Cyprus and Serbia face real estate surges from foreign buyers

Real estate markets in Cyprus, Serbia, and Bosnia and Herzegovina are experiencing significant shifts driven by foreign demand and rising costs.

In Cyprus, a massive influx of non-EU buyers, particularly from Israel, has caused property prices to surge. Many Israelis view the island as a “plan B” due to its proximity and EU access. In response, Cypriot authorities are preparing stricter regulations and limits on land purchases and property ownership for non-EU citizens to protect the local population and ensure sustainable development.

In Serbia, a new wave of Russian citizens arriving in Belgrade and Novi Sad has intensified competition for rental properties. Real estate agents report that rental prices in Belgrade have increased by 20 to 30 percent since late July. The high demand has led to situations where multiple interested parties compete for a single apartment, often leaving deposits immediately to secure housing.

In Mostar, Bosnia and Herzegovina, approximately 1,000 new apartments are under construction, yet housing remains unaffordable for many locals. While demand persists, there is a growing gap between property prices and the purchasing power of citizens, with even older, unrenovated buildings commanding high prices.