Cyprus Property Market, Q1 2026: 4,308 Sales and €1.26 Billion

By Anastasia Yianni, CEO of Cyprus Sotheby's International Realty · 9 June 2026

The first quarter of 2026 confirmed what we have been pointing to across several reports now: the Cyprus property market is growing not only in value but in quality, changing from the inside. Buyers increasingly look for a home they intend to live in rather than a pure asset and, following that, the balance between cities is shifting.

In this review, the analysts at Cyprus Sotheby's International Realty break down the quarter's headline figures and the trends that will shape buying property in Cyprus through 2026. In short, the market is now driven by the depth of demand rather than by hype,  which is precisely what has made it more resilient.

Key Q1 2026 figures

Over the first three months of the year, Cyprus recorded 4,308 residential sales worth a combined €1.26 billion. Compared with the same period of 2025, the number of transactions rose by 43%, while market value climbed 52%.

• 4,308 residential sales

• €1.26 billion — total market turnover

• +43% — transactions year on year

• +52% — value year on year

It is worth understanding how this data is built. A significant share of it consists of Contracts of Sale – an instrument that reflects both live demand for new developments in Cyprus and the accumulated stock of units without a registered title deed. This is a structural feature of the Cypriot market, so quarterly figures indicate the direction of travel more reliably than a final annual result.

Pafos — the market's new growth engine

The main storyline of the year is unfolding in Pafos. In Q1 2026 the city registered 1,077 sales worth €401 million: turnover roughly doubled against the same period last year, and the gap with Limassol narrowed to just 55 transactions. There is a story behind these numbers: more and more often buyers looking at villas for sale in Pafos increasingly purchase a primary home rather than a seasonal one. As a result, the city is moving beyond a purely resort identity into a full-fledged market for living and investment.

Limassol — a transition to a mature market

Limassol still leads on capital volume, at €442 million for the quarter. The more telling shift, though, is not the figure but how buyers behave. Prices are stabilising and demand for apartments for sale in Limassol is becoming noticeably more rational: the era when a property was sold at any price purely on location is over. This is a healthy normalisation rather than a cooling.

Larnaca and Nicosia — the most affordable destinations

While Limassol and Paphos set the benchmark on budget, Larnaca and Nicosia answer a different need — affordable housing for those relocating to Cyprus permanently.

• Larnaca — 995 sales worth €187 million, with a median apartment price of €160,000. The city remains a reference point for investment property aimed at the rental market.

• Nicosia — 877 sales worth €174 million, with a median apartment price of €155,000. The capital offers the lowest entry threshold in the Cyprus residential market.

The combination of accessible prices and rising relocation interest makes both regions increasingly attractive for permanent residence and gradually redistributes demand across the island.

Demand shifts towards houses and villas in Cyprus

Another clear turn is the growing appetite for houses and villas. Across the Republic of Cyprus, 989 house sales were recorded (+63% year on year), while the apartment segment grew 38%. In 2026 buyers increasingly favours a comfortable lifestyle, and this reshapes both how a property is chosen and how its value is assessed.

Cyprus is increasingly chosen for relocation — private and corporate

There is a clear reason behind this turn towards "homes for living": the island is no longer a fallback option but increasingly a first-choice jurisdiction for relocation. After the UK abolished its non-dom regime in March 2025, Cyprus remained one of the few EU countries with a structured non-dom status: exemption from tax on dividends and capital gains for up to 17 years, no inheritance tax, and a 15% corporate rate. We explored this in detail in a separate piece on why Cyprus is becoming a favourite for living and investing.

This attracts not only private buyers but businesses too. Corporate tax relocation, including from Britain, adds to housing demand, above all in Limassol, where the headquarters of international companies are concentrated. As a result, demand is becoming less speculative and more settled: people and companies are moving for the long term, and they choose property by different criteria.

"There are several independent markets coexisting on the island right now, each with its own logic. The strength of the first quarter is not a speculative spike but the fact that demand has become mature and considered. For our team, that is the clearest sign of a durable market," says Anastasia Yianni, CEO of Cyprus Sotheby's International Realty.

About the company

Cyprus Sotheby's International Realty is a part of the global Sotheby's International Realty brand, specialising in premium and mid-market residential property across Limassol, Paphos, Larnaca and Nicosia.

Transaction data provided by the Department of Lands and Surveys of Cyprus; all analysis and interpretation prepared by Cyprus Sotheby's International Realty.