Foreign interest in Cypriot real estate remains high, with the British, Russians, Greeks, Israelis, Lebanese, and Chinese being the most active purchasers. Between 2021 and 2024, the majority of foreign buyers focused their investments on Paphos and Limassol.
The Ministry of Internal Affairs of the Republic of Cyprus provided data in response to an inquiry from MP Alexandra Attalidou, covering:
- The citizenship of the top ten most active buyers,
- The number of properties acquired, including houses, apartments, offices, retail spaces, and land,
- The registering of property ownership indicates the presence of ownership titles.
KEY TRENDS
Data from the Ministry of Internal Affairs show that Cypriot citizens lead property purchases significantly. Over the past four years, they have bought 232,878 properties.
Limassol is particularly popular among Russian, British, Israeli, Greek, and Chinese buyers. Larnaca has become a favored area for Israelis, while Nicosia shows a more diverse buyer demographic, including Australians, Romanians, Lebanese, Americans, and Bulgarians.
Paphos has emerged as the top region for foreign real estate sales, with 10,647 properties sold. It is followed by Limassol, with 8,829, and Larnaca, with 8,545.
What countries are most involved in purchasing Cypriot real estate?
- United Kingdom: 11,832
- Russia: 4,924
- Greece: 4,657
- Israel: 3,909
- Lebanon: 2,078
- China: 1,226
LIMITED DATA FOR COMPREHENSIVE ANALYSIS
Commenting on the Interior Ministry's findings for Cyprus Mail, Pavlos Loizou, head of the Ask Wire analytical firm, highlighted the lack of detailed information. He pointed out that the absence of data on the selling prices of properties hampers the ability to evaluate the monetary impact of these transactions on the market.
Cypriots typically purchase land or secondary properties, such as land shares, which skews the statistics in their favor. In contrast, foreigners tend to purchase completed apartments or houses, particularly in residential projects that offer amenities such as pools, security, and shared recreational areas, or in high-quality developments that are still under construction.
For instance, over the past four years, 2,561 properties have been sold to Russians in Limassol, yet only about half (1,292) have registered ownership titles. This suggests many of these properties are either under construction or have just been completed.
Some real estate transactions are conducted through Cypriot companies backed by foreign capital, with purchases recorded as "Cypriot," even though the actual owners are foreigners. Transactions involving shares of companies that own real estate are also not captured in official statistics, meaning ownership changes are not reflected in the property registry.
A NEW TREND: INCREASED ISRAELI ACTIVITY IN LARNACA
In recent years, Israeli buyers have become increasingly active in Larnaca, ranking fourth among foreign purchasers. They are particularly interested in developments such as spa complexes, resort residences, and gated communities, with areas like Pila, Ormidya, and Pervolia gaining traction. Factors driving their interest include affordable prices, ease of transportation (due to proximity to the airport), and the availability of a synagogue.
For further insights, check the Europa—Cyprus article titled "Israeli Developers Investing in Larnaca: building residential complexes and upgrading hotels."
"GOLDEN VISAS"
Following the controversial closure of the Golden Passport program in 2020, the Cypriot government introduced an alternative— the Golden Visa program. This program requires an investment of €300,000 in primary market real estate or shares of Cypriot companies as a condition for obtaining a visa. By 2023, around 5,800 such visas had been issued.
However, the Auditor General's report indicated that the Golden Visa program lacks transparency. Some foreign investors obtain residency permits via a signed real estate purchase/sale contract but then cancel it without actually owning a property.
The Audit Service has recommended that the government enhance inspections and even consider discontinuing the program. The Interior Ministry acknowledged these suggestions but has not provided clear comments regarding the potential abolition of the Golden Visas.