The Cyprus real estate market enjoyed a strong second half of the year, pushing the total value of all property sales to €5.8 billion for 2022, according to a report released this week by the Council for Registration of Real Estate Agents.

According to the report, there were 10,680 real estate transactions in the first half of the year, with a total value of €2.5 billion.

In the second half of 2022, the number of transactions increased to 11,449, while the total value of all real estate sold amounted to €3.3 billion.

Council for Registration of Real Estate Agents president Marinos Kineyirou said that the dynamics of the real estate sector throughout the past year contributed decisively to the positive growth rates of the Cypriot economy.

“It is very important that the next government takes seriously the parameters that affect the market and the real estate sector in general, so that it can be supported and continue to perform, both during the difficult year that we are currently going through, but also in the long term as well,” Kineyirou said.

Limassol and Nicosia hold the lead in the real estate market both in terms of transaction volume and value.

According to Land and Survey Department data, the market in both districts performed better during the second half of 2022 compared to the first two quarters.

In Nicosia, the volume of transactions carried out during the second half of the year was smaller compared to the first, but the value of the properties sold was higher.

Conversely, Limassol saw an increase in the second half of the year, both in the volume of transactions as well as their total value.

Limassol’s performance strengthened in the second half if we take into account the fact that the value of sales transactions exceeded by almost €0.5 billion the value of transactions in the first half.

“2022 was one of the best years in recent times for the real estate sector in the city and district of Paphos,” the council noted in its report.

“The momentum of the first half of the year was significantly strengthened in the second half of 2022 when the value of all properties sold exceeded €0.5 billion,” it added.

Moreover, there was an increase in the volume of transactions and the value of the properties sold in the second half of the year both in Larnaca and Famagusta.

Regarding the trends across each district, the report notes that the four main property categories reflect the trends that prevailed in each district during the first and second half of 2022.

Nicosia stood out in the first half in apartment sales with 1,098, Limassol in land sales with 1,098, Paphos in house sales with 357, and Larnaca in residential plot sales with 682.

In the second half of the year, Limassol stood out, regaining the reins in terms of apartment sales with 877, while Nicosia followed with 819 apartment sales, dropping to second place in this particular category.

Paphos saw the highest number of house sales, with 414 transactions being completed during this time, while Larnaca and Famagusta recorded a significant increase in house and apartment sales compared to the first half of 2022.

The council also clarified that in many cases, properties categorized as fields or plots of land also include a building.

Apartment prices and rental costs shoot up

Meanwhile, according to a report by Cypriot fintech Ask WiRE, property prices in Cyprus increased by 9.9 per cent year-on-year for apartments during the fourth quarter of 2022, followed by 1 per cent for houses, and 0.3 per cent for offices.

In addition, holiday apartments rose by 4.7 per cent year-on-year, followed by holiday houses by 0.9 per cent. Conversely, retail property prices decreased by 1.4 per cent, while warehouse prices fell by 3.7 per cent.

“Nicosia stands out from other districts, as sale prices of apartments continued to rise throughout the year, rising by 2.5 per cent in the fourth quarter 2022,” the company said. 

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