Cyprus or Greece where to buy?

Authored by the expert who managed and guided the team behind the Cyprus Property Pack

Everything you need to know before buying real estate is included in our Cyprus Property Pack

Who is the author of this content?

INVESTROPA

A team specialized in real estate investing in European countries

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Cyprus. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At INVESTROPA, we explore the Cyprus real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Limassol, Paphos, and Nicosia. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

Fact-checked and reviewed by our local expert

✓✓✓

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's the average cost of property per square meter in Cyprus compared to Greece?

Cyprus property prices average €2,518 per square meter as of September 2025, while Greece averages €2,600 per square meter nationally.

In Cyprus, Limassol and coastal areas command the highest prices, often exceeding €3,000 per square meter for prime locations. Larnaca and Nicosia offer more affordable options, typically ranging from €2,000 to €2,500 per square meter for residential properties.

Greece shows significant regional variation, with Athens reaching €4,052 per square meter in southern suburbs and Thessaloniki averaging €2,558 to €2,604 per square meter. Popular islands like Santorini and Mykonos command premium prices, often exceeding €4,000 per square meter for properties with sea views or prime locations.

Both markets have experienced steady growth in 2025, with Cyprus showing a 6% annual increase while Greece demonstrates more modest 1.8% growth, indicating market stabilization after previous rapid appreciation.

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

How much higher are property taxes in Cyprus or Greece, and what's the process for paying them?

Greece imposes significantly higher ongoing property taxes compared to Cyprus, which abolished its annual property tax in 2017.

In Cyprus, buyers pay stamp duty on a sliding scale: 0% on the first €5,000, 0.15% up to €170,000, then 0.20% above €170,000, with a maximum of €20,000 per contract. VAT applies at 5% for the first 130 square meters of new primary residences, otherwise 19% for new builds. Resale properties incur transfer fees of 3-8% instead of VAT.

Greece requires a 3.09% transfer tax on resale properties, paid before notary contract signing. New builds attract 24% VAT, though this is currently suspended until end-2025. The annual ENFIA property tax ranges from €2 to €16.2 per square meter for buildings, plus municipal surcharges.

Cyprus taxes are paid to the Inland Revenue within 30 days of contract signing, while Greek taxes go through local tax offices, often integrated with utility billing for municipal levies. Rental income in Greece faces progressive taxation: 15% up to €12,000, 35% up to €35,000, and 45% above that threshold.

What are the residency requirements for foreign buyers in Cyprus and Greece?

Requirement	Cyprus	Greece
Minimum Investment	€300,000 + VAT	€250,000
Income Requirement	€50,000 + €15,000 spouse + €10,000/child	€24,000+ (non-Golden Visa routes)
Minimum Stay	No requirement	No requirement
Permit Validity	Up to 5 years, renewable	5 years, renewable
Family Inclusion	Spouse and dependent children	Spouse and dependent children
Processing Method	Government residency portal	Digital filing system (2025)
Required Documents	Title deed, income proof, health insurance	Purchase documents, income proof, insurance

How long does it take to buy a property in Cyprus versus Greece, from start to finish?

Cyprus offers a significantly faster property purchase timeline, completing transactions in 2-3 months compared to Greece's 9-12 month process.

The Cyprus process includes contract signing, due diligence, payment, and title deed transfer within this timeframe, making it attractive for buyers seeking quick completion. The streamlined procedures and efficient government systems contribute to this speed advantage.

Greece's extended timeline primarily results from lengthy legal paperwork processes and bureaucratic procedures. Urban centers like Athens and Thessaloniki may complete faster at 5-7 months, but rural or island properties often take the full 9-12 months. The time includes finding suitable properties, legal checks, notary procedures, and final registration.

Both countries require thorough due diligence, but Cyprus has modernized its systems more effectively. Foreign buyers should factor these timelines into their investment and relocation planning, especially if seeking residency permits tied to property purchase completion.

Are there specific local laws or regulations regarding foreign ownership of property in either Cyprus or Greece?

Both Cyprus and Greece allow foreign ownership of residential property with minimal restrictions, though some specific limitations apply.

Cyprus permits foreigners to freely purchase residential properties, but restrictions exist for agricultural land or excessive land areas. In northern Cyprus, buyers may need additional "Permission to Purchase" authorization. Title deed transfer depends on completing proper due diligence and meeting all legal requirements.

Greece allows foreigners to buy residential and commercial real estate without significant restrictions. Limited exceptions apply to border areas and small islands where special permission may be required for security reasons. All buyers must ensure clear title deeds and complete proper legal checks.

Both countries mandate using licensed legal professionals during transactions. Cyprus requires mandatory lawyer involvement, while Greece requires notary oversight for all property transfers. EU citizens enjoy additional protections under European Union property law frameworks in both jurisdictions.

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

Which areas in Cyprus or Greece offer the best return on investment for rental properties?

Cyprus's strongest rental markets center on Limassol, Paphos, and Larnaca, each offering distinct advantages for different investor profiles.

Limassol delivers the highest rental yields for luxury properties, attracting international business executives and tourists. The city's financial district and marina developments generate consistent demand from high-income tenants. Paphos provides steady rental demand from retirees and second-home buyers, particularly in areas near the airport and archaeological sites.

Larnaca offers the best value proposition, combining affordable purchase prices with solid rental yields from both locals and tourists using the international airport. The coastal areas near the salt lake attract year-round tenants.

Greece's top rental markets include Athens southern suburbs and city center, Thessaloniki, and select Cyclades islands like Santorini and Mykonos. Athens maintains constant demand from tourists, business travelers, and expats, with short-term rental yields reaching 6-7% in prime locations. Thessaloniki offers more affordable entry points with steady 4-5% yields from students and professionals.

Cyclades islands generate premium seasonal rental income, though buyers must consider seasonal fluctuations and higher maintenance costs for island properties.

What is the average rental yield in popular areas of Cyprus and Greece?

Cyprus delivers net rental yields of 4.5% to 5.5% in urban and coastal areas as of September 2025, with rural regions typically yielding less.

Limassol achieves yields at the higher end of this range, particularly for modern apartments and villas targeting international tenants. Properties near the business district and marina often exceed 5% yields due to premium rental rates. Paphos and Larnaca typically deliver 4.5% to 5% yields, depending on proximity to airports and tourist attractions.

Greece offers rental yields of 4% to 6% in prime locations like Athens and Thessaloniki, with tourist islands reaching up to 7% for well-managed short-term rental properties. Athens city center and southern suburbs consistently deliver 5-6% yields from both long-term and short-term rentals.

Thessaloniki provides more stable 4-5% yields with lower seasonal variation compared to island properties. Santorini and Mykonos can achieve 6-7% yields during peak seasons, but annual averages may be lower due to seasonal limitations and higher operating costs.

Both markets benefit from growing tourist numbers and increasing expat populations, supporting sustained rental demand and yield stability.

How is the mortgage process in Cyprus compared to Greece for foreign buyers, and what are the interest rates like?

Cyprus offers mortgage rates of 4% to 5.5% for foreign buyers in 2025, while Greece provides slightly lower rates of 3.8% to 5.2%.

Cyprus banks typically require 20% to 30% down payments and prefer borrowers with local income or EU residency, though foreign buyers can obtain financing. The process is relatively straightforward, but individual bank policies vary significantly. Documentation requirements include income proof, credit history, and property valuation.

Greece provides mortgages to foreign buyers subject to stricter income and residency checks. Banks often require legal residence status and prefer local income sources. Down payments typically range from 25% to 40% for foreign buyers, with more extensive documentation required including notarized income statements and detailed financial histories.

Both countries require property valuations and comprehensive legal checks before mortgage approval. Processing times average 4-6 weeks in Cyprus and 6-10 weeks in Greece, depending on documentation completeness and bank workload.

Alternative financing options include developer financing in both countries, often with more flexible terms but higher rates. Cash purchases remain common among foreign buyers seeking faster transactions and better negotiating positions.

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.

How reliable is the legal system in both Cyprus and Greece for property purchases, and what protections do buyers have?

Both Cyprus and Greece maintain reliable legal frameworks with strong buyer protections, though each has specific characteristics buyers should understand.

Cyprus operates under EU legal standards in the southern part of the island, providing robust buyer protections through mandatory licensed lawyer involvement in all transactions. The legal system offers comprehensive due diligence procedures, title deed verification, and dispute resolution mechanisms. Northern Cyprus presents unique title and ownership issues requiring extra caution and specialized legal advice.

Greece provides strong property law protection through mandatory notary oversight for all transactions. The notary system ensures proper documentation, title verification, and legal compliance. EU-wide protections apply to all transactions, though bureaucratic processes can extend timelines. Older properties may require additional due diligence to avoid ownership disputes.

Both countries offer legal recourse through established court systems, property registration databases, and professional liability insurance for legal professionals. Title insurance is available in both markets, providing additional security for large investments.

Foreign buyers enjoy the same legal protections as domestic purchasers, with additional EU consumer protection directives applying to both jurisdictions. Professional legal representation is essential in both countries to navigate local regulations and ensure proper transaction completion.

What are the overall long-term economic projections for Cyprus versus Greece in terms of real estate growth?

Cyprus projects steady annual growth of 6% through 2025, driven by sustained foreign demand and active construction activity.

The Cyprus economy demonstrates stability with tourism recovery, remote working trends, and international business activity supporting continued real estate expansion. The government's residency programs attract ongoing foreign investment, while limited land availability on the island supports price appreciation. Infrastructure improvements and financial sector growth contribute to long-term market strength.

Greece shows more modest 1.8% annual price growth in 2025, indicating market stabilization after previous steep gains. The Greek market benefits from Golden Visa policies, tourism recovery, and urban regeneration projects, but growth rates are moderating from earlier rapid appreciation periods.

Both markets face European Central Bank monetary policy impacts, with interest rate changes affecting borrowing costs and investment demand. Cyprus benefits from its smaller, more controllable market size, while Greece offers greater market depth and diversity across regions.

Urban rental markets in both countries remain resilient due to tourism growth, digital nomad trends, and increasing international business activity. Long-term prospects favor steady appreciation rather than dramatic price swings in both markets.

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

Are there incentives for foreigners to buy property in Cyprus or Greece, such as tax breaks or government programs?

Cyprus offers several tax incentives including reduced VAT rates for primary residences, abolished annual property taxes, and fast-tracked residency through property purchase programs.

The Cyprus permanent residency program provides streamlined processing for property investors, requiring €300,000 investment plus VAT. Primary residence purchases enjoy 5% VAT on the first 130 square meters, significantly lower than the standard 19% rate. Some municipalities offer additional discounts for new development purchases.

Greece's Golden Visa program provides residency permits for €250,000 property investments, covering the investor and family members. The program offers five-year renewable permits with no minimum stay requirements. VAT suspension on new builds continues until end-2025, saving buyers up to 24% on purchase prices.

Municipal programs in Greece sometimes subsidize interest rates for young buyers, though these primarily target domestic purchasers. Both countries provide EU residency benefits, allowing visa-free travel and eventual citizenship pathways after sufficient residence periods.

Neither country imposes wealth taxes or inheritance taxes on foreign property owners, making them attractive for long-term wealth preservation. Capital gains taxes apply in both jurisdictions but offer exemptions for primary residences held for specified periods.

What is the level of infrastructure development like in the areas you're considering in both Cyprus and Greece, such as transportation and amenities?

1. **Transportation Networks**: Cyprus offers excellent road infrastructure connecting Limassol, Nicosia, and Larnaca, with modern highways and well-maintained secondary roads. New airport expansions in Larnaca and Paphos improve international connectivity. 2. **Healthcare Systems**: Major Cyprus cities provide modern hospitals and medical facilities, with many English-speaking doctors and international health insurance acceptance. Smaller towns may have limited specialist services. 3. **Educational Facilities**: International schools operate in Limassol, Nicosia, and Paphos, offering British, American, and International Baccalaureate curricula for expat families. 4. **Commercial Infrastructure**: Shopping centers, restaurants, and business facilities are well-developed in urban areas, with ongoing expansion in tourist zones. 5. **Digital Connectivity**: High-speed internet and 5G networks cover most populated areas, supporting remote work and digital nomad lifestyles.

Greece demonstrates superior infrastructure standards in Athens and Thessaloniki, featuring metro systems, comprehensive public transportation, major hospitals, and numerous international schools. These urban centers provide world-class amenities comparable to other major European cities.

Popular Greek islands like Santorini and Mykonos offer strong tourism infrastructure but variable local amenities in rural regions. Healthcare and educational facilities may be limited outside major population centers, requiring travel to Athens or Thessaloniki for specialized services.

Both countries continue infrastructure investments, with EU funding supporting transportation, digital, and environmental projects that enhance property values and livability for residents and investors.

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. Cyprus Price Forecasts - Investropa
2. Greece Real Estate Market Report - My Dolce Casa
3. Greece Property Prices Continue to Rise - Centrarium
4. What €250k Buys in Greece Real Estate 2025 - Vista Estate
5. Property Tax Cyprus 2025 - Keynote Assets
6. Road Map for Acquisition of Real Estate in Cyprus - Grata
7. Tax Facts and Figures Cyprus 2025 - PwC
8. Greece Property Taxes - Immigrant Invest