2023-Cyprus-Country-Report
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CYPRUSCOUNTRY REPORT <strong>2023</strong><br />
PROPERTY PRICE INDICATORS SHOW INCREASE IN PRICES<br />
Given the strength of sales and the rising construction prices, it is not surprising that<br />
the various residential property price indices point to rising prices, even though<br />
the degree of increase differs depending on the index. The index prepared by the<br />
Statistical Service, Cystat, which is based on actual sales, reports an increase in prices<br />
of 5.9% in the first quarter of <strong>2023</strong> and 3.1% in the second. The Central Bank of <strong>Cyprus</strong><br />
index, which is based on a larger sample of valuations, reports a year-on-year increase<br />
in prices of 7.7% in the first quarter of <strong>2023</strong> and 7.4% in the second. This is the fastest<br />
pace of growth since 2008 according to the Central Bank index.<br />
Apartment prices measured by the Central Bank index are clearly rising faster than<br />
those of houses. In the second quarter of <strong>2023</strong> they rose by 10.1% compared with an<br />
increase of 5.6% for houses in the same quarter. This probably also underlines the<br />
importance of the local residential market in property purchases, especially after the<br />
withdrawal of the <strong>Cyprus</strong> Investment Programme in 2020.<br />
The Central Bank index shows a fairly large discrepancy by district, however. While<br />
apartment prices in Paphos rose by 16.3% in the second quarter of <strong>2023</strong>, thanks to strong sales,<br />
apartment prices in Nicosia increased by a more modest 4.2% and in Famagusta by 2.5%. n<br />
All residential property<br />
PROPERTY PRICE INDICATORS<br />
% change over the same period of the previous year<br />
2022 Q2 2022 Q3 2022 Q4 <strong>2023</strong> Q1 <strong>2023</strong> Q2<br />
Cystat 2.1 5.3 4.4 5.9 3.1<br />
Central Bank of <strong>Cyprus</strong> 4.7 6.3 6.6 7.7 7.4<br />
Houses<br />
Central Bank of <strong>Cyprus</strong> 3.5 5.2 5.6 6.6 5.6<br />
Ask Wire -0.8 1.4 1.0 3.1 4.6<br />
Apartments<br />
Central Bank of <strong>Cyprus</strong> 7.0 8.0 7.7 8.4 10.1<br />
Ask Wire 6.3 9.4 9.9 12.3 12.2<br />
Other<br />
Ask Wire holiday houses -1.9 0.4 0.9 3.1 3.7<br />
Land Registry: average unit 8.4 32.2 3.9 3.8 16.8<br />
value of transfers (a)<br />
(a) Parcels may vary in size; Sapienta Economics calculations.<br />
Sources: Cystat; Central Bank of <strong>Cyprus</strong>; Ask Wire; Department of Lands and Surveys. © Sapienta Economics Ltd.<br />
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