Is the real estate market cooling down?

Official data from the Department of Land and Surveys indicates that the real estate market in Cyprus may be cooling down, although the number of property sales in November was the highest since 2007.

In November, a total of 1,293 real estate purchase agreements were registered in the land registry across Cyprus, compared to 1,149 in the same month last year, marking a 13% increase. However, the number of sales in Nicosia has decreased for the second consecutive month, and sales in Famagusta and Larnaca have also declined. These decreases were offset by increased sales in Limassol and Paphos, the most popular areas among foreign buyers.

In terms of sales volume, Limassol leads with 465 sales, followed by Paphos (317), Nicosia (242), Larnaca (196), and finally, Famagusta with 73 sales.

Total real estate sales - comparison of 2021/2022. In the first eleven months of 2022, 12,074 contracts were registered in the land registry, representing a 33% increase compared to 9,063 contracts signed during the same period in 2021, and the number of sales reached its highest level since 2008. Sales in the capital (Nicosia) slightly decreased compared to 2021, while sales in Famagusta remained stable. However, the double-digit growth in sales in the areas of Paphos, Larnaca, and Limassol predicts a better year for the sector since 2008.

The total number of deposited purchase and sale agreements for the years 2021 and 2022 by month. Market segment analysis.

Real estate sales in the domestic market. Sales in the domestic real estate market in November, measured by the number of purchase agreements deposited in the land registry, decreased by 6% compared to November 2021, with sales in Nicosia, Famagusta, and Larnaca. The highest number of sales was recorded in Nicosia, followed by Limassol, Paphos, Larnaca, and Famagusta.

Comparison of sales in the domestic market - 2021/2022.

Sales of real estate to foreign buyers. Sales to foreigners (non-Cypriots) increased by 39% compared to November 2021, with sales growth in all areas except Nicosia and Famagusta, where they decreased by 42% and 21% respectively. Limassol ranked first in the number of sales, followed by Paphos, Larnaca, Famagusta, and Nicosia.

Real estate sales to foreign buyers. Sales to foreign buyers in the first eleven months of 2022 reached 5,283, which is a 67% increase compared to 3,169 during the same period last year.

Sales of real estate to EU citizens have increased by 13% compared to November 2021, despite a decrease in the number of sales in Nicosia and Larnaca. The highest number of sales was recorded in Paphos, followed by Limassol, Larnaca, Famagusta, and Nicosia.

Comparison of sales to foreign buyers (EU) - 2021/2022. Sales of real estate to foreign citizens from the EU in the first eleven months of 2022 reached 2,309, which is an increase of 47% compared to 1,571 during the same period last year.

Sales of real estate to non-EU citizens. Sales to non-EU citizens increased by 68% compared to November 2021, although sales decreased in Nicosia and Famagusta. The highest number of sales was recorded in Limassol, followed by Paphos, Larnaca, Nicosia, and Famagusta.

Comparison of sales to foreign buyers (non-EU citizens) - 2021/2022. Real estate sales to foreign non-EU citizens in the first eleven months of 2022 reached 2,975, which is an increase of 86% compared to 1,598 during the same period last year.