08.12.2022
Residential real estate continued to perform well in the third quarter of 2022, with consistent positive trends in both homes and apartments holding up well. At the same time, the value of most categories of property has increased, although it remains low compared to the end of 2009.
This is the result of the quarterly real estate price index RICS Cyprus in conjunction with KPMG Cyprus, according to which in the commercial sector all categories showed growth to a greater or lesser extent. In addition, as offices take center stage, the commercial real estate sector is showing moderate growth.
Apartments see the biggest increase
On an annualized basis, property values recorded an increase in the third quarter of 2022 for all types of properties in the Cypriot market.
The largest annual increase of 11.48% was recorded for apartments, followed by offices with 7.92%, houses with 7.56%, warehouses with 4.26% and commercial properties with 2.32%.
Overall good performance across all property types is evident in the third quarter of 2022, with free Famagusta shows the largest percentage growth compared to the previous quarter of the year, especially in apartments (10%) and houses (7%).
In contrast, Larnaca saw the smallest increase in property values (2% for apartments, 3% for houses and 1% for commercial properties).
Real estate thrives in the free Famagusta
The top-performing property type is again apartments, with quarterly growth of up to 10%. This is followed by offices with a yield of up to 6% and houses with a yield of up to 7%. It is noted that the largest increase was found in free Famagusta in all three categories.
In contrast, retail and warehouse properties remain at a disadvantage relative to other categories.
The largest drop occurred in Paphos in both warehouses (-0.45%) and retail (-0.35%).
