# Retirement - realistic budgets?



## buster12 (Oct 9, 2012)

Hi everyone,

Firstly thanks to all for a really useful and informative forum, this is going to be really helpful! 

We are planning to move to Cyprus next year hopefully and would appreciate comment and advice on the realism of our budgets. My wife is retired and receiving State and NHS pension, I am not yet retired (61), with a Forces disability pension and a private pension pot to be realised. My calculations give us an approximate income from pensions of E1750 per month - boosted when I get to 65 of course. We plan to sell up in UK and buy in Cyprus, which if all goes according to plan and budget should leave around E120,000 as a back-up fund. 

Rersearch gives me a base living cost of around e780 per month, including utilities, food, taxes etc. Balance for wine, running a car, eeating out, clothing and ice cream.

Any comment on the accuracy of my figures would be welcomed - I love Cyprus but no point in taking early retirement over there and not being able to afford to live and enjoy the experience!

Thank you - I look foreward to your help.


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## 3RGJ (Oct 10, 2012)

I will be most interested in the replies you get. I am torn between moving to Spain or Cyprus in two years time and am currently finding out all I can. Your budget that you have given yourself is similar to my projected figures. Hope you get some helpful information.


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## Veronica (Apr 5, 2008)

With that sort of income and a good back up fund likethat you will have a very good lifestyle.

Of course it will depend to some extent which area you intending to purchase in as prices vary according to region. Limassol for example is much more expensive than the Paphos area. Larnaca is a little cheaper than Paphos but not a particularly nice area, very arid and dusty without the nice green that paphos region has.

Regards
Veronica


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## buster12 (Oct 9, 2012)

Veronica said:


> With that sort of income and a good back up fund likethat you will have a very good lifestyle.
> 
> Of course it will depend to some extent which area you intending to purchase in as prices vary according to region. Limassol for example is much more expensive than the Paphos area. Larnaca is a little cheaper than Paphos but not a particularly nice area, very arid and dusty without the nice green that paphos region has.
> 
> ...


Hi Veronica,

Thank you for a very quick reply and the encouraging news! Of course this assumes I have got all the figures right in my calculations I guess. Biggest variable/uncertainty is cost of electricity/gas and phone/internet - there seem to be a lot of conflicting figures around. have budgeted e75/month for electricity, e65 for phone/interenet. Am I somewhere near do you think?

As to region, we are looking at Limassol wine area villages or possibly Peyia/mountain area in the Paphos region. Also like the idea of Ayios Georghios and Polis/ Latchi area but wife concerned they are a bit far out.

Had a look around In September when over on holiday and coming back in February to look at property specifically. We are looking at 2/3 bed property and so any comment or recommendation as to reputable estate agents (resale. with title deeds!) gratefully received. Looking on internet which gives very varied results!

Thank you again for all comments and advice.

David


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## kim1967 (Feb 26, 2012)

buster12 said:


> Hi Veronica,
> 
> Thank you for a very quick reply and the encouraging news! Of course this assumes I have got all the figures right in my calculations I guess. Biggest variable/uncertainty is cost of electricity/gas and phone/internet - there seem to be a lot of conflicting figures around. have budgeted e75/month for electricity, e65 for phone/interenet. Am I somewhere near do you think?
> 
> ...


Hi David
Your figures are there or there abouts I would say.
Yes Polis is a bit furthet out but is lovely and has everything you will need. Bus to Paphos for a euro so still within reach if you fancy a trip out so you wont be stranded and easy for your wife to do even on her own. I have done the trip several times on my own. Its very easy indeed.
Hope this helps a little


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## Pam n Dave (Jun 11, 2007)

I think that you should rent for a year or so to see if the life here suits you and if it does then to confirm that you have chosen the correct place for yourselves. 

During that first year you will gain a better understanding of how things work here. We seem to have made the right choices for us but we know of others who who are trying to return to the UK but can't because they can't sell their property.

If they had rented then they would be much happier now.


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## PeteandSylv (Sep 24, 2008)

As previously stated you should live well on your money. But please note the advice everyone suggests in that you should not consider buying for at least a year. Renting is cheap and not fraught with the horrors of title deeds etc and the difficulty of selling if you decide you need to.

I think your budget figure for internet/phone can be reduced if you wish, I pay around €40 with Primetel however your electricity figure is likely to be way out and I would suggest doubling this.

The areas you mention should all be considered but note that Peyia (Little Britain) is on a hill and is not the mountain region. When we moved here we rented initially to discover the few unknowns about our location. We would not move into Paphos town , Peyia or any of the heavily populated areas. We like being a bit further out, in fact we are equidistant between Polis and Paphos and our travel time to either is less than the time to reach a decent shopping centre when we lived in Hampshire. Moving around Cyprus tends to be easy and fast. This is another reason to rent and learn about accessibility here which will help or confirm your wife's concerns.

Pete


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## buster12 (Oct 9, 2012)

kim1967 said:


> Hi David
> Your figures are there or there abouts I would say.
> Yes Polis is a bit furthet out but is lovely and has everything you will need. Bus to Paphos for a euro so still within reach if you fancy a trip out so you wont be stranded and easy for your wife to do even on her own. I have done the trip several times on my own. Its very easy indeed.
> Hope this helps a little


Hi, 

Thanks for your advice - every little helps! Having previously lived in Limassol albeit many years ago, and having been back on lots of holidays, I think we have a good idea of the island. Good to know that it is so easy to link from Polis area to Paphos by bus - though we will have a car, the bus is easy and cheap by the sound of it!

We will be looking in that region when we visit in February for sure.

Thank you again,

Regards,

David


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## buster12 (Oct 9, 2012)

PeteandSylv said:


> As previously stated you should live well on your money. But please note the advice everyone suggests in that you should not consider buying for at least a year. Renting is cheap and not fraught with the horrors of title deeds etc and the difficulty of selling if you decide you need to.
> 
> I think your budget figure for internet/phone can be reduced if you wish, I pay around €40 with Primetel however your electricity figure is likely to be way out and I would suggest doubling this.
> 
> ...


Hello Pete,

Thank you for your reply and advice - budget adjustments noted!

With regard to location etc. we are of mixed feelings about renting v. buy. There seem to be some good deals to be had when buying at the moment, but of course initially we will need to rent, at least while a purchase completes. Hadn't thought of renting for a year or so to be honest - what are rental prices like for a long-term rental such as this?

We do have a pretty good idea of the layout and advantages/disadvantages of different areas on the island - I lived in Limassol for 3 years, albeit a long time ago and things have changed. I covered just about all of the island in that time, and have been back on holiday a number of times which has helped keep abreast of changes. We were over in September and covered about 2k miles looking at various regions and will be back in February for 10 days to give Christine a chance to see the island out of season and to revisit areas that we have narrowed down.

Paphos is defimitely not on the list (too crowded and touristy) and Peyia, which we haven't visited yet, doesn't sound promising either! It is good keep in touch with our English brethren but 'little england' somewhat defeats our objective of a life integrated with the Cypriot community! We do like the Limassol lower Troodos region and wine villages, but haven't properly explored Polis/Latchi area, so that will be in the programme. There are pros and cons of mountain or coastal region to take into account as well, particularly temperature and weather, so a February visit will be interesting, particularly for Christine as she hasn't visited that far out of season before.:juggle: 

Long term rental is definitely food for thought and will be in our minds when we visit in February - more research before we visit I think! I must admit travel in Cyprus is much easier these days, decent roads (certainly better than here in Dorset!) which obviously helps. We both drive and will have at least one car (and maybe a motor bike) so transport shouldn't be too much of a problem.

Thank you for your help and advice - it really is helpful and focusing!

Best regards,

David


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## geoff2 (Sep 30, 2012)

Hi,
In line with previous posts I would say rent don't buy. I have heard so many experiences from people since I have been here who have either said I am glad I rented and not bought or I wish I had not bought and had rented.
Geoff2


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## kim1967 (Feb 26, 2012)

geoff2 said:


> Hi,
> In line with previous posts I would say rent don't buy. I have heard so many experiences from people since I have been here who have either said I am glad I rented and not bought or I wish I had not bought and had rented.
> Geoff2


I have the oposite experience. We bought a bargain priced housr without looking at it, that i dont recommend, but the gamble paid off. Fab location and neighbours with no housing costs to worry about which helps. Some rely good d


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## kim1967 (Feb 26, 2012)

geoff2 said:


> Hi,
> In line with previous posts I would say rent don't buy. I have heard so many experiences from people since I have been here who have either said I am glad I rented and not bought or I wish I had not bought and had rented.
> Geoff2


I have the oposite experience. We bought a bargain priced house without looking at it, that bit i dont recommend, but the gamble paid off. Fab location and neighbours with no housing costs to worry about which helps. Some really good deals to be had at the moment. Buyers market.
Rent until you find an area you like. If it is 'resale' with title deeds then there is not much to worry about. Obviously be prepared if you want to go back to uk you probly wont be able to sell to do it quickly. Our opinion is if we go back then we go back and rent 1st but we hopefully wont be going back.
Everyones own circumstances vary so much its hard to recommend the right choice to the right people if that makes sence.
Good luck with whatever choice you make. The best one will be living here in the 1st place and giving it a go


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## buster12 (Oct 9, 2012)

Hello Kim, Geoff,


Thank you both for your input. Christine and I have been discussing the rent v. Buy issue all evening! Our conclusions are that it does make sense for us, in our position, to rent perhaps for a year. Short term when we first arrive possibly whilst we find somewhere. As well as giving the opportunity to check out areas, it removes the uncertainties of moving dates for our particular circumstances which revolve around sale of UK property and three months notice for work. I can hand in notice to suit our time scale and if house is still on the market, leave it with the agent to sell. Of course, if house sells quickly then all may change!

When we come over in February we can then look for suitable rental, short or long term as appropriate, with our new target to move in April in mind.

It's good to have a plan.....

Thanks for all advice, keep it rolling.

Regards,

David


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## PeteandSylv (Sep 24, 2008)

buster12 said:


> Hello Pete,
> 
> Thank you for your reply and advice - budget adjustments noted!
> 
> ...


I think you will find a vast range of rental prices. Most of the people I know who are renting do so through recommendation and word of mouth rather than agents. We've heard of 2 bed apartments at €250 per month through to a large 5 bed house offered at €500 per month locally. None seem to be on long term contracts.

Checking out the different areas is part of the fun over here. Don't forget there are lots of villages between lowland and mountain , like where we are, that are a good compromise. We are certainly far less humid in summer than downtown Paphos with little difference in temperature except at extreme times.

I must admire your courage coming in February which is usually the coldest, wettest and least pleasant time to be here except when you find a warm, welcoming taverna with a log fire, good food, decent wine and warming brandies.

Pete


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## Pam n Dave (Jun 11, 2007)

I agree with Pete that it's not the best time to come here but it will make spotting problem houses easier.


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## buster12 (Oct 9, 2012)

Thanks for all your comments. Realise weather is not the best then, though much better than UK! With plans now moving forward to a target date of moving in April we are hoping to identify a suitable short term rental to start in - so if you hear of anything or have recommendations please let us know! PM is probably best for that I guess.

Certainly going to be looking at Polis area and across to Latching and Neo Chorio regions, but will also be looking villages higher up. We also still like the 'wine villages' above Limassol, though property seems to be quite a bit more expensive to rent and buy over that way.

Thanks again to all for advice and input. Roll on February!

Regards

David


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## Veronica (Apr 5, 2008)

Yes property in the Limassol area is more expensive as it the main commercial centre of the island and there are many offshore companies operating from Limassol who are happy to pay extortionate rents etc for their staff.
The Paphos and Polis areas far more reasonable both for renting and for buying.
Renting while you decide on the right area for is certainly wise but for long term bear in mind that it is rare to find a rental property with central heating so winters can be uncomfortable. Property prices are lower now than they have been for a very long time so for cash buyers it is is good time to buy, also worth putting in lower offers than the asking price as in many cases any reasonable offer will be accepted. 
Prices are lower in the outlying villages and for anyone wanting to get away from the 'little England brigade' there are some excellent bargains to be had now.
No one can predict with certainty what will happen in the future but with the gas and oil discoveries prices are likely to start to rise in the next year or two as oil workers arrive to start work on the oil fields.

Veronica


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## buster12 (Oct 9, 2012)

Veronica said:


> Yes property in the Limassol area is more expensive as it the main commercial centre of the island and there are many offshore companies operating from Limassol who are happy to pay extortionate rents etc for their staff.
> The Paphos and Polis areas far more reasonable both for renting and for buying.
> Renting while you decide on the right area for is certainly wise but for long term bear in mind that it is rare to find a rental property with central heating so winters can be uncomfortable. Property prices are lower now than they have been for a very long time so for cash buyers it is is good time to buy, also worth putting in lower offers than the asking price as in many cases any reasonable offer will be accepted.
> Prices are lower in the outlying villages and for anyone wanting to get away from the 'little England brigade' there are some excellent bargains to be had now.
> ...


Hi Veronica,

Thank you for your thoughts, which mirror my own conclusions very closely. We have a number of resale properties which we want to have a look at and who knows, one may be right for us! We hope to visit in December just before Christmas for a week to look at some options and also to get a feel for a short term rental with our target date of April in mind. Further visit end of February also planned to firm up anything we have seen. :confused2:

Hopefully this will enable us to be fairly sure of where we want to be at least initially and to have some form of accomodation available and ready for us when we move.

Thanks to all for your suggestions which are much appreciated and have helped to sharpen our thinking - keep it coming!

Regards,

David

:clap2:


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## davidogden (Oct 9, 2012)

David

I am also working on a budget for moving next year nad think your figures are in the ball park but have two questions, for the first time in my life I am moving from a cheaper country to a more expensive one at present I spend 350 euro a month on food for 3 people in the Philippines, buying localy at markets plus some goodies at supermarket.I am trying to get an idea what this would equate to in Cyprus.

As I am approaching pension age I am looking for advice on affordable health cover for a couple of years

I also have schooling to attend to for a 10 year old which i suspect is a high budget item, looking at the American School in Paphos


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## buster12 (Oct 9, 2012)

davidogden said:


> David
> 
> I am also working on a budget for moving next year nad think your figures are in the ball park but have two questions, for the first time in my life I am moving from a cheaper country to a more expensive one at present I spend 350 euro a month on food for 3 people in the Philippines, buying localy at markets plus some goodies at supermarket.I am trying to get an idea what this would equate to in Cyprus.
> 
> ...


Hi David,

We are working on a budget of around E450 per month for two adults for food and household, excluding things like electricity etc. This is based around our UK costs modified by observations when we visited Cyprus in September.

No doubt more experienced expats actually living in Cyprus will be able to give us more detailed information - watch this space!

Good luck with your plans - ours are moving forward fast towards a target move date in April.

Best wishes,

David


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## PeteandSylv (Sep 24, 2008)

Without wanting to appear unhelpful could I suggest reviewing past threads on all these topics. They have all been discussed in detail recently and are up to date.

Pete


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## Tupps (Oct 13, 2011)

Hi David, yes like the others rent don't buy, wish we hadn't. Electricity depends on pool or not, we have a pool, don't use aircon, are on code 07 elect tarrif & we still pay 165euro a month elect. Regards Janet


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## buster12 (Oct 9, 2012)

Hi Janet,

Thanks for your comments. We have sold our house (subject to the usual!) within 1/2 day of putting on the market and are once again reviewing the pro's and con's of rent v. buy as it affects what we do about furniture and belongings. What makes you regret buying - wrong area, or what?

Feedback on electricity costs is also useful - thanks!

Best regards,

David


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