Filenews 3 July 2025
In the first quarter of 2025, the general House Price Index (houses and apartments) compiled by the Central Bank of Cyprus (CBC) continued to increase on an annual basis, with a slowdown in the Apartment Price Index and an acceleration in the House Price Index.
In particular, according to a CBC announcement, the general CPI (houses and apartments) in the first quarter of 2025 recorded a quarterly increase of 1.9%, compared to an increase of 0.4% in the fourth quarter of 2024.
This came from quarterly increases of 1.8% in house prices and 1.4% in apartment prices, respectively, it is noted.
On an annual basis, according to the CBC, house prices increased by 4.8% in the first quarter of 2025, compared to an increase of 4.5% in the fourth quarter of 2024.
Apartment prices recorded a slowing increase of 3.5%, while house prices accelerated by 5.6% during the quarter under review.
It is also reported that for the first time since 2008, the Apartment Price Index recorded a smaller annual increase than the increase in the House Price Index.
Regarding the demand for real estate, it is stated in the CBC's bulletin that according to data from the Department of Lands and Surveys (TX), the total number of document sales during the first quarter of 2025 recorded an annual increase, both by domestic and foreign buyers.
The total number of document sales recorded an annual increase in all provinces.
"The increase in the number of document sales by foreign buyers is in line with the acceleration in the quarterly increases recorded in both the House Price Index and the Apartment Price Index in the first quarter of 2025," it added.
As far as the supply of real estate is concerned, according to the building permit data, which are a precursor to construction activity, it recorded a slight increase in 2024 compared to 2023.
The same is demonstrated, according to a CBC bulletin, by the Economic Conjuncture Surveys of the European Commission (March 2025), with the dispersion index for construction activity over the past three months continuing to be at a positive level in the last six quarters.
Price changes by province
As regards the annual changes in the general house price indices by province, according to the CBC, an acceleration in increases was recorded only in Limassol (5.7%), while a slowdown in increases was recorded in Larnaca, Paphos and Famagusta (5.9%, 12.9% and 7.3%, respectively), with the slowdown in Famagusta being greater than in the other two provinces.
The annual change in the house price index in the Nicosia district remained stable at 0.7%.
On an annual basis, as reported, a particular acceleration in house prices was recorded in Limassol (9.1% from 5.1%) with continued growth of around 8% in Famagusta, while a slowdown was recorded in Paphos (at 12.7%), with a smaller slowdown in Larnaca (at 6%). Nicosia recorded an annual decrease (-1.2%).
Also on an annual basis, apartment prices recorded a slowdown in Limassol, Larnaca and Famagusta (2.6%, 7.1% and 7.2%), while in Nicosia and Paphos apartment prices recorded an annual increase of 3.1%, and 13.8% respectively.
