Houses in Nicosia showed highest property price increase in Q2, new Index reveals

According to the RICS Cyprus Property Price Index with KPMG in Cyprus, the market has shown increases compared to last year’s price index, with the highest category increase recorded in Nicosia Houses.

On behalf of KPMG in Cyprus, Christophoros Anayiotos, Head of the Real Estate Industry Group, elaborated on the newly released Index's findings, “According to the index for the second quarter of 2024, the market has shown increases when comparing with last year’s price index, apart from Retail which appears the least favourite asset during this period."

"On a quarterly basis," Anayiotos continued, "there is an interestingly visible variation between districts. Apartments seem to be a favourite asset across all districts, however the highest category increase is recorded in Nicosia Houses."

As he went on to note, "Marginal increases are also recorded in Warehouses and Offices, whilst Retail recorded decreases, with the highest fall arising in Larnaca. The best performing district was Nicosia, while Limassol and Larnaca recorded decreases in most asset categories. Paphos and Famagusta recorded a few slight increases and remained stable in most asset pricing."

"Rental values continued to exhibit increases, with Offices in the lead, and the residential sector properties (apartments, houses) following closely. Overall, the Index this quarter continues the rental value increase from previous quarters; however, it records a slowdown in some categories," Anayiotos added.

On behalf of the Royal Institution of Chartered Surveyors (RICS), Simon Rubinsohn, RICS Chief Economist, commented, “Despite the flatter picture evident in the latest assessment of real estate prices in Cyprus, the macro backdrop remains generally supportive. Growth forecasts are on balance being revised upwards after a strong start to the year and although inflation has broken above the target in recent months, it should gradually return to the 2% area. Moreover, higher investment and positive demographics are likely to improve the longer-term prospects for the economy”.

The publication, as well as previous Indexes, can be found on the RICS website https://www.rics.org/news-insights/market-surveys/cyprus-property-price-index