Why are rents going up - is TRNC now worth it?

[SuperMario]

Hi, so we started looking at TRNC a few months ago for affordable retirement, monitoring rental prices of 1-2 bed properties. It seems we put the evil eye on the place! Since we started looking not only has the minimum wage shot up, but we've heard of big price rises and most recently rental prices seem to be soaring too.

I can recall last year most all rental properties were £300-400 pcm tops, even some 3 bed properties, now these are almost impossible to find, certainly from a distance online. Now you're lucky to find a £450 rental and most, are £500-600. Some are higher still.

Now for that sort of rent we're not sure whether TRNC is really worth it, especially as the trend seems constantly upwards.

1. The State is not recognised by anyone except Turkey making life difficult for residents.
2. Residents visa is very short lasting and has to be constantly renewed with no real incentive to keep doing it.
3. Rules seems to change with the wind direction! This latest "driving lessons" rule being a prime example.
4. After Brexit it makes it very difficult to cross into the ROC freely.
5. It's not very big!

Would anyone care to argue for us moving to TRNC? Thank you.

[Ossie]

I don't understand either! Rentals - mostly advertised in £s - I think should be reducing!! Today the lira is 23TL to the £.

I've been renting here since 2014. My previous rental property was £330 a month - a beautiful (unfurnished) 3 bed bungalow with a pool. I lived there for over 5 years. Sadly (for me), nearly2 years ago, the owners sold it and I had to find somewhere else. I now have an apartment at £450 a month - in a large development of apartment blocks - very noisy - parking a nightmare. Now similar flats are advertised at £500/550 a month, I can't see my pension increasing by £50 a month.

If I still had a property in UK (sold it to come here) I would go back in spite of the awful state of things over there - it will get better in time.

Good luck!

[ljarvo]

Agree - in terms of your first point you need to be mindful of it.

We are looking to relocate to Portugal and the fact that it’s not recognised - only by Turkey has made it very difficult for us and delayed our whole process by a few months. So also think if you want to move within the EU after here it can be difficult…

Sorry I won’t argue for you to move here but that’s my own personal thoughts ….

[Nc2016]

It strikes me, that from initial posts, you’ve never been here and were operating on word of mouth from friends.
I seriously think that you need to reconsider your options.
Yes, it’s cheaper than UK, but at what cost?
Come here, rent for 6 months and see what you think.

[alphamike]

I doubt anyone could argue in favour of you moving to TRNC, I certainly wouldn't. I love living here, but what's good for me, may be miles away from what's good for you and your expectations. You would really have to come out and try it for a while yourself, and keep your current property, so you have somewhere to go back to, if it's not for you.
It certainly has got a lot more expensive to live here now, compared to even just a few years back. I don't know why rents have rocketed in Sterling, could understand if in TL, but it just seems ridiculous. However there does seem to be an increasing interest in long term rentals, so suppose it could be the supply/demand factor.

[benjaminbutton]

I suspect it might be the large influx of Russians, Ukrainians and now people from Azerbaijan. I'm seriously considering having a notice on my gate, indicating that my property is not for sale or rent. My neighbours who are Ukrainians and lived in TRNC for nearly two years, recognise the languages. This is on top of passing builders, painters etc who say they are enquiring on behalf of friends or relatives. Azerbaijani looking for property so their families who somewhere to live when they arrive here.

[alphamike]

You may well be right BB, there must be serious interest in property going by the number of new builds out Esentepe/Tatlisu way. It won't be long before it's wall to wall builds all the way to Girne. Unfortunately no investment in infrastructure, so we can all expect more problems with water shortages, power cuts and traffic.
It's even worse out Iskele way with all the high rise buildings. Whoever thought that would be a good idea? Power cut and try to get up to swanky apartment with no lift on 12th floor or whatever. Perhaps (ha ha ha) they have solar or other option to cover power cuts?

[Keithcaley]

See This Post

[Hammerhead]

I lived in Spain and the building was out of control,the properties stopped selling so builders going busy and banks repossession of thousands of properties and skellingtons every where never to get finished

[benjaminbutton]

Hammerhead, I can understand where you are coming from and I agree with all you said, especially the huge blocks of skeletons in Spain . I can also remember foreigners going broke, many of whom had taken out loans to buy their villas or flats. However, it's not really the same here due to the influx of eastern Europeans plus Israelis and Iranians. Problem being most are only prepared to pay bottom dollar and in some cases, want furniture etc thrown in. In one case I know of, the car as well. The other side of the coin, some of them are extremely wealthy and are prepared to to pay ABSOLUTE TOP DOLLAR.

[Reyntj]

It's simple supply and demand and rents where heavily suppressed during COVID . The rental.market relies massively on students and tourism which was heavily curtailed during covid . Rents fell far more here during COVID than most other countries . Prior to covid was a lira crisis where the goverment incentivised landlords to rent in tl. After lockdown rents went back up to previous 2017 levels and back to £ as no landlord wants to rent in tl as it constantly goes down during COVID they had no choice . Then a new influx of students came in September and rents have gone up significantly again . Also there is a constant arrival.of Ukrainians and russians and Iranians and other ex USSR countries . An Iranian who organises residency told me many came last year but even more this year . Plus there has been worldwide inflation the price of goods and services has gone up globally . When I came 10 years ago it was £400 to rent a 3 bed in kyrenia it's now £500 to £600 to rent similar . Over 10 years that's about what rents have also gone up in the UK just with inflation. The dip during the lira crisis and then covid and now subsequent rise will be a big peak to trough due to extreme circumstances . In fact to rent a flat during COVID you could find the same flat at c £300 that was £400 10 years ago. So just to conclude rents have gone up c 25-50 % over 10 years but in the last 2 years from peak to trough up to 100% .I'm expecting rents to be flat from now on for a long time but I doubt they will decrease unless there is something like another COVID . All just my opinion but we do have rentals so I'm commenting directly from the coal face . So the recent rise looks very scary but it's not representative of the long term history.

[benjaminbutton]

Reyntj, you as you say are at the coal face, so are you in a position to make comparisons with other countries e.g. someone looking to move to Portugal (not sure what the financial requirements are) and the Mediterranean countries.

[Nc2016]

What a ridiculous question BB!
Why would he be interested in anything other than rentals here?

[benjaminbutton]

I beg your pardon. You are free to apologise any time you like.

[13roman58]

3 bed ground floor in Alsancak £ 575.
Blood@ ridiculous!!!

[Reyntj]

No idea about other countries I do see Portugal come up in surveys of one of the affordable places to retire to . Despite a lot of negativity about increased residency requirements here I believe the hurdles can be a lot higher elsewhere especially if you compare to say the south side of the island .

[blueparrot]

I live near Paphos. For a non-EU person, getting ROC residency is now lengthy, arduous, bureaucratic, and requires extensive paperwork. Many of the demands are not logical. It can depend on which official you deal with. Very arbitrary. You can pay an agent to help, but the system is constantly changing and even the agents are at their wits end. Immigration offices are chaotic and heaving.

Cyprus Mail started reporting last year that rents were rocketing. 50, 60, 70% above levels after Covid restrictions were eased. It has occurred in the last 7-8 months. Big political issue because locals are struggling to find housing. Landlords are flooded with phone calls the day they advertise their properties. Reasons given include: incoming digital nomads from Northern Europe in particular; influx of wealthy Russians, Ukrainians, Israelis, Lebanese; influx of refugees funded by the EU who are given housing that might have been rented to young Cypriot families; slowdown in new building because the price of construction materials and labour has gone through the roof, so less supply. Obviously these different factors are affecting different sections of the housing market but there is pressure across the board, and particularly in Limassol and Paphos I understand.

As an aside, I would say that standard housing quality here is the same as in the north. No insulation, poor septic systems, damp problems, etc. People keep telling me it is the same everywhere in the Med.

[ljarvo]

In reference to Portugal apart from the difficult start as no Embassy wanted to accept us to start the residency application.
The residency process is similar to here - however NO blood test
Money in account and income equivalent to minimum wage like here
First time you apply you get two years - then the next time 3 years!
So overall the process in Portugal is easier... (so far from my experience)

[SuperMario]

I started a very interesting discussion and I think the input has sealed our decision, thank you everybody. We are seriously looking at the Portugal D7 visa now. It's requirements are very achievable and it seems a much better deal compared to TRNC, but best of all after 5 years we get an EU passport at the end of it. I don't like the sound of the uncertainty in TRNC with all the refugees or whatever they are (do the Ukrainians and Russians fight?), and certainly don't think the rental prices are justified for what you get. In addition residency of a land that nobody wants to recognise is pretty meaningless compared to being in mainland EU. I think that is worth investing in much more.

[ljarvo]

Good luck SuperMario

At least you can start your D7 Application normally not like the stress we have had as we live in the TRNC.

Even if Portugal isn’t for us long term we want to get into mainland EU.

If you have any questions don’t hesitate to message me

[13roman58]

How does the cost of living compare?
House prices purchase/rent.
Are you allowed to purchase?
Car prices,petrol,gas,electric etc?

[SuperMario]

Good luck SuperMario

At least you can start your D7 Application normally not like the stress we have had as we live in the TRNC.

Even if Portugal isn’t for us long term we want to get into mainland EU.

If you have any questions don’t hesitate to message me

Thanks, will do.

[SuperMario]

How does the cost of living compare?
House prices purchase/rent.
Are you allowed to purchase?
Car prices,petrol,gas,electric etc?

Yes you can purchase or rent in Portugal.

https://www.d7visa.com/

The euro is much more stable than the TL. Price wise it's more expensive than TRNC (for now) on some things, rental is cheaper than neighbouring EU countries but higher than TRNC (for now), but cars are cheaper than TRNC. But being part of the EU it has much more stability, I am happy to put my £'s in their banks. It's not overrun with refugees either. Perhaps the best things for us are being on the European mainland with no travel restrictions for driving as far as we want, and living in a "normal" country that is recognised the world over. But I must admit TRNC looks very pretty, more so I think.

[Steve C]

We lived in Cyprus for fifteen years, 2005 - 2020.
We had a great time over all. I would say that the best two things for us was the day we bought our villa and thecday we sold it!!