RICS Cyprus, the Royal Institution of Chartered Surveyors, and audit firm KPMG have published the Cyprus Property Price Index for Q4 2023. The index shows that apartment prices in Cyprus are rising faster than any other type of property, while their rental yields are comparable to those of commercial properties.
Key findings of the report:
- Apartments prices increased by 9.53% over the year, the highest increase among all property types.
- Holiday apartments prices increased by 7.77%.
- House prices increased by 6.47%.
- Warehouse prices increased by 4.97%.
- Office prices increased by 3.54%.
- Retail property prices increased by 0.26%.
The demand for property in Cyprus is being driven by a number of factors, including:
- The popularity of the Cyprus Citizenship by Investment Program. To become a resident of Cyprus, investors must purchase property worth at least €300,000.
- The strong tourism industry in Cyprus.
- The favorable tax regime in Cyprus.
Investors can rent out their properties in Cyprus and earn a passive income. In Q4 2023, property owners in Cyprus earned the following rental yields:
- 5.84% on retail properties.
- 5.51% on offices.
- 5.48% on apartments.
- 4.24% on warehouses.
- 2.99% on houses.
The increase in property prices in Cyprus is a positive sign for the economy. It shows that there is strong demand for property in Cyprus, both from domestic and foreign investors. The rising rental yields also make property in Cyprus an attractive investment for those looking to generate a passive income.
Here are some additional tips for investing in property in Cyprus:
- Do your research and choose a reputable property developer.
- Get professional advice from a lawyer and financial advisor.
- Consider the location of the property and its potential rental yield.
- Make sure you understand the terms and conditions of the purchase contract.
- Be prepared to pay additional costs, such as stamp duty and legal fees.
By following these tips, you can increase your chances of making a successful investment in property in Cyprus.
