What's the cost of of buying property in Cyprus now?

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Nikki Grey 🇬🇧

CEO & Director, Europe Properties

With years of experience in European real estate, Nikki Grey understands the unique appeal of Cyprus as a prime investment destination. At Europe Properties, she facilitates property acquisitions that offer both lifestyle and financial benefits, including access to the island's Golden Visa program. Her insights help investors navigate the Cypriot market, from beachfront villas to lucrative rental properties.

What types of properties can you buy in Cyprus?

Cyprus offers four main property categories for buyers in 2025: apartments, houses, villas, and land plots.

Apartments are the most popular choice for both investors and residents, particularly in city centers like Limassol and coastal areas throughout the island. These properties typically range from one-bedroom units starting around €150,000 to luxury penthouses exceeding €1 million.

Houses include detached, semi-detached, and townhouses that provide more space and privacy than apartments. These properties are especially sought after by families and long-term residents who want garden space and multiple bedrooms.

Villas represent the luxury segment of the Cyprus property market, often featuring sea views, private pools, and high-end amenities. You'll find these properties in both urban settings like Limassol Marina and resort areas across Paphos and Ayia Napa.

Land plots for residential, commercial, or agricultural development are increasingly popular with investors who want to build custom properties or develop projects from scratch.

Which areas in Cyprus are most popular for property buyers right now?

Five key areas dominate the Cyprus property market as of June 2025: Limassol, Larnaca, Paphos, Nicosia, and Famagusta.

Limassol remains the most expensive and dynamic market, attracting luxury buyers and business investors who want premium properties near the financial district and marina. The city's cosmopolitan atmosphere and high-end infrastructure justify its premium pricing.

Larnaca is experiencing the fastest price growth in Cyprus, driven by major infrastructure projects including airport expansions and new residential developments. Property prices here have risen significantly but still offer better value than Limassol.

Paphos continues attracting foreign buyers, particularly British retirees and European investors seeking scenic coastal properties with strong rental potential. The area combines historical charm with modern amenities.

Nicosia, as the capital city, maintains steady demand especially in areas close to universities and business districts. Properties here offer good value for money compared to coastal locations.

Famagusta, including popular areas like Ayia Napa and Paralimni, attracts buyers focused on holiday homes and short-term rental investments due to strong tourism-driven demand.

What are the current property prices per square meter in key Cyprus locations?

What's the total cost breakdown for buying property in Cyprus?

Buying property in Cyprus involves several mandatory fees and taxes that add 3-20% to your purchase price depending on the property type and value.

Legal fees typically cost 1-2% of the purchase price and cover your lawyer's services for due diligence, contract review, and transaction completion. These fees are essential for ensuring a smooth legal process.

Stamp duty applies at 0.15% for properties up to €170,000 and 0.20% above that amount, with a maximum cap of €20,000. This government tax is unavoidable for all property purchases.

Transfer fees range from 3-8% based on property value: 3% for the first €85,000, 5% for €85,001-€170,000, and 8% above €170,000. Resale properties benefit from a 50% reduction, and properties where VAT was paid are exempt from transfer fees.

VAT adds 19% for new properties, but first-time buyers can qualify for a reduced 5% rate on the first 130 square meters if the property is their primary residence and valued under €350,000.

Additional costs include agency fees (2-5%, usually paid by seller), notary fees, land registry fees, and utility connections, typically adding a few hundred euros each.

How have Cyprus property prices changed over the past 5 years?

Cyprus property prices have experienced substantial growth over the past five years, with a cumulative increase of approximately 30% since 2021.

The most dramatic price increases occurred between 2021-2023, when annual growth rates reached 8-10% as international demand surged and supply remained limited. This period saw particularly strong performance in coastal areas and luxury segments.

During 2024-2025, the market has shown signs of stabilization with annual growth slowing to 4.5-6.5%. Apartments continue showing the strongest performance with growth up to 8.8% year-over-year in 2024, while houses experienced more moderate increases of 4-6%.

As we reach mid-2025, increased supply and more balanced market conditions are contributing to this slower but more sustainable pace of price appreciation. Larnaca has emerged as the standout performer during this period, with infrastructure investments driving above-average growth.

It's something we develop in our Cyprus property pack.

What are the price forecasts for Cyprus properties over the next 1, 5, and 10 years?

Cyprus property market forecasts for 2025-2035 suggest continued but more moderate growth compared to recent years.

Short-term forecasts for the next 12 months predict continued moderate growth of 2-5%, with Larnaca and select urban areas likely to outperform due to ongoing infrastructure development and urban regeneration projects.

Mid-term projections for the next five years suggest annual increases of 3-5%, driven by Cyprus's continued appeal as an EU member state with favorable tax policies, growing tourism sector, and climate advantages. Urban redevelopment projects and tourism infrastructure improvements will likely sustain demand.

Long-term forecasts over the next decade indicate Cyprus will remain attractive to international buyers due to its climate, EU status, and lifestyle benefits. However, growth rates are expected to be more gradual as the market matures and supply increases to meet demand.

Regional variations will likely continue, with coastal areas and major cities maintaining premium valuations while emerging areas like Larnaca and selected suburbs offer higher growth potential.

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What mortgage options are available for buying property in Cyprus in 2025?

Cyprus mortgage market in 2025 offers different terms for residents versus non-residents, with interest rates ranging from 3-6% depending on your status and risk profile.

EU residents and Cypriot citizens can access up to 80% loan-to-value financing with interest rates between 3-5% for both fixed and variable rate mortgages. These favorable terms reflect lower perceived risk for local borrowers.

Non-residents and third-country nationals face stricter requirements with 60-70% maximum loan-to-value ratios, requiring 30-40% down payments. Interest rates for this category typically range from 4-6%, reflecting additional risk factors.

Mortgage terms generally span 10-35 years, with most banks setting maximum age at loan maturity between 65-70 years. Some lenders offer better rates for new build properties or if you purchase additional insurance products through their partners.

As of June 2025, several major banks including Bank of Cyprus, Hellenic Bank, and Alpha Bank Cyprus actively offer mortgages to international buyers, though application processes can take 6-12 weeks for approval.

Which areas and property types work best for full-time living in Cyprus?

Choosing where to live full-time in Cyprus depends on your lifestyle preferences, budget, and whether you prioritize urban amenities or coastal relaxation.

Limassol offers the most cosmopolitan lifestyle with excellent restaurants, cultural events, and business opportunities, but comes with the highest living costs and property prices on the island. The city attracts international professionals and entrepreneurs.

Paphos remains extremely popular with expats, retirees, and families seeking a more relaxed coastal lifestyle. The area offers good infrastructure, international schools, and a strong English-speaking community, making integration easier for foreigners.

Larnaca provides an excellent balance of affordability and growing infrastructure, making it attractive for young professionals and families. The city's laid-back atmosphere combined with improving amenities creates good value for money.

Nicosia appeals to those who prefer urban living with access to business districts, universities, and cultural attractions. As the capital, it offers the most comprehensive city services and employment opportunities.

For property types, houses and villas work best for families and retirees who want space and privacy, while apartments suit professionals or smaller households who prioritize location and lower maintenance requirements.

What rental yields can you expect from Cyprus buy-to-let properties?

Cyprus rental market offers attractive yields for buy-to-let investors, with returns varying significantly between short-term and long-term rental strategies.

Short-term rentals generate higher gross yields, particularly in tourist hotspots like Ayia Napa, Protaras, Paphos, and beachfront areas of Limassol. However, these properties require more active management and experience seasonal income variations.

Long-term rentals provide stable, predictable income with lower management costs and less volatility, though yields are typically lower than short-term alternatives. These work well for investors preferring passive income streams.

Limassol apartments, especially those near the seafront or marina, typically yield 4-6% annually for long-term rentals, with luxury properties sometimes achieving higher returns due to premium rents.

Larnaca properties near the airport or beach areas can generate 5-6% yields, benefiting from the city's growing popularity and infrastructure improvements.

Paphos offers 4-5% yields for long-term rentals, with potential for higher returns through short-term holiday rentals during peak season. Nicosia properties in business and university areas typically yield 4-5% annually.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Cyprus versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

What are the smartest property investments for flipping and resale in Cyprus?

Cyprus offers several strategic opportunities for property flipping and resale, with certain locations and property types showing strong appreciation potential.

Larnaca represents the best current opportunity for property flipping due to ongoing infrastructure projects, rising prices, and relatively affordable entry points compared to other coastal cities. New developments in central areas offer particular promise.

Paphos areas like Kato Paphos and Universal continue showing strong demand from international buyers, with high rental yields supporting property values. Tourism growth and retiree migration sustain long-term demand.

Budget-friendly areas including Paralimni, Deryneia, Oroklini, and Kiti offer lower entry prices with appreciation potential as development spreads from major cities. These locations benefit from spillover demand as prime areas become expensive.

New developments in Larnaca, city-center apartments in Limassol and Nicosia, and villas in emerging Paphos neighborhoods represent the smartest current buying opportunities for investors focused on capital appreciation.

It's something we develop in our Cyprus property pack.

Can you provide recent examples of actual purchase prices across Cyprus?

How do Cyprus property costs compare to Portugal, Spain, and Greece?

Cyprus property prices position the island competitively within the Mediterranean market, offering better value than some destinations while commanding premiums over others.

Portugal's prime locations like Lisbon and the Algarve typically cost €4,000-7,000 per square meter for apartments, making Cyprus more affordable in comparison. However, Portugal's interior regions offer significantly cheaper options than anywhere in Cyprus.

Spain's Costa del Sol and Barcelona command €3,000-6,000 per square meter for quality apartments, placing Cyprus pricing in a similar range for comparable coastal properties. Spain offers more budget options in non-coastal areas.

Greece presents mixed comparisons, with Athens apartments costing €2,500-4,500 per square meter and Crete properties ranging €2,000-3,500 per square meter. Cyprus generally costs more than most Greek locations except premium Athens neighborhoods.

Cyprus rental yields of 4-6% remain competitive across all these markets, with particular strength in tourist areas. The island's EU membership, English-speaking environment, and favorable tax policies often justify slightly higher property prices.

Currency stability, legal system reliability, and ease of property ownership for foreigners give Cyprus advantages over some competing destinations, supporting its pricing premium in the Mediterranean market.

It's something we develop in our Cyprus property pack.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. Gordian Guide to Buying Property in Cyprus
2. Developers Cyprus Property Investment Guide
3. Properstar Cyprus House Prices
4. A Place in the Sun Cyprus Buying Costs
5. Your Overseas Home Cyprus Costs
6. Global Property Guide Cyprus Price History
7. Cyprus Property Gallery Mortgage Guide 2025
8. Cyprus Mail Property Market Yields
9. Investropa Cyprus Area Guide
10. TechBullion Cyprus vs Spain Portugal