Cyprus’s property market reached record levels in 2025, with total transaction value rising 8% to €6.5 billion and the number of deals climbing 4% to 25,600, according to PwC Cyprus’s latest annual report on the sector.
Residential properties remained the main driver of the market, accounting for €4.5 billion in transaction value, or 69% of the total, the report said.
Within that segment, apartments were the standout performer, accounting for approximately 60% of the total growth rate in transaction values during the year.
PwC Cyprus attributed the surge to a combination of unaffordable house prices pushing buyers towards apartments, and strong demand from foreign investors for whom apartments are a preferred vehicle.
Foreign buyer demand rose 16% in 2025, the report noted. The coastal cities of Paphos, Larnaca and Limassol together accounted for approximately 80% of the increase in properties acquired by foreign buyers during the year.
In the luxury segment, defined as properties valued above €1.5 million, transactions held steady at 203 deals with a combined value of €550 million, representing 8% of the total sector value.
Limassol retained its dominance in the high-value residential market, though its share fell from 76% in 2024 to 61% in 2025. Paphos increased its share of luxury transactions from 18% in 2024 to 28% in 2025.
Across all districts, transaction values rose significantly in 2025, with the exception of Limassol, which recorded a marginal decline yet retained the largest market share at 41% of total transaction value.
Commenting on the findings, Constantinos Constantinou, Partner and Head of Real Estate at PwC Cyprus, said: “The real estate sector is called to adapt and transform, placing emphasis on sustainability, quality infrastructure and the creation of long-term value. In an environment of rapid change, characterised by ongoing geopolitical developments whose impact on the sector remains uncertain, market participants must continuously reassess their priorities and align their investment decisions with the future needs of the country.”
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