Cyprus-Forum.com

[simonwjones]

But its about getting in quick whilst prices are low. Infrastructure will improve - it takes time. Bulgaria is a great place to buy. Great people, low cost of living, cheaper flights to/from UK; great geographical location

I would rather spend my time in a place which is established. Building up these new resorts will take time and wont happen over night. One other thing about Bulgaria, its run by the mafia!!

[Clive]

And you think Cyprus is not!!

[simonwjones]

And you think Cyprus is not!!

Don't know about that!

Have you been to Bulgaria before?

[Clive]

Yes simon, and have property and land there

[simonwjones]

Yes simon, and have property and land there

Which part?

We looked at a place just off Nessebar but decided against it for all the reasons above and the Mafia thing wasn't for me

[Clive]

Sozopol and Tsarevo. Like we said there is much to be done Bulgaria and of course it won't happen over night but it is a nice country with a lot going for it. It reminds me of Cyprus many years ago, but things move on of course.

[Johnson&Johnson]

Bank loans in property sector soar
First Published: 30/05/2007 12:51:41
Last Updated: 31/05/2007 02:31:22


The loans in the sector of buildings and constructions, as well as the personal – professional loans boomed in April 2007. The strong competition among the banks “forced” them to turn to loans related to the sectors above and to absorb the vast majority of the total loans. According to the latest Central Bank Monetary Review, the loans for construction purposes in April 2007 showed an increase of 33.1% to £2.45 billion compared to £1.84 billion last year. The personal and professional loans grew 29.2% to £6.42 billion in the first four months of 2007.

Speculation

According to economist, Marios Mavrides, the increased loans in the property sector contribute to the bubble. “Many developers are speculators and buy properties in order to sell them at a higher price. The problem will be obvious when prices reach such levels that the sale of properties will be difficult. This will make the pay-off of the loans by the speculators even more difficult”, he noted.

Bank liquidity

On the other hand, economist Stelios Platis said that the increase in this type of loans is attributable to the banks’ liquidity, which stems from the Eastern European countries mostly. “Due to the liquidity, the banks have more competitive products and push the property market to this level”, he said.

CB Governor

It is worth noting that in his recent statements, Central Bank Governor, Athanasios Orphanides had stated that it is difficult to say whether there is a bubble in the sector of property. “If there is a bubble or not is something that we will realize in a few years”, he had stated.

Credit growth at +22.6%

Credit growth in April 2007 increased 22.6% to £12.65 billion compared to £10.32 billion in 2006. It is the highest since 2001.

Analysts support that the credit growth is not expected to ease due to the high consumer demand. A possible decline will be linked to the imposition of new taxes by the government.

[simonwjones]

If you can watch ITV1 in the UK - Spanish Property Crash

[simonwjones]

Well, just watched the program and Spain is in a mess. Far too much development and people who want to sell, simply can't.

Spain has admitted there is too much develpment but refuse there is a crash. There were people on the show talking about their properties and how they have been on the market for two years and have had no viewings.

I can see certain places in Cyprus which are already like this.

[Southerner]

I've heard that it is a buyers market over there in Cyprus at the moment with plenty of property for sale and rent.