signed which will prevent the vendor from selling the property on a second time, and will be a charge on the property pending completion.Application is made...
Cyprus Villas – The Safe Purchase GuideSearching for an apartment or Cyprus holiday beach villa for purchase in Cyprus for an investment purpose or as a vacation house could be the most exciting undertaking that an ordinary person has ever engaged in. As a result of...