Small increase in house purchase prices | Since 2021, apartment prices in Nicosia have continued to rise
Ask WiRE, combining real estate know-how with technology, has published its Q4 2022 edition of the Ask WiRE Index for property sale and rental values. The Ask WiRE Index covers all districts and main property types, with values from Q4 2009.
Across Cyprus, on an annual basis, prices increased by 9.9% for apartments, 1.0% for houses, 0.3% for offices, 4.7% for holiday apartments and 0.9% for holiday houses, and decreased by 1.4% for retail and 3.7% for warehouses. Nicosia stands out from other districts, as sale prices of apartments had continued to rise throughout the year (2.5% in Q4 2022). Overall, on a quarterly basis sale values increased by 1.6% for apartments, 0.1% for houses, 0.4% for offices, and remained stable for retail and warehouses. As for holiday apartments and holiday houses sale values increased by 1.9% and 0.4%, respectively.
Regarding rental values, compared to Q4 2021 there has been an increase of 18.2% for apartments, 11.6% for houses, 0.9% for retail, 6.3% for offices, 16.9% for holiday apartments and 12.8% for holiday houses, whilst rents of warehouses decreased by 0.4%. Paphos stands out from the districts, as rental values of holiday apartments and holiday houses had a significant increase for another quarter (increased by 5.0% and 11.8% respectively in Q4 2022). On a quarterly basis rental values increased by 2.7% for apartments, 1.1% for houses, 1.7% for retail, 0.8% for offices, and remained stable for warehouses. As for holiday apartments and holiday houses rental values increased by 3.6% and 5.9%, respectively.
Pavlos Loizou, CEO of Ask WiRE, commented that “the influx in population due to in-migration throughout 2022 and pend-up demand over the past couple of years continues to drive the residential market. With inflation eroding disposable incomes and interest rates rising, we have seen a slowing down of demand in the second half of the year and prices stabilizing in Nicosia and Limassol. We expect pricing of commercial properties to come under pressure, as alternative investment classes offer appealing returns on a risk adjusted basis. Looking ahead to 2023, we expect residential property prices to remain broadly stable, albeit with slowing demand and less transaction volume, whilst commercial real estate will face various challenges, with investor demand remaining relatively thin.”
For a breakdown of movements in sale and rental values by district >>
Across Cyprus: Quarterly percentage change in property values (Q3 2022 with Q4 2022)
| Property Type | Sale Value | Rental Value |
| Apartments | 1.9% | 2.7% |
| Houses | 0.1% | 1.1% |
| Commercial | 0.0% | 1.7% |
| Warehouses | 0.0% | 0.0% |
| Office spaces | 0.4% | 0.8% |
| Holiday apartments | 1.9% | 3.6% |
| Holiday houses | 0.3% | 5.9% |
Source: Ask WiRE
Across Cyprus: Annual percentage change in property values (Q4 2021 with Q4 2022)
| Property Type | Sale Value | Rental Value |
| Apartments | 9.9% | 18.2% |
| Houses | 1.0% | 11.6% |
| Commercial | -1.4% | 0.9% |
| Warehouses | -3.7% | -0.4% |
| Office spaces | 0.3% | 6.3% |
| Holiday apartments | 4.7% | 16.9% |
| Holiday houses | 0.9% | 12.8% |
Source: Ask WiRE
