ARTICLE
19 September 2025

Navigating The 2025 Real Estate Market In Cyprus: A Buyer's & Investor's Guide

DA
A. Danos & Associates LLC

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A. Danos & Associates LLC is one of the most highly regarded Cyprus law firms drawing on over 45 years of experience. Our firm is based in Cyprus and we have affiliated offices in China, Russia, Ukraine and Greece. Our multi-award winning firm consists of Cyprus lawyers and lawyers qualified in England. We provide legal services of the highest quality in most areas of law, including Cyprus Company Registration and Management, Shipping, Civil Litigation, Real Estate, Intellectual Property, Personal Injury, Immigration Law and Debt Collection.
Cyprus's real estate market remains one of the most attractive in the Mediterranean, with steady foreign demand, strong rental yields, and increased development activity.
Cyprus Real Estate and Construction
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Overview of the 2025 Market Landscape

Cyprus's real estate market remains one of the most attractive in the Mediterranean, with steady foreign demand, strong rental yields, and increased development activity. 2025 brings a shift toward market stabilization, with moderate price growth, greater supply of modern housing, and a focus on sustainable development.

Key Trends to Monitor

  • Price Trends: Cities such as Nicosia is seeing lower price growth, while cities like Paphos and Limassol remain in higher demand.
  • Buyer Profiles: A mix of foreign investors, relocating professionals, and local families continues to drive demand.
  • New Developments: Expect to see more projects focused on energy efficiency, smart home technology, and lifestyle amenities.
  • Financing: Higher interest rates mean cash buyers are at an advantage, while bank lending remains selective.

Smart Strategies for 2025

  • For Buyers: Focus on location, future infrastructure projects, and energy efficiency. Engage an experienced lawyer to verify title deeds and planning permits.
  • For Investors: Consider tourist rental potential and diversify your holdings between urban and coastal markets.
  • For Sellers: Stage your property professionally and price competitively to stand out in a more balanced market.

Legal & Tax Considerations

  • Transfer Fees & Taxes: Ensure you understand the applicable transfer fees and capital gains tax implications.
  • Residency Incentives: Cyprus continues to offer attractive permanent residency programs linked to property purchase – but eligibility criteria can change, so it is important to get up-to-date legal advice.
  • Planning & Zoning: Always confirm that properties have the correct permits and clear title before committing.

Risks & Opportunities

Factor What to Watch
Regulatory Changes / Oversupply / Geopolitical Events / Sustainability Possible adjustments to residency schemes or tax rates / Excess inventory in some areas / Demand shifts / Preference for eco-friendly properties

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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