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Cyprus Housing Costs Continue To Rise As Rental And Property Prices Extend Their Upward Trend

Cyprus Housing Costs Continue To Rise As Rents And Property Prices Climb

Cyprus entered 2026 with little sign of relief in its housing market, as both rents and house prices continued to increase during the opening months of the year, reinforcing the affordability pressures facing households.

Rental Costs Keep Moving Higher

New Eurostat data show that rental prices continued their steady upward trend in May. The harmonised index of consumer prices for actual rental payments edged up to 103.95 points from 103.91 in April, extending a pattern of monthly increases that has been in place since the beginning of the year.

Although the monthly gains have been modest, they point to persistent upward pressure in a rental market where supply remains tight and affordability continues to deteriorate.

House Prices Extend Their Upward Trend

Property prices also continued to rise, although at a more moderate pace than in several other European Union countries.

House prices in Cyprus increased 1.6% in the first quarter of 2026 compared with the previous three months, following a flat fourth quarter of 2025. On an annual basis, prices were 3.4% higher than a year earlier. While that represented a slowdown from the 6.0% annual increase recorded in late 2025, it nevertheless confirmed that the market continues to trend upward.

The longer-term picture highlights the scale of that appreciation. Using 2015 as the base year, Cyprus’ house price index reached 150.89 in 2025, up from 144.46 in 2024 and 134.60 in 2023. The figures illustrate how residential property values have risen steadily over the past decade despite periods of slower growth.

Cyprus Lags The Fastest-Growing EU Markets

Although prices continue to rise locally, Cyprus remains below the pace seen in many other European markets.

Across the EU, house prices increased 5.1% year on year in the first quarter of 2026, while rents rose 3.0%. Compared with the previous quarter, house prices advanced 1.2% and rents 0.7%. In the euro area, house prices climbed 4.7% from a year earlier and 1.0% from the previous quarter.

Eurostat said house prices rose faster than rents in 19 member states when comparing the first quarter of 2026 with the annual average for 2025. Portugal recorded the strongest increase at 10.3%, followed by Bulgaria at 9.4% and Slovakia at 9.1%, while France and Finland were the only countries to register declines.

Rental markets showed a similar pattern of broad-based growth. Croatia posted the largest increase at 21.9%, ahead of Bulgaria (6.4%) and Greece (5.0%). Only Slovenia and Finland did not record rental growth over the period.

Looking at annual house price growth in the first quarter of 2026, Portugal again led the bloc with a 17.8% increase, followed by Bulgaria (14.8%) and Slovakia (14.4%). Finland was the only EU member state to record an annual decline.

For Cyprus, the figures point to a market that continues to move in one direction. While house price growth has moderated compared with last year, both property values and rental costs remain on an upward trajectory, offering little relief for households facing an increasingly expensive housing market.

Cyprus Promotes Ship Registry In Asia As Fleet Grows To 25-Year High

Cyprus is stepping up efforts to attract international shipowners, with Shipping Deputy Minister Marina Hadjimanolis holding high-level meetings in China and Japan as the country’s ship register reaches its strongest level in 25 years.

Running from October 14 to 29, the Asian mission focuses on expanding commercial ties, promoting the advantages of the Cyprus flag and strengthening cooperation with shipowners, shipbuilders and maritime authorities.

China Meetings Target Shipowners And Industry Leaders

In Shanghai, Hadjimanolis met Wang Qian, vice-director of the Shanghai Pudong New Area Commission of Commerce and Shipping Service Office, ahead of the North Bund International Shipping Forum on October 20–21. Organisers expect around 4,000 participants from more than 50 countries and regions, with discussions covering international shipping, maritime safety, financing, insurance, digitalisation and the transition to cleaner fuels.

The minister also met representatives of Dalian Trawind Shipping and Fortuna Shipbrokers Inc. to present the Cyprus registry’s advantages and explore registration opportunities for vessel owners. On October 20, she is scheduled to speak at the 10th Annual Capital Link International Shipping Forum in Pudong, joining a ministerial roundtable on international maritime leadership.

A visit to Zhoushan is also planned for the naming ceremony of Kypros Island, a new vessel for the Cyprus register owned by Safe Bulkers. Launched in June at the Tsuneishi shipyard on Xiushan Island, the 81,200-deadweight-tonne methanol dual-fuel bulk carrier is scheduled for delivery at the end of October. According to the Zhejiang Maritime Safety Administration, sea trials were due to take place between October 11 and 16.

Japan Engagements Strengthen Maritime Ties

Before travelling to China, Hadjimanolis met Japan’s Parliamentary Vice-Minister for Land, Infrastructure, Transport and Tourism, Kenta Aoshima, in Tokyo on October 16. Her programme also included meetings with senior representatives of Shoei Kisen Kaisha, Nihon Shipyard, NYK Line, ITOCHU Corporation and SSY Projects, focusing on cooperation with Japanese shipowners, shipbuilders and shipping operators.

At the 5th Annual Capital Link Japan Maritime Forum, held at the Tokyo American Club, Hadjimanolis discussed maritime leadership, competitiveness, policy and international cooperation with Capital Link founder and president Nicolas Bornozis. Other sessions examined Japan’s shipbuilding strategy, new-vessel financing and the development of ammonia-powered ships.

The Tokyo programme followed a Cyprus Ship Registry reception on October 15 for representatives of Japan’s maritime and business communities. Hadjimanolis outlined the country’s shipping services and regulatory framework, while Polys Hajioannou, chief executive of Safe Bulkers and president of the Cyprus Union of Shipowners, delivered the opening remarks.

Registry Reaches Highest Level In 25 Years

At the reception, Hadjimanolis said the Cyprus Ship Registry had grown by 27% since September 2023, reaching its highest level in a quarter of a century. She attributed the expansion to efforts to improve competitiveness, simplify administrative procedures and provide more responsive services to international shipowners.

Cyprus’s inclusion on the White Lists of the Paris and Tokyo Memoranda of Understanding was another point highlighted by the minister. These lists reflect the safety and inspection performance of ships flying a national flag.

Existing commercial links with Japan include Safe Bulkers’ announcement in May of four Japanese-built dry bulk vessels scheduled for delivery in 2029.

South Korea Next On The Maritime Agenda

Hadjimanolis’ mission will continue in South Korea, where she is expected to attend the 2026 World Maritime Day Parallel Event and Korea Maritime Week alongside International Maritime Organization Secretary-General Arsenio Dominguez and government representatives from several countries.

Her programme will also include discussions on implementing international maritime conventions and bilateral talks aimed at strengthening Cyprus’s shipping ties with South Korea.

The Asian outreach comes as maritime centres compete for shipowners amid geopolitical uncertainty, fleet renewal and pressure to reduce shipping emissions. For Cyprus, the strategy combines promotion of its registry with closer relationships across Asia’s shipbuilding and shipping sectors.

Uol
The Future Forbes Realty Global Properties
Aretilaw firm
eCredo

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