As the year comes to an end, we have a considerably better idea of how the property market performed in 2022. There have been a number of factors that have thrown a spanner in the works, with the rising cost of living and inflation being a real influence. However, Cypriot real estate has channeled nearly €4billion back into the economy this year.
Residential real estate continued to perform in Quarter 3 of 2022, with the best performance coming from apartment sales followed by houses. The prices of these properties have increased between 2-10% across Cyprus for apartments and between 2-7% for houses. The region that saw the largest increases is Famagusta, while Larnaca showed the smallest increase.
Holiday homes in Cyprus
Cyprus is a great choice for a holiday home as you can benefit from the luscious Mediterranean climate and general ‘holiday’ lifestyle from the comfort of your own home, at your leisure. It seems holiday apartments rather than homes are more popular in Cyprus. Against last year’s performance, both holiday apartments and houses have grown over 6%.
The top destination for holiday homes is Famagusta, followed by Paphos, Larnaca and Limassol. To give you a better idea of what each of these areas have to offer, I’ve gathered a bit of info on each destination. Who knows, this time next year you could be sipping mocktails from the comfort of your very own Cypriot holiday home.
On the east coast of Cyprus lies Famagusta. In ancient times, Famagusta was an important gateway for trading as the ports allows citizens to trade goods with Western Europe. Some of the old, walled city is still around today. Famagusta is adored by tourists and locals for its unique buildings and artistic soul. The university and tourism growth have boosted the city’s culture and developed a vibrant nightlife which includes bars, restaurants and theatre.
Property in Famagusta is generally more expensive than the rest of Cyprus. In Q3 of this year, Famagusta saw the highest increase in price for holiday homes and apartments. Saying that, it remains popular as it’s the ideal location to enjoy a simple, Mediterranean lifestyle with all amenities on your doorstep.
If you’re after a bargain property, head to the port town of Larnaca on the south coast, where average house price are lower than in Paphos, Nicosia and Limassol. This is in part due to Larnaca being a little more traditionally Cypriot than some of its contemporaries. Great news if you want to steer clear of the typical expat communities but still benefit from a local international airport. Property owners in Larnaca may wonder why more overseas buyers don’t head here, as they stroll along the palm-line promenade of its city centre beach, or take in the ancient monuments.
Paphos is a favourite for expats in Cyprus and life there is compared to a year-round holiday. Paphos has a healthy mix of Cypriots and foreigners who profit from the beauty of the Mediterranean coast and enjoy a relaxed, idyllic lifestyle.
It’s an extremely social place to live so busy-bodies will never be bored! As the weather is generally clear (and warm) there are plenty of outdoor sports that you can get involved with. The tennis and rugby club are worth noting for their fantastic reviews.
Holiday home-owners typically spend anywhere between one and nine months in their home-away from home, due to the lower cost of living and warmer climate.
Read more about the cost of living in Cyprus here. https://www.propertyguides.com/cyprus/news/cyprus-cost-of-living-2022/
Limassol has been getting a lot of press lately for the Marina. On the southern tip of Cyprus, Limassol Marina welcomes superyachts all-year round, but recently it’s welcomed a whole lot more as the yachts look for a place to call home this winter.
The location is designed to satisfy so-called ‘yachties’ and their luxurious passengers, so there’s a whole lot to see and do around the marina.
It’s a vibrant city due to the number of young people that call Limassol home and the many bars and restaurants that feature along the palm tree-lined promenades.
The Marina runs a calendar of events all year round to welcome superyachts and their crews to participate in local culture. There are barbeques throughout summer, mixology workshops and trips to local vineyards. Plus, a healthy lifestyle is available to active bodies, with regular 5-aside football, scuba diving lessons, mountain biking and circuit classes.
Can I rent out my holiday home when I’m not there?
This is a popular choice among expats all over Europe. It’s a great way to make some money and get your property paying for itself. Cyprus does have quite strict laws, however. As a non-resident, you’ll only be allowed to rent to certain categories. You can find out more about Cypriot renting rules in our dedicated article.