Buying residential property in Belgium, France, Germany and the Scandinavian countries showed an increase in prices during 2010, while other markets continue to face problems. Ireland, Hungary and Cyprus have dropped significantly, while the United Kingdom, Netherlands, Poland and Italy, prices fell slightly. In Spain, Greece and Portugal, the fall in prices last year, despite their financial troubles, was quite limited and the Baltic states have shown a slight recovery.

According to Mr. Paul Loizou MRICS, Board member of RICS Cyprus: The Cyprus property market continued to slow in 2010. The Property Price Index of RICS showed that in 2010 the price of apartments fell by 10.8% and prices of homes 7.4%. Also, transactions have fallen drastically, especially considering that the presence of foreign buyers has fallen sharply by 80% and there is little interest in properties in secondary areas. However, there is little prospect of an upturn in trade, but not in prices, in 2011. ”

Although most European markets out of crisis, the survey shows that the future of European real estate is still uncertain and full recovery will depend on many different factors. Unlike the previous upward trend in real estate across Europe, the cost of materials for housing construction and sales are still low. Many countries still face significant restrictions on mortgage loans while interest rates remained generally low in 2010, markets are very sensitive to fluctuations in interest rates.

According to the author of the study, Professor Michael Ball, «A full recovery will not occur until the property markets are fully operational again. This will be done only with the resumption of supply of mortgage loans, revitalizing the manufacturing sector, and increased turnover in all relevant sectors of the economy. However, the housing sector in Europe is far from being followed by long-term stagnation facing the U.S.. ”

The climate in kanalotes PAY remained negative at the same level as the previous month, and showed deterioration in the business climate in retail trade. More generally, the recent trend to recovery in months change, except the construction sector. The above research is the result of erefnitikouprogrammatos record of economic change, which is coordinated by the Center for Economic Research, University of Cyprus and is funded by the European Union and the Ministry of Finance. The data collected apotin company RAI Consultants Public Ltd. The surveys conducted among senior executives in a sample gives greater weight to larger business units. For households consuming the sample is random and the research done by telephone.

Subsequently, Mr. Strovolidis referred to the huge problem that would arise if the rates remain elevated and charged many times the owner when the open land in the new general valuation of properties with current values. Also, the President of KSIA mentioned in the case of owners who hold property aprosoda when they will be forced to pay higher amounts, without afford. Finally, Mr. Strovolidis urged the state to move to the side of stimulus and not to the side of imposing additional taxes.

“This applies primarily for small offices with limited number of employees and low turnover, but this situation is unprecedented for Cyprus and is another clear indication of the situation created”. The downturn in the property continues. According to the latest Land Registry figures, only 554 new sale documents filed in August 2010 compared with 642 in August last year, representing a decrease of 14%. Apart from the reduction of exogenous demand for property (eg by British or Russians), reduced demand for real estate is due both to high lending rates and difficulties in granting loans from commercial banks.

Subsequently, Mr. Strovolidis referred to the huge problem that would arise if the increased rates remain and the owner will be charged additional times when the there is the new general valuation of properties. Also, the President of KSIA mentioned in the case of owners who hold properties without value they will be forced to pay increased amounts without to be able to afford it.