The pace of residential property price increases in Cyprus is continuing to ease, according to the Central Bank of Cyprus (CBC). In its latest Quarterly Residential Property Price Index report for Q4 2024, the CBC points to two major headwinds: persistently high construction costs and elevated borrowing rates.<\/p>\n
While prices are still rising, the rate of increase has cooled compared to previous quarters, especially for apartments. The Apartment Price Index saw a sharper slowdown than the House Price Index, indicating that demand for flats may be softening more quickly.<\/p>\n
This softening trend is mirrored in other indicators too \u2014 like the decrease in sales documents filed and the increase in available properties for both rent and sale, suggesting a market that’s moving toward stabilization after a period of intense growth.<\/p>\n
The CBC highlights two ongoing challenges:<\/p>\n
High construction costs<\/strong> continue to put pressure on developers<\/p>\n<\/li>\n Higher interest rates<\/strong> are making home loans less attractive, which affects buying power across the board<\/p>\n<\/li>\n<\/ul>\n These factors have noticeably reduced activity and growth across much of the real estate sector.<\/p>\n The only district to buck the trend in Q4 2024 was Paphos, where prices surged by 13.4% over the year. Here’s a look at how other areas performed:<\/p>\n \u05e0\u05d9\u05e7\u05d5\u05e1\u05d9\u05d4<\/strong>: +0.7% (slowed)<\/p>\n<\/li>\n \u05dc\u05d9\u05de\u05e1\u05d5\u05dc<\/strong>: +4.4% (slowed)<\/p>\n<\/li>\n \u05dc\u05e8\u05e0\u05e7\u05d4<\/strong>: +6.5% (slowed)<\/p>\n<\/li>\n \u05e4\u05de\u05d2\u05d5\u05e1\u05d8\u05d4<\/strong>: +9.2% (slowed)<\/p>\n<\/li>\n<\/ul>\n On an annual basis for houses specifically:<\/p>\n \u05e4\u05d0\u05e4\u05d5\u05e1<\/strong> again led the way with a 14.7% increase<\/p>\n<\/li>\n \u05dc\u05d9\u05de\u05e1\u05d5\u05dc<\/strong>: +5.1%<\/p>\n<\/li>\n \u05e4\u05de\u05d2\u05d5\u05e1\u05d8\u05d4<\/strong>: +7.8%<\/p>\n<\/li>\n \u05dc\u05e8\u05e0\u05e7\u05d4<\/strong> held steady at +6.1%<\/p>\n<\/li>\n \u05e0\u05d9\u05e7\u05d5\u05e1\u05d9\u05d4<\/strong> actually saw a decline of -0.4%<\/p>\n<\/li>\n<\/ul>\n For apartments, every district saw a reduced pace of growth:<\/p>\n \u05e0\u05d9\u05e7\u05d5\u05e1\u05d9\u05d4<\/strong>: +2.6%<\/p>\n<\/li>\n \u05dc\u05d9\u05de\u05e1\u05d5\u05dc<\/strong>: +5.5%<\/p>\n<\/li>\n \u05dc\u05e8\u05e0\u05e7\u05d4<\/strong>: +8.7%<\/p>\n<\/li>\n \u05e4\u05d0\u05e4\u05d5\u05e1<\/strong>: +12.1%<\/p>\n<\/li>\n \u05e4\u05de\u05d2\u05d5\u05e1\u05d8\u05d4<\/strong>: +14.2%<\/p>\n<\/li>\n<\/ul>\n Meanwhile, sales documents \u2014 a good proxy for buying activity \u2014 increased in all districts except Nicosia and Famagusta, where they declined.<\/p>\n The CBC\u2019s property price indices are compiled by the Real Estate Unit (REU) within the Economic Analysis and Research Department, in collaboration with major Cypriot banks and KEDIPES. These indices rely on valuation data dating back to 2006, collected by banks during mortgage-related transactions, making them a reliable reflection of Cyprus\u2019s real estate market.<\/p>\n The data covers residential properties across all regions under the Republic of Cyprus\u2019s control: Nicosia, Limassol, Larnaca, Paphos, and Famagusta.<\/p>\n Source: Stockwatch.com.cy<\/em><\/p>","protected":false},"excerpt":{"rendered":" The pace of residential property price increases in Cyprus is continuing to ease, according to the Central Bank of Cyprus (CBC). In its latest Quarterly Residential Property Price Index report for Q4 2024, the CBC points to two major headwinds: persistently high construction costs and elevated borrowing rates. Overall Trend: Growth Slows Down While prices […]<\/p>","protected":false},"author":9,"featured_media":114027,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[211],"tags":[],"_links":{"self":[{"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/posts\/114026"}],"collection":[{"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/comments?post=114026"}],"version-history":[{"count":1,"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/posts\/114026\/revisions"}],"predecessor-version":[{"id":114028,"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/posts\/114026\/revisions\/114028"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/media\/114027"}],"wp:attachment":[{"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/media?parent=114026"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/categories?post=114026"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lamaisonestates.com\/he\/wp-json\/wp\/v2\/tags?post=114026"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Regional Breakdown: Paphos Stands Out<\/h3>\n
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About the Index<\/h3>\n