'Rising property prices in Cyprus, but uncertain outlook.'

The real estate technology company Ask Wire has released its Ask Wire index for real estate sales and rentals for the second quarter of 2023. Ask Wire's report states that while the real estate market is currently generally stable, demand for residential real estate is expected to decline in the fourth quarter of 2023.

Main Values

Annually, apartment values increased 12.2%, home values increased 4.6%, office values increased 4.4%, retail values increased 1.2%, apartment-hotel values increased 8.8%, and home-hotel values increased 3.7%. However, the value of warehouses declined by 1.5%. On a quarterly basis, apartment values rose 2.2% and office values rose 1.3%. The value of homes, retail and warehouses remained stable. The value of apartment-hotels increased by 0.8%, while the value of house-hotels''remained unchanged.

The cost of rent

Each year, rental values increased 13.3% for apartments, 9.2% for houses, 6.6% for retail, 9.9% for offices, 13.4% for apartment-hotels and 11.0% for house-hotels.

The head of Ask Wire, Pavlos Loizou, remarked: 'The upward trend in property values and rental rates growth since the third quarter of 2022 is not slowing down, especially due to price increases especially in Limassol and Larnaca. "However,''A mixture of political instability in the region, elevated inflation and a downward price/rent trajectory has set a stable, albeit high, threshold for the market. "Looking ahead to the fourth quarter of 2023, we expect residential real estate prices to remain fairly stable despite potentially less demand and reduced transaction volume. "We also expect commercial real estate to face increased pressure as alternative investments offer an attractive risk adjustment." For an overview of sales and rental value changes by neighborhood, visit https://ask-wire.com/insights/

Property type

• Apartments 2.2% 5.6%
• Houses 0.0% 6.2%
• Commercial 0.0% 3.3%
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• Warehouses 0.0% 0.5%
• Office premises 1.3% 4.8%
• Hotel apartments 0.8% 3.3%
• Hotel-houses 0.0% 3.2%

Source: Ask WiRE - Across Cyprus: Quarterly percent change in property values (Q2 2023 from Q3 2023)

Property type

• Apartments 12.2% 13.3%
• Houses 4.6% 9.2%
• Commercial 1.2% 6.6%
• Warehouses -1.5% -0.6%
• Office premises 4,4% 9,9%
• Hotel apartments 8.8% 13.4%
• Hotel-houses 3,7% 11,0%

Source: Ask WiRE - Across Cyprus: Annual Percentage Change in Property Values (Q3 2022 from Q3 2023)