Cyprus Property Market Reaches New Highs

The Cyprus real estate market has reached a new milestone, with property prices surpassing previous peaks and setting new records across the island.

Recent data confirms that apartment prices have exceeded pre-crisis levels, marking a strong recovery and a transition into a new phase of growth.

This reflects a clear shift:

Cyprus is no longer a recovering market, it is a growing and established investment destination.

A Decade of Strong Growth

Over the past decade, property prices in Cyprus have shown consistent upward momentum.

📈 Significant long-term price appreciation
📊 Strong annual increases in recent years
📉 Full recovery from post-crisis lows

The apartment price index reached 123.9 points in Q4 2025, representing a 74.5% increase over ten years, with annual growth of over 10%.

This highlights a market driven by real demand and long-term fundamentals.

What’s Driving the Growth?

Strong international demand

Cyprus continues to attract investors seeking:

Secure real estate investments
Rental income opportunities
Mediterranean lifestyle

Limited supply

Despite increased construction activity, supply continues to lag behind demand, maintaining upward pressure on prices.

Rising construction costs

Higher material and development costs are directly impacting property values.

Tourism and education expansion

Growth in tourism
Increasing student population
Rising demand for rental properties

Together, these factors create a stable and sustainable real estate environment.

Larnaca: A Rising Investment Hub

Larnaca has become one of the fastest-growing real estate markets in Cyprus, showing strong performance over recent years.

With prices increasing significantly and demand rising, the city is now positioned as a strategic destination for property investment.

Developments such as SKY 5 in Larnaca reflect this transformation, offering modern residential units designed for both lifestyle and long-term value.

A Market Backed by Strong Fundamentals

The Cyprus property market is supported by:

Favorable financing conditions

Lower interest rates have improved mortgage accessibility, encouraging both local and international buyers.

Increasing transaction activity

Demand remains strong across:

Investment properties
Short-term rental units
Primary residences

Sustained investor confidence

The market continues to attract both domestic and international buyers, reinforcing its long-term stability.

What This Means for Investors

✔ Proven appreciation

Cyprus real estate has demonstrated consistent growth over time.

✔ Strong demand

Demand continues to exceed supply, supporting further price increases.

✔ Long-term opportunity

Entering the market during growth phases allows investors to benefit from future value appreciation.

The By The Sky Perspective

At By The Sky, we see this market growth as a reflection of:

Strong international demand
Strategic urban development
Increasing value in key locations like Larnaca

Our projects, including

SKY 5
SKY 6
SKY 7

are designed to align with these market dynamics, offering:

Prime locations
Modern design
Investment-focused opportunities

Final Insight

Cyprus is entering a new phase of real estate growth, driven by demand, supported by fundamentals, and sustained by long-term investor confidence.

This is not just a market trend.

It is a clear investment signal.

Explore Opportunities

Discover current developments and investment opportunities through By The Sky.

Sources

This analysis is based on data related to Cyprus property price growth and market performance by Cyprus Property News.