The course of the Cypriot real estate market from 2010 to the first half of 2026 is a living economic chronicle, marked by the deep crisis of 2013, the long period of stagnation and the violent, almost universal price appreciation. With a base year of 2010, the data reveals a two-speed market. The main trend of the period is the absolute dominance of apartments over houses.
While apartments across the island came under strong inflationary pressures, driven by foreign investment activity and the shift of local buyers to more flexible solutions, the housing market moved at a slower pace. In fact, in many cases, the houses took more than 15 years just to approach the values of 2010. The turning point is in 2023, when the housing crisis and increased construction costs triggered a generalized price rally, which peaks in the second quarter of 2026 (2026 Q2), according to Fileleftheros' analysis based on data from the Central Bank.
While Limassol and the periphery (Paphos, Larnaca) are experiencing an unprecedented investment frenzy with apartment prices breaking one record after another, the traditional home market – especially in the capital – remains trapped in the past. The turning point is in 2023, when the housing crisis, unbearable construction costs, and high borrowing rates radically changed the island's housing culture. Building a house became an unattainable dream for local buyers, who turned en masse to apartments, sparking a generalized price rally that culminates today, in the second quarter of 2026.
Apartments: An explosive rally
The category of apartments experienced the greatest change, with the lowest prices recorded in the two years 2015-2016 and the take-off consolidating after 2022.
• Limassol: The absolute protagonist of the market. From the low of the 74.0 index of 2015 recorded by the Central Bank, the index jumped to an impressive 154.1 in the second quarter of 2026. This is a growth that exceeds 108% from the lowest point, confirming that Limassol is the main attraction of international companies and foreign capital.
• Paphos: The biggest surprise of the last four years. While in 2021 it was still at 71.7, in the second quarter of 2026 it climbed to 136.1. Paphos recorded a 90% jump in five years, now closely following the Limassol model due to the increased demand for beachfront properties.
• Larnaca: Steady and strong rise, with the index standing at 122.6 in the second quarter of 2026. Larnaca absorbed a large part of the buyers who were financially excluded from Limassol, significantly exceeding the levels of 2010.
• Nicosia: The capital moved at a clearly more restrained pace. It recorded its own low in 2016 (75.0) and had to reach 2026 (102.0) to return, essentially, to the levels of sixteen years ago.
• Famagusta: The province that suffered the most after the crisis, falling to 57.4 in 2017 (a loss of 42.6% in value). The recovery has been slow, reaching 95.4 in the second quarter of 2026, remaining the only province where apartments are slightly cheaper than in 2010.
Houses: The mild recovery
In contrast to apartments, the housing market presents a picture of severe lag, reflecting the difficulty of financing large projects and the weakening of domestic demand for land purchase and house construction.
• Limassol & Paphos: They follow an almost parallel course, closing the Central Housing Index in the second quarter of 2026 at 110.0 and 109.8 respectively. Although they are in positive territory compared to 2010, their rise is considered extremely mild compared to the increase in apartments in the same areas.
• Famagusta: It is the exception to the rule, as it is the only province where houses (105.4) keep a better base than apartments, due to the constant demand for holiday homes.
• Larnaca: Despite the general increase in recent years, the house index stands at 94.9 in the second quarter of 2026, which means that a house in Larnaca currently costs 5.1% less than in 2010.cosia: The "big loser" of the analysis. The housing market in the capital remained stuck at very low levels. In the second quarter of 2026, the index stands at just 83.2, demonstrating that house prices in Nicosia remain 16.8% cheaper than in 2010, confirming the profound change in the housing culture of its residents.
