MORE THAN 500 APARTMENT BUILDINGS TO BE COMPLETED IN CYPRUS IN THE COMING MONTHS

In 2023, construction began on 541 apartment buildings in the Republic of Cyprus. These buildings will soon be completed, adding several thousand new apartments to the housing market.

A lack of sufficient quality housing has been one of the problems Cyprus has faced in recent years. This shortage has led to increased prices for both rentals and sales. High costs of building materials, inflation, supply chain issues, and rising interest rates in the banking sector have further contributed to the rise in real estate prices.

Due to the continuously rising prices and high mortgage rates, young Cypriot couples have become less likely to purchase homes and apartments. Foreigners relocating to the island for work in international companies are also struggling to find quality housing at reasonable prices.

"One of the main reasons for the rise in residential real estate prices is the market dynamics, which favor price increases when demand exceeds supply. Additionally, many cannot afford to buy a home or apartment and are forced to rent, leading to an overheated rental market," explained Pavlos Loizou, CEO of Ask Wire, to Phileleftheros. "Therefore, a key concern is whether there will be an increase in the supply of residential real estate and when that will happen."

According to data on the construction of new apartment buildings collected and analyzed by Ask Wire, there was significant activity in the housing construction market in 2023. Developers began constructing 541 apartment buildings last year.

Ask Wire Data on the Start of Apartment Building Construction in 2023

By Months:

• January — 42
• February — 38
• March — 60
• April — 54
• May — 53
• June — 50
• July — 56
• August — 35
• September — 50
• October — 39
• November — 37
• December — 27

By Cities:

• Limassol — 198
• Nicosia — 165
• Larnaca — 127
• Paphos — 37
• Free Territories of Famagusta — 14