Although the number of Cyprus property sales continued to rise in November, there are signs that the market is cooling.
Sales in November, as measured by the number of contracts deposited at Land Registry offices, rose 7 per cent compared to November 2022 according to official figures from the Department of Lands and Surveys. But while sales in Larnaca rose 57%, which has been reported as a result of strong interest by Israelis, sales in both Limassol and Paphos have fallen by 8% and 6% respectively compared to November last year.
However, despite the slowdown, it is certain that 2023 will be the best year for property sales since 2008.
Year to date property sales
Sales during the first eleven months of 2023 sales reached 14,211 an increase of 18% compared to the 12,704 achieved in same period last year with sales rising in all districts.
Market segment analysis
Property sales to the overseas market
The total number of property sales to the overseas market (both EU and non-EU citizens) in November fell 16% compared to November 2022.
Although sales in Nicosia and Larnaca rose by 38% and 6% respectively, these were wiped out by falls of 29% in Famagusta, 26% in Limassol and 22% in Paphos.
Sales to the overseas market during the first eleven months of 2023 reached 6,377; a 21% rise on the 5,283 achieved in the same period last year.
Property sales to non-EU citizens
Sales to non-EU citizens rose 3% compared to November 2022 and accounted for 32% of the total number of sales (1,386) achieved during the month.
Although sales in Limassol and Larnaca fell by 4% and 1% respectively, these falls were outweighed by increased sales of 80% in Famagusta, 10% in Paphos and 8% in Nicosia.
Sales to non-EU nationals during the first eleven months of 2023 reached 4,588; a 54% increase on the 2,974 achieved in the same period last year.
Property sales to EU citizens
Sales to EU nationals slumped 44% compared to November 2022. The only two districts to buck the trend were Nicosia, where sales rose by 64%, and Larnaca, where sales rose by 27%.
Sales to EU nationals during the first eleven months of 2023 reached 1,789; a fall of 23% compared to the 2,309 achieved in the same period last year.
Overseas market preferences
An analysis of property sales to the overseas market over the first eleven months of 2023 reveals that foreign buyers prefer to buy in the coastal areas of the island.
Paphos is by far the most popular destination, with overseas sales accounting for 70% of total sales in the district. Paphos is followed by Limassol and Larnaca (47%), Famagusta (39%) and finally Nicosia with overseas buyers accounting for just 14% of sales in the district.
Property sales to the domestic market
Real estate sales to the domestic market continued to perform strongly in November, with sales rising by 30% compared to November 2022, with sales rising in all districts with Larnaca, in particular, recording a massive 124% increase in sales.
Sales to the domestic market during the first eleven months of 2023 reached 7,834; an increase of 15% on the 6,791 achieved during the same period last year.