Cypriot property buyers are increasingly opting for apartments as soaring costs and scarce financing options make houses less attainable, according to local estate agents. In the first half of 2024, Nicosia led in apartment sales with 489 transactions, while Limassol reported the highest average apartment value at €246,919.
Why are Cypriot property buyers choosing apartments over houses?
Cypriot property buyers are increasingly favoring apartments due to rising costs and limited financing options. Estate agents note that apartments are more accessible, with high house prices pushing prospective homeowners towards the more affordable apartment market. This trend is evident from recent property sales data.
Market Trends
The second quarter of 2024 has seen a notable shift in the Cyprus property market, with apartments becoming increasingly favored by buyers. Estate agents attribute this change to the prohibitive costs associated with purchasing houses. The limited financing options for local buyers have also been a significant factor, making apartments a more accessible choice for many. The information is derived from a comprehensive report by the local Real Estate Agents Registration Council that was based on data from the Land Department.
The report aims to provide insights into the average value of completed sales in each district and the number of transactions. It’s imperative to understand that these averages are not exclusively representing urban sales but encompass transactions from the entire geographical boundaries of each district.
Apartment Sales
In the detailed analysis of property sales, apartments stand out with a total of 489 transfers recorded across the island. Nicosia leads the districts in the number of sales, while Limassol boasts the highest average apartment value at €246,919. This figure overshadows the average values in Nicosia (€134,031), Larnaca (€133,058), Paphos (€122,846), and the controlled area of Famagusta (€109,804).
House Market Analysis
The council has also provided an analysis of house sales. For the period between April and June 2024, there were 110 transactions. The Larnaca district showed less activity compared to the free Famagusta area. Paphos had an average house sale value of €398,857, while Limassol’s average was at €362,429. House sales in Famagusta averaged €273,028, and Larnaca brought up the rear with an average of €205,035.
Plot and Field Transactions
When it comes to plots, Nicosia dominated the sales, accounting for 273 out of the 666 transactions completed nationwide. Yet, the highest average plot values were recorded in Paphos (€265,884) and Limassol (€260,613). Nicosia, Larnaca, and Famagusta followed suit with their respective average values.
Fields, however, painted a different picture in terms of sales distribution, with Nicosia (435) and Limassol (417) observing the highest number of transactions. Paphos remained at the top in terms of average values for fields, whereas Larnaca offered the most economical options.
It is essential to recognize that some of the plots and fields included in these statistics may feature large areas or come with structures, which is reflected in the high values reported. The council’s statistics provide a clear view of the current state of the property market in Cyprus, painting a picture of the average buyer’s inclinations and the overall market dynamics.
FAQ
Why are Cypriot property buyers choosing apartments over houses?
Cypriot property buyers are increasingly opting for apartments due to rising costs and limited financing options. The high prices of houses have made them less attainable for many prospective homeowners, leading them to seek more affordable alternatives in the apartment market. This trend is supported by recent sales data indicating a significant increase in apartment transactions.
What are the recent sales trends for apartments in Cyprus?
In the first half of 2024, a total of 489 apartment transactions were recorded across Cyprus, with Nicosia leading in the number of sales. The average value of apartments also varies by district, with Limassol reporting the highest average apartment price at €246,919, followed by Nicosia (€134,031) and Larnaca (€133,058).
How does the Cypriot house market compare to the apartment market?
The house market is currently facing challenges, with only 110 transactions reported between April and June 2024. Average house sale values differ by district, with Paphos at €398,857 and Limassol at €362,429. This contrasts sharply with the apartment market, where sales are more robust due to the affordability and accessibility of apartments amid rising costs.
What is the outlook for the Cypriot property market in 2024?
The outlook for the Cypriot property market in 2024 suggests continued preference for apartments as buyers seek more affordable options in light of rising costs and limited financing. The market dynamics indicate a shift in buyer behavior, which may persist if financial conditions and property prices remain challenging. Additionally, ongoing reporting from the Real Estate Agents Registration Council provides valuable insights into the evolving landscape of property transactions across the island.
