The growth of the price index for apartments and houses, according to the Central Bank of Cyprus, slowed down in the 1st quarter of 2024.Prices increased by 7.8% year-on-year, while in the 4th quarter of last year this figure was 8.3%. On a quarterly basis, prices rose by 1.6%, which is also less than in the previous quarter (2.3%).
The slowdown trend is expected to continue.
Why has real estate in Cyprus become more expensive more slowly? Firstly, the demand has calmed down somewhat. Sales are also growing more modestly than during the boom period.
Secondly, there is more supply on the market. More and more housing is available for rent and sale.
If you look at the provinces, Paphos and Famagusta were the leaders in terms of annual price increases, plus 11.2% and 11.8%, respectively.
Meanwhile, Nicosia, Limassol and Larnaca recorded slower growth of 4%, 9.2% and 10.7% respectively.
The stabilization of demand is confirmed by the data of the land cadastre. Home sales in the 1st quarter of 2024 increased by only 0.6% year-on-year.
Source: Cyprus Mail
