Apartments dominate as foreign buyer demand surges 16%
A new Philenews report, based on PwC Cyprus’ latest annual real estate review, confirms that Cyprus’ property market reached an all‑time high in 2025, with total transaction value rising 8% year‑on‑year to €6.5 billion. The number of property deals also increased, reaching 25,600 transactions, up 4% from 2024.
According to Philenews, residential real estate remained the engine of the market, accounting for €4.5 billion, or 69% of total transaction value.
Apartments Lead Market Growth
Apartments were the standout performer of 2025. Philenews reports that apartments accounted for “approximately 60% of the total growth rate in transaction values during the year,” driven by:
- Rising house prices pushing buyers toward more affordable apartment options
- Strong demand from foreign investors
- High absorption in coastal cities
Foreign buyer demand rose 16%, with Paphos, Larnaca, and Limassol responsible for 80% of the increase in foreign acquisitions.
Luxury Market Remains Strong
The luxury segment (properties valued above €1.5 million) remained stable:
- 203 transactions
- €550 million total value
- 8% of total market value
Limassol retained its leadership in luxury sales, though its share fell from 76% in 2024 to 61% in 2025, while Paphos increased its share from 18% to 28%, signalling a shift in high‑end buyer preferences.
District Performance
Limassol
- Largest market share: 41% of total transaction value
- Slight annual decline but still the dominant district
Paphos, Larnaca & Nicosia
All three districts recorded significant increases in transaction values, reflecting broad‑based market strength.
Market Outlook
PwC Cyprus’ Head of Real Estate, Constantinos Constantinou, told Philenews:
“The real estate sector is called to adapt and transform, placing emphasis on sustainability, quality infrastructure and the creation of long‑term value.”
He added that ongoing geopolitical developments require investors and developers to “continuously reassess their priorities and align their investment decisions with the future needs of the country.”
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