Cyprus real estate closed 2025 at €4.7 billion, up 15% year-on-year. Velment breaks down what's fueling the growth — from tax reform to the island's increasingly distinct regional sub-markets.
Cyprus is entering a new phase of real estate growth driven by fresh tax reforms, increased demand and greater market diversity. With stable price increases and high interest from international buyers, the island continues to establish itself as one of Europe’s most reliable property investment destinations.
How the 2026 Tax Reform Affects Cyprus Property Buyers
On 1 January 2026, Cyprus introduced major tax updates designed to encourage property ownership and long-term investment. The most notable changes include the removal of stamp duty on new contracts and a significant expansion of capital gains tax exemptions.
These reforms reduce upfront costs for buyers and improve long-term returns for investors, making it easier to enter the market and more profitable to hold real estate over time.
How Did the Cyprus Property Market Perform in 2025?
Despite global economic headwinds, Cyprus showed strong property sector performance in 2025:
Property sales contracts increased by around 15% year-on-year
Transfer values exceeded €4.7 billion
Price growth remains steady, especially in coastal and urban centres
Demand for relocation and lifestyle properties continues to rise
This sustained growth highlights a market grounded in investor confidence, resilience and consistent performance.
Cyprus Property Market by Region: Limassol, Larnaca, Nicosia, Paphos and Famagusta
Cyprus is no longer viewed as a single real estate market, but a collection of thriving sub-markets. Limassol continues to lead in high-value sales and strong rental yields. Larnaca is gaining momentum thanks to infrastructure improvements. Nicosia offers stability and appeal for professionals and families, while Paphos attracts lifestyle buyers seeking coastal living. Famagusta is emerging as a high-potential district, ideal for long-term investment and permanent living.
Why International Buyers Are Choosing Cyprus
As Yiannos Trisokkas, CEO of Velment and migration expert, explains, Cyprus appeals to a broad range of buyers, from investors and digital nomads to HNWIs, thanks to its high quality of life, year-round sunshine, safe communities, international education options, favourable tax environment, expanding job market and lower cost of living compared to many EU countries.. It’s a destination where property investment supports a long-term life strategy.
This 2-bedroom detached home offers a private garden, open-plan layout and a peaceful suburban setting close to the city. Located near the marina, highway and City of Dreams Mediterranean, it combines convenience, comfort and long-term value, ideal for families or investors.
A modern off-plan development offering 1–3-bedroom apartments with large balconies and a rooftop communal pool. Centrally located and energy-efficient, Aster Residences is perfectly suited for relocation or property investment in one of Cyprus’ most in-demand areas.
Along Cyprus's Protaras Riviera, Velment presents a rare large-scale land opportunity with three distinct paths: 40 villas (Cape Gaia), a 243-key hospitality concept (Cape Acra), or a fully flexible development canvas (Cape Aeon)....
A second residency in Cyprus is no longer just for the ultra-wealthy — it's becoming standard risk management for business owners and professionals who want optionality, not an escape hatch. Velment's Head of Business Development explains why....
Global tech and fintech companies — from eToro to JetBrains — are increasingly choosing Cyprus for regional headquarters, driving fresh demand for premium housing and long-term rentals across the island....
Velment goes beyond transactions — offering a full-service, self-funded approach to boutique real estate across Cyprus and Greece, backed by a dedicated team and over 25 years of industry experience....
More families are trading uncertainty abroad for sunshine, safety, and a slower pace in Cyprus. One British family's move — and the savings and lifestyle shift that followed — shows what's drawing them in....
Not all Cyprus property investments are built the same. Velment compares Build-to-Rent/Sell and Buy-to-Rent — two distinct strategies with very different capital requirements, control, and return profiles....
Velment introduces Boutique Developments — a new collection of exclusively-developed properties across Cyprus and Greece. First up: Lopes Residences in Paiania, an 11-unit A-rated development starting from €250,000 and Golden Visa eligible....
High-net-worth investors are increasingly looking beyond traditional markets — and Cyprus and Greece are emerging as top contenders. Velment compares the tax incentives, residency programs, and standout properties driving this shift, from Marina View in Porto Rafti to Aqua Breeze in Ayia Napa....