PROPERTY prices in Cyprus continued to decline in the second quarter of 2015 with the prices of and apartments falling by 0.4 percent and 0.6 percent respectively according to the latest residential property price index published by the Cyprus Central Bank.
(This compares with price falls of 0.8 percent and 1.5 percent for houses and apartments respectively during the first quarter of 2015.)
The largest quarterly fall in apartment prices was recorded in Nicosia (-2%), followed by Paphos (-1.7%) and Famagusta (-0.7%). However apartment prices in Limassol and Larnaca rose by 1.1 percent and 1.7 percent respectively.
The largest quarterly fall in house prices was recorded in Larnaca (-1.3%), followed by Paphos (-1.2%) and Limassol (-0.7). Prices in Nicosia remained steady, while those in Famagusta rose 0.2 percent.
Year-on-year house prices have fallen of 4.6 percent, while apartment prices have fallen 6.2 percent.
The Central Bank anticipates that home prices will stabilise around 2006 levels, the year in which excessive demands for loans resulted in the property sector overheating. “The economy as a whole is showing signs of recovery with GDP growing in 2015, while demand for real estate continues to show annual increases. These developments are expected to help stabilise property prices” said the Central Bank in its report.