From January 2024
More than 9,210 properties were sold in Cyprus.
Despite repeated increases in interest rates on loans and uncertainty in international markets, this is the best period for sales since the record year 2008, when 10,152 purchases and sales of Cypriot real estate were concluded.
- Compared to the same period in 2023, sales increased by 1.8%, and pre-pandemic 2019 by 42.7%.
According to the Land Department of the Republic of Cyprus, the sales leader in 2024 remains Limassol, where more than 2,953 properties changed owners. The second place in the ranking is occupied by Nicosia (2072 objects), the third is Larnaca (1994). In Paphos, over the seven months of this year, about 1,780 houses, apartments and offices were sold, in the free territories of Famagusta – a total of 411 objects.
However, the advantage of Limassol becomes less and less obvious every month. The leader in sales growth in the real estate market for the seven months of 2024 was Nicosia (+23.6% compared to the same period last year). In second place is Larnaca (+12.2%). In other cities there is a decline in sales: in Limassol by 4.9%, in Paphos – by 13.7%, in St. terr. Famagusta – by 4.6%.
Economist Tasos Yasemidis explained that in 2022-2023, the growth in property sales was facilitated by interest from international companies who decided to transfer their offices and staff to Cyprus. Gradually, demand began to exceed supply. This became especially noticeable in Limassol. Therefore, investors began to explore offers in Nicosia and Larnaca.
According to Tasos Yasemidis, Cypriot developers could not meet the demand in the real estate market not because they did not want to, but because of a significant increase in prices for building materials and delays in the process of issuing construction licenses.
“Sales growth appears to be slowing this year as a surge in demand has led to rising rents, queues for private schools and increased traffic congestion,” explained the Cypriot economist.
The Central Bank of Cyprus recorded a slowdown in price growth in the first quarter of 2024. As the Central Bank noted in its report, recently the number of housing properties for rent and sale on the Cyprus real estate market has increased. Particularly noticeable growth is observed in Limassol. Central Bank analysts predict that an increase in supply in the housing market, combined with a gradual decrease in construction costs, will contribute to a further slowdown in real estate price growth.
