Cyprus Property Market Report: What’s Really Happening to Prices in 2025–2026
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Are Real Estate Prices Falling in Cyprus? The short answer is — no. Real estate prices in Cyprus are not falling; they have continued to grow for almost ten consecutive years.
The market has demonstrated steady growth since 2016, driven by consistent demand, the activity of foreign buyers, and Cyprus’s attractiveness as a reliable European investment jurisdiction. Owing to predictable development and high liquidity, Cyprus property remains one of the strongest long-term investment segments.
In this article, we will examine in detail whether prices truly continue to rise and answer the main question using real data and official statistics.
Real Estate Market Statistics of Cyprus
Q1 — First Quarter of 2025
According to the RICS Cyprus Property Price Index (in cooperation with KPMG), the Cyprus real estate market started 2025 with confident growth.
- Apartment prices increased by 3.88% year-on-year, while houses showed growth of around 2%.
- Commercial property also demonstrated positive dynamics: office prices grew by 2.84%, and warehouses by 1.04%.
According to the Central Bank of Cyprus report for Q1 2025, the overall residential property price index grew by 4.8% year-on-year. House prices rose by 5.6%, and apartment prices by 3.5%.
Q2 — Second Quarter of 2025
In Q2, growth continued, and although it was more moderate, the market remained extremely positive across most segments. RICS/KPMG reported “moderate but stable price increases” for apartments and houses, which once again led the growth.
- Apartments +4.23% year-on-year
- Houses +2.84%
- Warehouses +2.08%
- Offices +3.36%
Quarter-on-quarter (compared with Q1 2025), growth was also present: houses +2.26%, warehouses +1.80%, apartments +1.28%. Residential properties (houses and apartments) were the growth leaders.
Q3 — Third Quarter of 2025
In Q3 2025, according to RICS and KPMG in Cyprus, the real estate market demonstrated even more noticeable growth. The annual rate became the strongest since the beginning of the year.
- Apartment prices increased by +4.50% compared with Q3 2024
- Houses grew by +4.11%
- Warehouses by +3.69%, and office spaces by +3.09%
Quarter-on-quarter in Q3, warehouses and apartments showed the most significant price increases, and in certain regions — especially Larnaca — growth exceeded the national average. Larnaca has become the leading region in new construction and infrastructure development over the past two years.
Combined Q1–Q3 data confirms: there is no price decline in Cyprus real estate. The market remains stable, growing, and attractive for investors.
Why Property Prices in Cyprus Continue to Grow
✔️ Stable demand for housing for Permanent Residency through investment (from €300,000);
✔️ Strong inflow of foreign buyers and relocation of international businesses;
✔️ Controlled pace of construction (the market is not oversupplied);
✔️ Growing rental rates: apartments €900–€1,800/month; villas €2,000–€5,000/month;
✔️ Rental yields up to 10% annually;
✔️ One of the most tax-advantaged EU countries for investors
Average Real Estate Prices in Cyprus
| Region | New Builds (€/m²) | Seafront / Coastal (€/m²) | Villas (€/m²) |
| Larnaca | €2,600 – €3,500 | €3,800 – €5,200 | €3,500 – €6,500 |
| Paphos | €2,500 – €3,600 | €3,500 – €5,000 | €4,000 – €6,000 |
| Limassol | €3,800 – €6,000 | €7,000 – €15,000 | €6,000 – €12,000 |
| Nicosia | €2,200 – €3,000 | —– | €3,000 – €5,000 |
Cyprus Property Market Forecast 2026
Analysis of 2025 data shows that there is no decline in real estate prices in Cyprus, and no prerequisites for a price drop are observed for 2026 either. On the contrary, the Cyprus property market continues to follow a stable and predictable growth trajectory. With moderate but steady demand, Cyprus remains one of the most attractive and reliable markets in the EU.
In 2026, experts expect a continuation and strengthening of the trends observed in 2025:
- growth of rental rates, driven by strong demand for housing and Permanent Residency;
- appreciation of high-quality new builds, especially energy-efficient properties;
- sustained interest in Larnaca as the most rapidly developing region;
- stabilization, but not reduction, of prices in Limassol, which remains a premium market with a high entry threshold.
Real Estate Lawyers in Cyprus — Feod Group
If you are considering purchasing or investing in real estate in Cyprus, the Feod Group team will guide you through the entire process. Feod Group has been assisting clients in Cyprus since 2007 and offers a full range of services:
✔️ bank account opening
✔️ legal due diligence of the property and developer
✔️ contract review and preparation
✔️ tax and investment planning
✔️ full “turnkey” transaction support
✔️ Cyprus Permanent Residency through investment
We offer online consultations as well as personal meetings in Larnaca and Limassol.
Book a consultation
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Griva Digeni 49, Chrystalla Court 1st Floor Office 11, 6036 Larnaca, Cyprus
11B Lyuteranska St., off. 23, 01024
