Several thousand apartments are anticipated to significantly boost the supply of housing as the construction of 541 apartment buildings is expected to be completed in the coming months.
The construction boom aims to address the pressing issue of housing scarcity due to significant increases in market prices and rents in recent years.
Various factors contribute to the challenge of acquiring a house or apartment, including the escalating costs of construction materials, inflation, supply chain disruptions, and interest rate hikes.
Many young couples cannot afford today’s high prices making homeownership a distant dream for many.
Speaking to Phileleftheros, Pavlos Loizou, CEO of Ask Wire explained “One of the primary reasons for the increase in residential property prices is the law of the market itself, which dictates that values rise when demand exceeds supply.
“Additionally, the inability of many to buy a house or apartment leads to renting, resulting in overheating of demand and rental market. Therefore, the burning question is how much the supply of residential properties will increase and when.”
Data collected and analysed by Ask Wire sheds light on construction trends across Cyprus. Since 2023, construction has been in full swing, with over 500 apartment buildings starting in various districts. Construction activity peaked in March, with more than 50 new projects starting.
Limassol, which is known for its high property prices, saw the start of 198 apartment building projects in 2023, with a significant surge in activity between March and May. In Nicosia, construction was distributed evenly throughout the year, with 165 new projects starting across all months.
Larnaca saw the start of 127 apartment building projects in 2023, catering to both local and foreign demand. July stood out as the busiest month with 16 projects getting underway.
