Comprehensive overview of the premium residential property market in Cyprus for the whole of 2023 and Q4 separately.
Key Findings:
- Overall Market Performance:
- The total value of transactions in 2023 reached €4.4 billion, including all types of properties: residential, commercial, land, and buildings.
- Residential units (apartments and houses) alone accounted for €3.8 billion in sales, an 8% decrease year-on-year.
- Nicosia and Paphos remained stable, while Limassol witnessed a decline.
- Premium Property Market:
- The number of transactions in 2023 reached 3,849, a 3.7% increase year-on-year.
- The value of transactions decreased by 9.3% year-on-year to €2 billion.
- Premium properties accounted for almost half (46.8%) of the residential market by transaction value.
- The decline was mostly due to Q4 results, with a significant slowdown in the market.
- Both houses and apartments saw decreases in volume and value compared to 2022.
- Regional Performance:
- Limassol: 5.7% decrease in transactions and 17.4% decrease in value.
- Paphos: 17% increase in transactions and 1.3% increase in value.
- Nicosia: Remained relatively unchanged compared to 2022.
- Legislative Changes:
- Amendments to the Investment for Permanent Residency Program.
- Reduced VAT rate for first-time property purchases.
- New law on citizenship for highly skilled professionals.
2023 Highlights:
- The premium property market experienced a correction after a record-breaking 2022.
- The market is expected to stabilize in 2024.
- Demand from both local and foreign buyers remains strong.
- Cyprus remains an attractive destination for investment and residency.
