Property prices in Cyprus continue to increase, making the housing market particularly expensive, at the time when the European Union has characterized housing as a “social crisis” and while the war of the USA–Israel in Iran is ongoing.
According to data of the Central Bank, the apartment price index in the fourth quarter of 2025 reached a historic high of 123.9 units, surpassing even the levels of 2008.
Compared to 2015, prices increased by 74.5% over a decade, while the index is about 60% above the low that was recorded in the previous period.
The upward course is particularly evident in recent years, after the decreases that had been recorded during the period of the economic crisis.
The increase is attributed mainly to the stagnation of the supply of new residences and to the strengthening of demand, particularly from abroad, but also from domestic buyers. At the same time, the increase of building raw materials contributed to the further increase of construction cost and prices.
The picture διαφοροποιείται by district, with Limassol and Larnaca recording the largest increases over a decade, while lower increases are observed in other areas. The upward course is particularly evident in recent years, after the decreases that had been recorded during the period of the economic crisis.
The Central Bank attributes the strengthening of the market also to the gradual easing of the monetary policy of the ECB from mid-2024, which led to lower interest rates and strengthening of housing loans. The demand for owner-occupation, investment purchases and short-term rentals, in combination with the positive course of tourism and tertiary education, maintain the strong activity in the sector.
Source: Φιλελεύθερος
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