Andreas Christophorides: A shift in market dynamics is now redefining demand from both local and international buyers.
New insights into Cyprus’ residential property market reveal notable trends in the average prices of newly built apartments and houses sold in the first quarter of 2025. The data is sourced from the Landbank Analytics platform, which analyses sale contracts filed with the Department of Lands and Surveys, offering a detailed breakdown by price bracket
Across Cyprus, average sale price for new apartments remained relatively stable year-on-year, standing at €247,000 in Q1 2025. In contrast, the average price of new houses saw a 12% increase, rising from €410,000 in Q1 2024 to €459,000 in the same period this year.
Nicosia: Significant Rise in House Prices
Nicosia recorded the largest percentage increase in average house prices, rising 35.5% from €304,000 in Q1 2024 to €412,000 in Q1 2025. However, this spike is largely attributed to a single luxury house sale worth €2.7 million. Excluding that transaction, the average drops to €313,000, reflecting a more modest 3% increase.
This trend highlights Nicosia’s ongoing residential development and growing demand for modern housing. Meanwhile, apartment prices in the capital remained steady, rising slightly from €189,000 to €191,000, suggesting a balanced market driven by consistent—though not accelerating—demand.
Limassol: Diverging Trends Between Apartments and Houses
In Limassol, the average house price fell by 12.4%, dropping from €444,000 in Q1 2024 to €389,000 in Q1 2025. This decline is partly influenced by three low-value transactions. When these are excluded, the adjusted average increases to €428,000, with the annual decline narrowing to 3.6%—likely due to a shift toward mid-range properties or post-peak price corrections.
Conversely, apartment prices rose by 12.4% year-on-year, reaching €372,000, up from €331,000. This confirms Limassol’s ongoing appeal for high-value apartment investments and continued strong demand in that segment.
Larnaca: Modest Apartment Price Dip Amid Strong House Gains
Larnaca recorded a 21.5% increase in average house prices, reaching €389,000—up from €320,000 a year earlier. The data suggests heightened interest in the district and the emergence of higher-end housing developments.
At the same time, the average apartment price dipped slightly by 2.1%, from €191,000 to €187,000. This small decline reflects a stable apartment market shaped by steady supply and demand in the mid-range segment.
Paphos: Houses Drive Market Growth
Paphos continues to stand out for its high-end house market, supported by strong demand from international buyers seeking premium properties. In Q1 2025, the average house price surged 16.9% to €693,000, compared to €593,000 a year earlier.
By contrast, average apartment prices fell 10.3%, from €320,000 to €287,000. This may reflect a shift in the types of apartments available or a broader market adjustment after a period of rapid growth.
Famagusta: Downturn in Both Segments
In the non-occupied territory of Famagusta, both residential segments recorded declines: average house prices fell from €343,000 to €300,000, while apartment prices dropped from €201,000 to €178,000It’s important to note that average price calculations reflect all transactions within each district, not just those in city centres.
Andreas Christophorides, CEO of Landbank Group, commented:
“The evolving dynamics in the market for new homes reflect a transitional period shaped by shifting conditions—both economic and demographic. We’re already seeing that the European Central Bank’s interest rate cuts are beginning to stimulate demand among local buyers.
Paphos remains the top destination for high-end homes, while Limassol continues to lead in premium apartment sales. Nicosia is experiencing notable growth in house sales and remains stable in apartments, and Larnaca is fast emerging as a rising force in the housing market.
Although Famagusta shows a decline in average prices, this is also influenced by the relatively low volume of transactions in the district. These nuances are critical for understanding market shifts and guiding buyers, sellers, and developers.
