Property prices in Larnaca have recently surged to levels akin to Nicosia, largely due to heightened interest from Israeli investors, according to local real estate sector stakeholders.
The Israeli enthusiasm for the region continues despite a slowdown in property sales following the eruption of the conflict with Palestine, pivoting towards rental properties, causing residential rental prices in select areas to skyrocket, rendering them unaffordable for local residents.
According to Vassos Zakos, director of FOX Real Estate in Larnaca, “The interest prior to the war was akin to a strong rain for Larnaca. Although post-war, the number of Israeli inquiries declined, their aspiration remains high. They express intentions to abandon Israel and seek properties in Cyprus, especially in Larnaca.”
Larnaca’s appeal to Israelis stems from its proximity to the airport, growth prospects, and a sizeable Jewish community presence, making it the prime real estate market. “The once lower-priced Larnaca now mirrors Nicosia’s rates, presenting challenges for local Cypriot couples,” added Zakos.
“Prices for new two-bedroom apartments of 80-85 square meters start from €200,000 and rise depending on the area, reaching over €300,000 in areas like Mackenzie. Larnaca, previously much lower than other cities, has reached Nicosia’s levels, posing challenges for