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[BUSINESS] · Cyprus · 3 sources

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Cyprus property market shows resilience in Q2 2026

The Cyprus property market demonstrated resilience in the second quarter of 2026, maintaining positive price movements across most districts and asset categories despite regional geopolitical tensions. According to the RICS Cyprus Property Price Index with KPMG, apartments remained the strongest-performing residential asset, with Larnaca leading the market in both apartment and office value growth.

Residential demand remains high, with annual price increases recorded at 4.09% for apartments and 3.60% for houses. The rental market also showed strength, particularly for apartments and holiday properties. In the commercial sector, warehouses in Larnaca and Paphos saw notable gains, while office values recorded moderate increases. Conversely, the retail sector remained the weakest performer, showing only modest growth or slight declines in certain areas like Famagusta.

Transaction activity was robust, with Cyprus Sotheby’s International Realty reporting 4,622 transactions totaling €1.38 billion during the quarter, marking the strongest second quarter since 2016. Additionally, construction activity is responding to demand, with 7,131 building permits authorized for new dwellings.

Entities

Christophoros Anayiotos · Cyprus · KPMG · Larnaca · RICS

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