Real estate sales reached the mark of €1.7 billion in the first quarter of 2023, according to the Real Estate Agents Registration Council of Cyprus. The Council notes that the real estate market maintains its resilience, despite accumulated challenges.

In its quarterly published newsletter, the Council estimates that in the first quarter of the year properties worth €1.7 billion were sold in a total of 6,188 transactions, which is about the same value of the properties sold in the fourth quarter of 2022. In comparison, properties worth €1.3 billion were sold in the first quarter of the previous year.

In Nicosia, 1,597 transactions amounted to €257.5 million worth of sales. However, a decrease in the value of real estate transactions was recorded compared to the first three months of 2022, when transactions with a total value of €313 million were processed.

On the other hand, 2,097 transactions amounted to €908 million sales in the first quarter in Limassol, notably increased compared to the €587 million sales in the same quarter of 2022.

Paphos recorded an increase in value and volume of transactions, with sales over €250 million. In Larnaka, more than €200 million sales were processed, an increase from the €145 million mark in the same period of 2022. In Famagusta district, a small increase was recorded from €54 million in the first quarter of 2022, to €57.3 million in this year’s same period.

In its latest Cyprus Real Estate Market publication, which provides insights on the performance of the sector during 2022, PwC’s in-depth analysis showcases that the total value of real estate transactions reached a record-high of €5,2 billion during 2022, recording an annual increase of 27%. In volume terms, properties transacted during 2022 reached 22.500, up 12% from the previous year and even surpassing pre-pandemic 2019 levels by 31%.

During the previous year, Limassol, Larnaca and Paphos experienced double-digit annual increases in terms of the volume of transactions (18%, 23% and 31%, respectively). On the other hand, the districts of Nicosia and Famagusta experienced marginal drops of 6% and 1% respectively.

The real estate market has also been impacted by the increase in foreign businesses, especially by the influx of ICT companies, with property sales to foreigners rising up to 50% in 2022, compared to 2021, according to the Department of Land and Surveys. As a result, property valuations are rising, as well as renting and purchasing prices, since the growing presence of foreign businesses drive the relocation of talent from abroad to Cyprus.