A 16% increase compared to 2020 was recorded in 2021 in the value of transactions in the residential sector, reaching 2.4 billion euros.
According to the PwC Cyprus report on the Cyprus property market, 10,600 apartments and houses (6,500 apartments and 4,100 houses) were sold in 2021, showing an overall increase of 23% compared to 2020.
This fact shows that the cost of purchased housing units was on average lower compared to 2020.
Residential property prices are on the rise
The housing sector (residential real estate) accounted for 65% of total real estate transaction value in 2021, compared to 71% in 2020. In particular, 35% of sales were for apartments and 30% for houses. The average monthly sales volume recorded in 2021 was 317 million euros compared to 251 million euros in 2020, a decrease of 26%.
During 2020, the year of the pandemic, monthly trading values proved to be quite volatile due to the effects of the lockdown in March-April 2020 and the sharp increase caused by the end of the investment program in October.
Sales of apartments for €1.3 billion
According to PwC analysis, the value of transactions for 6,500 apartments in 2021 reached €1.3 billion from €1.1 billion for 5,200 apartments in 2020.
In terms of price range, the majority of apartments (5,192) cost less than 250,000 euros, 601 apartments were sold for prices ranging from 250,000 euros to 500,000 euros, 177 apartments were sold for prices from 500,000 euros, some apartments priced over 1 million euro.
House prices below 250,000 euros
The value of 4,100 homes sold in 2021 rose to 1.1 billion euros from 1 billion euros for 3,400 homes sold in 2020.
Most houses (1,913) cost less than 250,000 euros, 1,186 houses were sold for prices between 250,000 and 500,000 euros, for 262 houses prices ranged from 500,000 euros to 1 million euros, and in addition to 1 million euros, 96 houses were sold.
The earth leads the way
Real estate transactions related to land (plots, land plots) accounted for about 50% of the total volume of transactions in 2021, an increase in apartments – 28%, houses – 16%.
In terms of transaction value, land continues to be the main catalyst for growth in the real estate market, accounting for 44% of growth, followed by apartments (29%) and houses (14%).