Limassol leads in real estate value, Nicosia in transaction growth
The total value of all real estate transactions in Cyprus reached a record-high €5.71 billion in 2024, reflecting a modest one per cent increase compared to 2023, according to a report released on Monday by PwC Cyprus.
The firm also noted that the total number of transactions decreased slightly to 23,900, representing a three per cent annual decline.
“Despite the persistence of global economic challenges, the real estate market in Cyprus displayed remarkable stability throughout the year,” the company stated.
Among the districts, Nicosia recorded a four per cent rise in transaction volume, whereas coastal cities experienced minor drops.
In terms of value, Limassol maintained its leading position, contributing 44 per cent of total transaction value, followed by Nicosia and Paphos.
Residential real estate remained the primary driver of the market, generating €3.8 billion in transactions, which accounts for 67 per cent of the total market value.
Meanwhile, commercial real estate showed a significant uptick in value, offsetting declines in other categories.
This growth in commercial activity was particularly concentrated in the districts of Limassol and Nicosia.
Although demand from foreign buyers declined by ten per cent overall in 2024, some areas managed to buck the trend.
The company pointed out that Nicosia, Famagusta, and Larnaca recorded positive growth in foreign interest.
While Paphos and Limassol experienced a reduction in foreign buyer transactions, they continued to represent more than 60 per cent of all foreign property sales.
The luxury housing market also maintained a steady presence. There were 188 transactions of properties valued above €1.5 million, totalling €500 million in value.
This segment accounted for nine per cent of the overall market value.
Limassol remained the dominant district for luxury transactions, with 74 per cent of the volume, followed by Paphos at 19 per cent.
Regarding development activity, the number of new building permits issued from January to November 2024 fell by two per cent.
However, the total value of these permits increased by two per cent, signalling a shift toward higher-value, quality-focused projects.
Limassol and Nicosia led in terms of permitted project area. There was also notable growth in non-residential developments, including retail and office spaces.
In contrast, the tourism and leisure development segment declined, possibly indicating either market saturation or a redirection of strategic development priorities.
“In a volatile and dynamic environment full of challenges and opportunities, the real estate sector in Cyprus continues to play a key role in the country’s transition to a new economic model,” said CEO of PwC Cyprus Philippos Soseilos.
“What is needed to meet the country’s immediate and future needs is reform-oriented and strategic thinking, within the framework of Vision 2035,” he added.
