
Price Growth Continues, But at a Moderate Pace
After a sharp rebound in 2022–2023 and stable growth in 2024, property prices in Cyprus are expected to continue rising steadily in 2025.
- New builds and PR-eligible projects are driving demand in high-interest zones
- Coastal and city-center locations remain top performers
- Off-plan sales in Paphos and Limassol are seeing strong pre-sale demand
Prediction: A 4–6% average increase in prices, with some hotspots exceeding 8%
PR Investment Continues to Fuel the Market
Cyprus remains one of the most attractive PR investment destinations in Europe.
- The €300,000+ PR property route continues to attract buyers from Israel, Russia, UAE, South Africa, and China
- Many developers now offer turn-key, fully furnished packages for off-plan units
- Expect more emphasis on energy efficiency and quality finishes to meet demand
Opportunity: Investors combining residency + rental income are driving demand in prime zones of Paphos and Larnaca
Foreign Buyer Interest Is Still Growing
Despite global market fluctuations, Cyprus continues to attract:
- EU and UK retirees seeking tax-friendly relocation
- Digital nomads and remote workers
- Middle Eastern and Asian buyers targeting long-term lifestyle or second homes
Top regions: Paphos, Limassol suburbs, coastal Larnaca, and Famagusta
Rental Yields Remain Competitive
Cyprus still offers 4–6% gross rental yields on average, especially for:
- 1–2 bedroom apartments in tourist zones
- PR-ready units near universities or hospitals
- Short-term rentals in Paphos, Limassol, and Ayia Napa
New in 2025: Some developers are offering rental guarantee programs to attract hands-off investors
Infrastructure Projects Are Driving Localized Growth
Several key projects are influencing local property markets:
- Paphos Marina (Potima Bay) – expected to boost nearby villa and apartment prices
- AUB Campus in Paphos – creating strong rental demand in the academic zone
- Limassol tech park expansion – new demand for family homes and rentals
- Airport access improvements – improving connectivity and tourism flows
Investor Tip: Buying early in infrastructure impact zones offers long-term upside
Sustainability & Smart Homes Now the Norm
Modern buyers in Cyprus are demanding:
- Solar-ready and energy-efficient buildings
- Smart home systems and keyless entries
- Eco-conscious materials and green certifications
Regulatory Note: Developers are responding with upgraded specs, especially for PR-eligible units
Summary: Is 2025 a Good Year to Buy in Cyprus?
Yes — especially if you’re:
- Seeking PR through real estate
- Looking for strong long-term appreciation
- Targeting lifestyle + rental yield combinations
Whether you’re focused on Paphos apartments, coastal villas, or city-center townhomes, the 2025 outlook shows solid fundamentals and continued global interest in Cyprus real estate.
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