Investment Funds Bolster Financial Stability Of Affordable Housing Initiative

by THEFUTURE.TEAM

December 12, 2025

Private Sector Collaboration And Financial Innovation

In a decisive move toward sustainable, affordable housing, influential industry leaders endorse the involvement of major investment funds, including the Social Security Fund and assorted private investment schemes, to finance pivotal projects in Cyprus. Championing this approach is the Cyprus Real Estate Appraisers Association, whose President, Polyas Kourousidis, asserts that this model is essential to maintain both the viability and long-term stability of such projects.

A Strategic Blueprint For Affordable Housing

The initiative is set to deliver 500 New Affordable Homes with accessible rental rates, directly addressing one of the era’s most acute social challenges. By effectively leveraging state assets to foster accessible housing development, the initiative positions itself as a critical public policy response.

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Mitigating Fiscal Pressure Through Private Investment

As the construction responsibilities will be assumed by the private sector, the financial strategy underpinning the project is carefully structured to avoid additional burdens on the state budget. This innovative approach not only mitigates the fiscal impact on public finances but also underscores a commitment to sustainable economic development.

Commitment To Technical And Scientific Excellence

The Cyprus Real Estate Appraisers Association stands ready to offer comprehensive technical and scientific support, ensuring that the project aligns with the highest standards of modern, efficient, and socially equitable development. In doing so, the initiative sets a precedent for future affordable housing projects across the region.

The Future Forbes Realty Global Properties

Cyprus Residential Market Surpasses €2.5 Billion In 2025 With Apartments Leading the Way

by THEFUTURE.TEAM

February 16, 2026

Market Overview

In 2025, Cyprus’ newly built residential property market achieved a remarkable milestone, exceeding €2.5 billion. Data from Landbank Analytics indicates robust activity countrywide, with newly filed contracts reaching 7,819, including off-plan developments. This solid performance underscores the market’s resilience and dynamism across all districts.

Transaction Breakdown

The apartment sector clearly dominated the market, constituting 81.6% of transactions with 6,382 deals valued at €1.77 billion. In contrast, house sales represented a smaller segment, encompassing 1,437 transactions and generating €737.9 million. The record-high transaction was noted in Limassol, where an apartment sold for approximately €15.2 million, while the priciest house fetched roughly €6.2 million.

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Regional Analysis

Nicosia: The capital recorded steady domestic demand with 2,171 new residential transactions. Apartments accounted for 1,836 deals generating €349.6 million, compared to 335 house transactions worth €105.5 million, anchoring Nicosia as a core market with average values of €190,000 for apartments and €315,000 for houses.

Limassol: As the island’s principal investment center, Limassol led overall activity with 2,207 transactions. Apartments dominated with 1,936 sales generating €824.1 million, while 271 house transactions added €157.9 million. The district enjoyed premium pricing, with apartments averaging over €425,000 and houses around €583,000.

Larnaca: This district maintained robust activity with a total of 2,020 transactions. The apartment segment realized 1,770 transactions worth €353 million, and houses contributed 250 deals valued at €96.3 million. Average prices hovered near €200,000 for apartments and €385,000 for houses, positioning Larnaca within the mid-market bracket.

Paphos: With a more balanced mix, Paphos completed 1,078 transactions. Ranking second in overall value at €503.2 million, the district saw house sales generate €287.8 million and apartments €215.4 million. Consequently, Paphos achieved the highest average house price at approximately €710,000 and an apartment average of €320,000, emphasizing its premium housing profile.

Famagusta: Distinguished by lower transaction volumes, Famagusta was the sole district where house sales outnumbered apartment deals. Out of 343 transactions, 176 involved houses (yielding €90.4 million) and 167 were apartments (at €32.4 million). The segment’s average prices were about €194,000 for apartments and over €513,000 for houses, signaling its focus on holiday residences and coastal developments.

Sector Insights and Forward View

Commenting on the report, Landbank Group CEO Andreas Christophorides remarked that the analysis demonstrates an ecosystem where apartments are the cornerstone of the real estate market. He emphasized, “The apartment sector is not merely a trend; it is the engine powering the country’s real estate market.” Christophorides also highlighted the diverse regional dynamics: Limassol leads in apartment pricing, Paphos commands premium house prices, Nicosia remains pivotal to domestic demand, Larnaca sustains competitive activity, and Famagusta caters to holiday home buyers.

In a market characterized by these varied profiles, informed monitoring of regional and sector-specific dynamics is crucial for investors aiming to make targeted and strategic decisions.

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