18.02.2023
There was an increase in prices for the purchase and rental of apartments and cottages for recreation. It is worth noting that on an annualized basis, holiday apartments posted the largest growth of all property types in terms of rents, ahead of residences and shops.
Leisure Property Rising Trend
According to the RICS Cyprus Property Price Index with KPMG in Cyprus, the value of resort property (i.e. apartments and holiday homes) was on the rise in the fourth quarter of 2022.
In the fourth quarter of 2022, compared to the corresponding quarter of 2021, vacation homes showed an increase of 9.65%, and vacation apartments – 8.31%.
By province
Comparing prices by province, the largest increase over the past four months in holiday homes was recorded in Larnaca (3.70%). It is followed by Famagusta (2.64%), then Paphos (2.12%) and finally Limassol, which has very little growth (0.05%).
In terms of holiday apartments, the largest increase in the last quarter was recorded in Famagusta (2.40%). Paphos is in second place (1.75%) and Larnaca is third (1.35). Limassol is the only province to experience a drop in holiday apartment prices in the fourth quarter of 2022 (-0.80%).
Rental income by sector
On a year-over-year basis, the cost of renting real estate has been increasing overall, with the largest increase in holiday apartments (20.88%).
This is followed by objects of the residential sector, first apartments (19.60%) and a little behind the house (19.21%); then holiday homes (13%), offices (10.09%).
Finally, warehouses (1.46%) and commercial real estate (0.94%) showed the least growth in rental value.
