The property market in Cyprus has become stable after nearly a year of downturn, says Onisiphorou Andreas, of Oni and Company Developments, a prominent developer from the country.

The slump was a result of a value-added tax (VAT) for 15 per cent introduced by the government, said a report in The Peninsula.

Asians can buy residential properties in Cyprus and live there on long-term visas, but they cannot work. To work they require a special permission.

Demand for property in Cyprus is growing with at least 80 per cent of the buyers being British, says Andreas.

The remaining buyers are French and German, aside from others.

His company has projects in Paphos and on offer are apartments of areas ranging from 60 sq ms (one bedroom) to huge four, five-bedroom villas and custom-built villas.

Average cost of land works out to $400 per sq ms while the cost of construction averages at between $1,300 and $1,800 per sq ms depending on location.

Cyprus, a former British colony, attained freedom in 1960 and has a population of around 700,000.

According to Andreas, Paphos is favoured by Britons as a holiday destination as well as for permanent residence. The age of visitors as well as settlers ranges from 40 to 60 years.

Cyprus, a member of the European Union (EU), is almost crime-free, says Andreas, adding that, that makes it one of the major attractions for property buyers.

Many people buy properties in Cyprus also for investment and Oni & Company, apart from being developers, also manage others' properties.