New builds drive growth in Cyprus housing sector

Cyprus’ housing market had a strong start in 2025, with a big rise in residential property sales during the first quarter. According to Landbank Analytics, both the number and value of sales grew significantly, especially for off-plan and under-construction homes. A total of 1,368 new property contracts were filed from January to March — a 24.8% increase compared to the same time in 2024. Sales reached €391 million in value, up from €299 million last year.

Apartments made up most of the sales, but it was houses that showed the fastest growth. Larnaca had the biggest jump in activity, with apartment sales up 66% and house sales up 77%, showing growing interest and investment in the area. Paphos also performed well, especially with house sales, which rose 58%, driven by foreign buyers. Meanwhile, Famagusta saw fewer apartment sales but more house sales, suggesting a possible shift in local demand.

Experts say the market is showing resilience, helped by slowly decreasing interest rates. Larnaca is becoming a key area to watch, while Limassol remains a top spot for premium investments. Nicosia continues to attract both investors and local buyers looking for central properties. Overall, the housing market in Cyprus is gaining strength, especially in the new-build segment.