The Cypriot real estate market experienced unprecedented growth in 2025, reaching a total transaction value of EUR 6.5 billion, marking an 8% increase from the previous year. This surge reflects a robust demand from both local and international buyers, underscoring the sector's resilience and appeal.

Residential properties led the market, accounting for EUR 4.5 billion of the total transaction value. Within this segment, apartments were particularly sought after, comprising approximately 60% of the overall increase in value. This trend highlights the growing preference for modern living spaces among investors and retirees alike.

Foreign interest in Cypriot real estate also saw a significant uptick, with demand from international buyers rising by 16% in 2025. Coastal districts such as Paphos, Larnaca, and Limassol were particularly attractive, collectively accounting for about 80% of the growth in foreign property acquisitions. This trend suggests a strong international confidence in the stability and potential of the Cypriot property market.

The luxury property segment remained steady, with 203 transactions totaling EUR 550 million, representing 8% of the sector's total value. Limassol continued to dominate this high-end market, although its share decreased from 76% in 2024 to 61% in 2025. Paphos emerged as a notable player, accounting for 28% of luxury property transactions, up from 18% the previous year. This shift indicates a diversification of luxury property demand across the island.

Overall, the Cypriot real estate market's performance in 2025 reflects a dynamic and expanding sector, driven by strong domestic demand and increasing international interest. For Canadians considering retirement in Cyprus, these developments present a promising landscape for property investment and lifestyle opportunities.

Sources: PwC Cyprus, Cyprus Mail, Kathimerini