The recovery in the residential property market in Cyprus appears well underway with house prices up 1.7% and apartments up 0.7% in the final quarter of 2016, the latest analysis report shows.
The biggest increase on the Mediterranean island was a rise of 3.3% for apartments in Larnaca and an increase of 1.8% for houses in Limassol, according to the Cyprus property index published by the Royal Institution of Chartered Surveyors which is based on methodology produced by the University of Reading in the UK.
The data also shows that prices of holiday homes are also improving, with apartments up by 2.3% and houses up by 2.2%.
The report points out that during the fourth quarter of 2016 the Cyprus economy showed further signs of stability, with a seasonally adjusted quarterly GDP growth of 0.7% and an annual seasonally adjusted GDP growth of 2.9%.
It also points out that given prevailing economic conditions and the marginally improved confidence in the Cyprus’ banking system, there were relatively higher transactions during the quarter.
The result is that the property price index has recorded increases in almost all cities with significant increases being recorded in Larnaca, Limassol and Nicosia, whilst other cities are progressively bottoming out.
