Cyprus is fast becoming a real estate hotspot for thousands of British holiday home hunters disillusioned with overdeveloped and overpriced coastlines. Famous for its spectacular beaches, a climate that provides more sunny days than Spain, and its rich and varied history, Cyprus offers a perfect mix of foreign and familiar.

Whether you’re looking for a romantic mountain retreat or a villa by the sea, buying property in Cyprus is a relatively simple process. Much of the paperwork involved in buying a property was simplified in the run-up to EU membership and an English-based legal and financial system means the buying process is quite familiar to most British investors.

Many experts predict that the replacement of the Cypriot pound by the euro in 2007 will spur a 50% increase in property prices, so now is an excellent time to jump on the property ladder in Cyprus. But where are the best places to buy and what types of properties are available?

Paphos is one of the most beautiful cities in Cyprus. Located on the southwest coast, the area is also one of the most peaceful and peaceful coastal locations on the island. Although the last five years have seen more developers building in Paphos, the essence of the quaint fishing village that existed here before mass tourism remains intact. Here you can expect to pay £59,000 for a fully furnished one-bedroom apartment. If you have £240,000 you could have your own villa on a 700m2 plot with pool included. More and more golf developments are being built to meet demand and a two-bedroom apartment in a golf resort is likely to cost between £150,000 and £180,000.

Moving along the coast to Limassol, property can be picked up at prices 10-15% cheaper than in Paphos. This could be due to the fact that, being the commercial and industrial center of the south coast, Limassol lacks much of the character and charm that small towns like Paphos have. However, the lack of coastal feel does not deter the British. Employment opportunities are much more abundant here and this may explain why 20% of the British expat community lives in Limassol. A three-bedroom villa in Limassol costs between £180,000 and £200,000.

For those who want to avoid the tourist and expat enclaves, a trip to the Troodos Mountains will yield surprising results. Lush green hills and stunning scenery hide hundreds of small towns where you can still experience the real Cyprus. Renovation projects abound and one of the best ways to find out what’s on the market is to travel to the towns and ask the locals. Stone cottages in need of renovation sell for as little as £60,000 and can be restored for £30-40,000, meaning a stunning mountain hideaway in Cyprus can cost as little as £100,000.

If you’re the adventurous type, you might want to build your own villa. While there will always be headaches when it comes to new construction, this approach can be significantly cheaper than buying off-plan. There is also much more control over the type of property you end up living in and the standards are likely to be higher. Designing and building your own villa means contacting architects and builders. While your architect will likely handle the administrative side of planning and permitting, it’s always best to be around during the construction process. The alternative is to hire a person or agent to take care of this for you. Building your own villas is likely to be up to 40-50% cheaper than buying from developers and you won’t be paying extra for granite flooring or air conditioning!

Cyprus is definitely the one to look at. With EU membership, the country enjoys an influx of funds that help further develop infrastructure. It is now possible to get mortgages in Cypriot pounds and interest rates are already falling and are likely to fall further when the currency enters the Eurozone! This all bodes well for the Cypriot property market and for those who missed the property ship to Spain, now is the time to jump on board and cash in on the property boom in beautiful Cyprus.