A recent report from the Cyprus Ministry of Interior shows a significant increase in residential property sales, indicating strong demand in the market. However, experts are expressing concerns about the stability of the property market in 2025.
Risks of price increases due to high demand and limited supply
Experts note that the current high demand, coupled with limited supply and delays in the introduction of new properties, is contributing to the price growth. According to the Ministry, apartment sales are significantly ahead of house sales, which reflects the stable popularity of this type of property.
According to the Land Department, in the first nine months of 2024, property sales increased by 19.2% compared to the same period in 2023. From January to September, 5,253 residential property transactions were registered, of which 4,335 were apartments and 918 were houses. This trend is observed in all areas of Cyprus, including those where interest from foreign investors is minimal.
Condo sales are up 30% nationwide, while home sales are down 9.2% compared to the same period in 2023. The trend is attributed to high property purchase costs and difficulties in financing large down payments on homes.
Sales data and their cost in different areas
During the period from January to September 2024, the following figures for apartment and house sales were recorded in various areas of Cyprus:
| District | Apartments | At home | |||||||
| Volume | % | Price (€) | % | Volume | % | Price (€) | % | ||
| Nicosia | 1,194 | 29 | 236.9 million | 25.2 | 161 | 3.2 | 49.8 million | 2.6 | |
| Limassol | 1,469 | 17 | 820 million. | 41 | 237 | -18.5 | 165 million. | 6 | |
| Larnaca | 1,113 | 35.4 | 218.8 million | 39.5 | 191 | 14.4 | 64.3 million. | 6.2 | |
| Pathos | 416 | 42 | 138.4 million. | 31.4 | 243 | -23.1 | 149.6 million | -16.8 | |
| Famagusta | 143 | 46 | 249.1 million | 62.1 | 86 | 6.2 | 28.8 million | 10.3 | |
| Cyprus Total | 4,335 | 27.7 | 1.45 billion | 38.1 | 918 | -9.2 | 457.2 million. | -2.8 | |
The Chairman of the Association of Property Appraisers, Polis Kourosidis, noted that the data clearly points to high demand, which could be a warning for the future of the market. Demand is likely to continue next year, but the supply of new properties is insufficient. Delays in obtaining permits due to bureaucratic procedures in the new district administrations, which began operating in June 2024, could worsen the situation, which, in a situation of constant demand, could lead to even higher prices.
Buyers profile in the real estate market
Polis Kourosidis also provided information on the profile of buyers:
- Overall in the country, about half of the buyers are Cypriots and the other half are foreigners.
- In Nicosia, 90% of buyers are locals.
- Foreign buyers are particularly active in Larnaca and Paphos, where Israelis stand out among the buyers; they are less active in Limassol.
- In Famagusta, real estate transactions are few and far between and mostly involve the purchase of holiday homes.
