Cyprus has set a record in real estate sales, reaching 1.3 billion euros during the first quarter of 2023. According to reports from the Cyprus Land Registry, a total of 5,258 properties were sold, The total sales in the city of Limassol amounted to 1,581 properties with an amount of 573 million euros.
In the Nicosia district, 1,574 properties were sold with a total amount of 313 million euros, The average property prices in Cyprus ranged from 110,000 to 314,000 euros. The state has made the process of buying and selling real estate easy and convenient for investors from outside Cyprus, making it one of the best markets in the world and particularly in Europe.
Cyprus is divided into 5 major cities, and we will mention these cities in order of the best investment opportunities they offer, along with the highest potential financial returns on investment.
Limassol is the second-largest city in Cyprus, located in the far south of the island, and it has been attracting investors for several consecutive years, It serves as a significant cultural, tourist, and commercial center due to its hosting of the largest seaport in the region. The city’s key characteristic is its diverse population, including Russians, English, and even Arabs.
Rental prices for apartments in Limassol typically range from 700 to 2,500 euros per 100 square meters, while residential property prices range from 3,500 to 6,000 euros per square meter. Real estate investment in Limassol represents a unique opportunity for those seeking it, as a property amounting at 400,000 euros can yield a financial profit of up to 4-6%.
Paphos is a city designed for those who appreciate tranquility and serenity, as its population is relatively low compared to other cities, It boasts a mountainous terrain that allows for sea views from various areas within the city. Additionally, property prices in Paphos are lower than in Limassol, and the demand is moderate.
Therefore, the preferred choice in Paphos is often to invest in property for retirement or vacation purposes. Paphos also provides a comfortable environment for living with family and children, as the city is equipped with everything needed, including childcare facilities, schools, and medical services. Property prices in Paphos typically range from 1,500 to 2,500 euros per square meter.
It’s surprising that Nicosia has not been the leader in real estate sales for many years despite being the capital, The reason for this is that the city is far from the sea, which means it’s distant from major tourist activities. Most investors in Nicosia are local residents who either buy homes in the capital, rent them out on long-term leases, or conduct business there.
Rental prices for apartments in Nicosia typically range from 800 to 1,500 euros, while property amounts per square meter range from 3,000 to 4,000 euros. Investors are interested in purchasing properties in Nicosia because they prefer to live away from the hustle and bustle of coastal areas in Cyprus.
For foreign investors, Nicosia is an interesting option for commercial real estate, as it can generate excellent profits due to increasing demand, This also includes investing in land, as land in and around the capital has high value.
Larnaca is renowned for its advanced infrastructure, boasting a vital international airport and a seaport responsible for all transportation and shipping operations, Investing in real estate in Larnaca can be beneficial for those who plan to reside permanently in the city.
Apartments in Larnaca are much more affordable than apartments of the same size and location in Limassol and Nicosia. Some analysts believe that Larnaca could become the “new Limassol” due to efforts to make it an important investment center that will attract foreign investors from around the world in the coming years. Indeed, several major companies have already found a place for themselves in this city.
Larnaca’s modern infrastructure, strategic location, and relatively lower property prices make it an attractive option for both local and international investors looking for real estate opportunities in Cyprus.
Ayia Napa, located in the Famagusta region of southern Cyprus and often referred to as the “Beach Party Capital”, is known for hosting entertainment events and music festivals from around the world, It witnesses a significant influx of tourists during the summer season. Despite the city’s crowding and the presence of numerous tourist facilities, investment opportunities in Ayia Napa are seasonal.
Significant profit increases are observed during the summer holiday season with the influx of tourists, as there is a high demand for rental accommodations. Therefore, it is advisable to look for suitable apartments for year-round living in Ayia Napa, as property owners often spend a quiet part of the year in their own homes there and rent them out at reasonable prices during the summer.
In Reach Real Estate Investment, we have sufficient experience and knowledge in the field of real estate in our branches around the world. If you are interested in real estate investment options in Europe, get your free consultation and contact us via the link here.