Cyprus Real Estate Market and Values
The property market in Cyprus saw an increase in property demand from 2004-2008, which led to developers increasing supply to meet the demand. However due to the global financial downturn, the demand for real estate dropped, leaving many completed properties available in 2009. Without demand, the prices reduced significantly. However, from 2016 to 2018 there has been a constant increase in demand and the number of transactions taking place across the island. Such an increase in demand has helped prices to stabilize and has started showing annual increases.
The main element of a healthy Cyprus real estate market has always been residential property and specifically, within the luxury segment, second homes.
The property options in Cyprus that offer buyers the highest value for money include:
- Seafront properties
- The areas in highest demand provide lifestyle aspects (i.e. beaches) and infrastructure, which are areas such as Limassol, Pafos, and Ayia Napa
- Integrated master planned communities
- These usually have a golf course or community at their core, offering properties that cater to all types of owners and include locals, new residents, second home owners and vacationers
The price per m2 for properties of this nature is regularly between EUR 10,000 - EUR 22,000 depending on the location and building specifications. A good figure to maintain is around EUR 10,000 as you can be comfortable knowing there is room for appreciation.
Most foreign buyers purchase properties in the above mentioned classifications, as opposed to purchasing a property in the capital city.