According to the latest Ask index Wire for Q4 2024, the Cyprus residential property market shows mixed dynamics. The sale and rental prices of apartments continue to increase due to stable demand and a well-developed tourism sector. However, other segments, including warehouses, commercial property and offices, showed a decrease, reflecting changing market conditions.
Despite the emergence of new residential supply, which is helping to ease pressure on prices and rental rates, the market continues to be impacted by high mortgage rates and rising construction costs. Overall, stabilization is observed, with key prospects related to segments focused on tourism and local demand.
Dynamics of real estate sale prices
The Q4 2024 Index highlights the varying trends in property values across Cyprus.
On an annual basis:
- Apartment prices increased by 1.3%.
- Holiday apartments increased in price by 0.9%.
- Warehouses fell in price by 2.3%.
- Commercial real estate prices fell by 1.7%.
- Houses fell in price by 0.3%.
- Office space prices fell by 0.2%.
- Holiday villas lost 0.6% of their value.
On a quarterly basis:
- The cost of apartments increased by 0.6%.
- Houses and office space prices rose by 0.2%.
- Commercial real estate prices fell by 0.9%.
- Warehouses lost 0.5% of their value.
- Holiday villas fell in price by 0.2%.
- Prices for holiday apartments remained stable.
At the district level, price declines were seen across Cyprus, with Larnaca proving to be the most stable region.
Dynamics of rental property prices
The rental market also showed mixed results.
On an annual basis:
- Apartment rents increased by 1.5%.
- Vacation rentals increased by 1.1%.
- Warehouse and commercial real estate rents fell by 2.0%.
- House rents fell by 0.8%.
- Office rent fell by 0.6%.
- Holiday villa rentals remain unchanged.
On a quarterly basis:
- Vacation rentals increased by 1.1%.
- Apartment rents increased by 0.2%.
- Rents for homes, warehouses and offices remained stable.
At the district level, apartment rents fell in Nicosia and Limassol, while Paphos recorded a 5% increase in rents.
