The traditional market drivers continue to dominate Cyprus real estate: tax incentives, lifestyle citizenship by investment program cyprus opportunities, and the potential for healthy ROIs. However, relocating families are also driving demand.

Property prices and rents continued to rise in the first quarter of 2023, according to the Ask Wire Cyprus Property Index. The report analyzes the latest trends in residential, commercial, and holiday properties.
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Cyprus is a prime real estate investment destination offering excellent opportunities on the stunning beachfront and in the heart of the city centres. It’s an island that offers a safe, European lifestyle with local friendly hospitality and 300 days of sunshine every year. It’s a popular place for relocating businesses and their employees due to the country’s attractive tax benefits.

The country’s housing market recovery accelerated in recent years, driven by foreign interest. Prior to the Covid-19 pandemic, property sales increased by 12.2% in 2019, which was the biggest rise since 2008. This was partly driven by the fast-track permanent residency programme that allows non-Europeans to gain a EU passport for themselves and their families by purchasing a home worth at least 300 000 euros or more.

This property investment programme has been a strong stimulant for the Cypriot economy, boosting domestic demand and contributing to GDP growth. Furthermore, the country is becoming a hub for global business headquarters relocations. This, in turn, leads to increased demand for offices and homes for staff.

Despite the fact that some segments of the property market have been affected by the pandemic, it is expected that the industry will continue to grow. Especially, the demand for properties in the central and southern parts of the island remains strong. This is due to the fact that a high number of people are considering relocating to the areas that are closer to their workplace.

As for the residential sector, the demand for apartments continues to increase. However, there are also many people who prefer to buy villas. Generally, these offer 3-4 bedrooms, gardens, private or shared pools (depending on whether they are part of a complex), parking and BBQ areas.

The rental market in Cyprus has also seen a significant increase in demand. In the capital city of Nicosia, apartment rents have risen by 2%, while house rents have climbed by 9.9%, according to Wire FS. In addition, gross rental yields are higher in Nicosia and Limassol than in other parts of the country. This makes these cities the best locations for buying a rental property in Cyprus.
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The island of Cyprus offers a plethora of fascinating blogs for those looking to learn more about the real estate and development scene in Cyprus. In addition to providing up-to-the-minute news on the latest developments, these blogs are also a great source of inspiration for those thinking of investing in property in the country.

Cyprus is a highly sought-after destination for foreign investors thanks to its favourable market conditions, beautiful landscapes and rich history. However, it is important to note that real estate investment in the country comes with a number of risks, including a volatile currency and uncertain political climate. In order to minimize these risks, it is important for potential investors to research the local market thoroughly.

In this blog post, we will take a closer look at the real estate sector in Cyprus, exploring the various factors that could affect its future growth and stability. We will also discuss some of the latest trends in the market and highlight some of the best locations for investing in real estate in the country.

Following a significant drop in demand due to the Covid-19 pandemic in 2020, the island's real estate market began to recover last year. By the end of 2021, total residential sales were up by 30% compared to the same period in 2019. The recovery was driven by strong interest from non-EU buyers, with demand strongest in Paphos and Nicosia districts.

The island's property market has been facing some challenges in recent years, including a global halt to travel and investments, the discontinuation of its CIP program, and rising raw material and construction costs. Despite these challenges, the market remains attractive to international investors and is expected to continue its steady growth in 2023.

The island's housing market is continuing to recover in 2022, with new sales up by 28% compared to the same period last year. This is largely due to the strong demand from non-EU buyers, with most of them coming from the UK. The island is considered an excellent location for investment in the luxury segment, with high-end villas and apartments in top locations selling well.
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As the number of property sales has continued to rise, there is a growing demand for residential properties. A lot of this growth has been attributed to foreign buyers who are eager to invest in Cyprus real estate. This is a good sign as it will help boost the economy and stimulate employment. However, it is important for investors to consider the risks involved in investing in a property.

According to the Department of Lands and Surveys, property sales have increased significantly in 2022 and the first quarter of 2023. The majority of the sales have been to non-EU citizens.

This is an excellent sign for the housing market and shows that there are still many people interested in purchasing properties in Cyprus. This is also due to the fact that Cyprus continues to offer many attractive incentives for foreign investors such as the permanent residency by investment program. In addition, the country’s stable economy and low cost of living make it an ideal location to purchase a home.

While the Cyprus housing market has seen a significant increase in demand, it is still a relatively new market with a lot of room for growth. This is especially true for the city of Limassol. The city is undergoing many renovations and construction projects that are helping to boost the local economy. Several large-scale developments are in the works, and the city is expected to see more demand for apartments in the future.

It is also worth noting that prices for houses are currently lower than those of apartments. This is likely because houses have a more traditional layout and are more difficult to convert into an apartment. However, apartments are becoming more popular among buyers because they offer more space for a similar price.

The RPPI bottomed out in 2016 and is now slowly climbing again. However, prices are still 20% less expensive than in 2010. The house price index is higher in Nicosia and Limassol, while the apartment index is slightly lower in Famagusta and Larnaca.

Overall, the market has been resilient during the current pandemic and is expected to continue to grow. It is important for investors to research the market and seek professional guidance before making a purchase. This will help ensure that they get the best deal and maximize their investment.
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The real estate sector in Cyprus is growing rapidly and the market recorded a considerable upswing during the first quarter of 2023, mainly driven by increased demand. The residential property market showed a particular upturn, with prices rising considerably in the apartment sector. The surge in demand was also fueled by the new law that provides a number of benefits to buyers.

According to the latest figures, the total value of property sales in Cyprus reached a record high during the second quarter of 2022. The figure represents an increase of more than a third compared to the same period in 2021. Moreover, the sales of commercial properties increased as well.

In the past few years, a significant number of international investors have invested in Cyprus. This is primarily due to the island’s healthy ROI potential and its attractive tax incentives for non-Europeans. Moreover, the Permanent Residency through investment program offers foreign nationals and their families with a unique opportunity to acquire a European passport and citizenship through a one-off investment.

Despite the recent turmoil and uncertainty in the global economy, the Cyprus real estate market is expected to continue growing steadily. The traditional market drivers, such as tax incentives, lifestyle opportunities, and a healthy ROI potential, will continue to attract investors. In addition, the island’s close proximity to major markets in the Middle East and Europe will make it an ideal location for businesses looking to expand their operations.

In addition, the recently introduced visa regulations are expected to boost investor interest in the Cypriot property market. These changes will help to streamline the process for obtaining a visa to purchase and live in Cyprus. This will be particularly beneficial for Russian and Chinese investors, who can now buy property in Cyprus without the need to meet minimum investment requirements.

Lastly, the Cyprus government has recently announced that it will be introducing a series of measures to combat property fraud in the country. This will include setting up an investigation unit to investigate reports of property fraud and imposing penalties on companies that commit offences. Furthermore, the country will be establishing an online portal to report property fraud.