Cyprus property prices continued to increase during the second quarter of 2025 but at a slower pace than previous periods, according to the latest Central Bank housing price index.
The Central Bank’s analysis shows the general housing price index (houses and apartments) recorded a quarterly increase of 1.5% in the second quarter of 2025, compared to a 1.9% rise in the first quarter.
This resulted from an accelerated quarterly increase of 3.1% in apartment prices, offset by a slight quarterly decrease of 0.1% in house prices.
By property type and on an annual basis, house prices showed a slowdown across all districts except Nicosia, where prices actually fell. The house price index in Nicosia recorded an annual decrease (-1.6%) for the third consecutive quarter.
The districts of Limassol, Larnaca, Paphos and Famagusta recorded a decelerating increase of 6%, 4.2%, 9.8% and 5.7%, respectively.
Similarly, on an annual basis, apartment prices showed a decelerating increase in the districts of Nicosia, Paphos and Famagusta (2.6%, 8% and 4.5%, respectively), while in Limassol and Larnaca, apartment prices recorded an accelerating increase of 4.8% and 8.2%, respectively.
Regarding annual changes in the general housing price indices by district, an acceleration in the growth rate was recorded only in Limassol (6.8%), while a deceleration in the rate of increase was recorded in Nicosia, Larnaca, Paphos and Famagusta (0.1%, 5.8%, 9.4% and 4.9%, respectively).
The Central Bank report notes that regarding housing supply, according to available monthly data from the Statistical Service of Cyprus, the number of residential units for which building permits were approved – an early indicator of construction activity – recorded an annual increase of 12.1% in the period January-April 2025 (from 3,854 units in January-April 2024 to 4,321 units in the corresponding period of 2025).
As a result, a gradual increase in the supply of residential units is expected in the near future.
According to data from the European Commission’s Economic Sentiment Surveys (June 2025), the diffusion index for construction activity over the previous three months remained at a positive level for the seventh consecutive quarter during the second quarter of 2025 (4%).
This is consistent with the aforementioned gradual increase in supply.
Regarding the construction materials price index from the Statistical Service, it recorded a marginal annual increase of 1.4% in the second quarter of 2025, remaining at historically high levels in recent years due to geopolitical developments and supply chain disruptions.
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