Investing in Cyprus: The Complete Guide

When investing in real estate, it is impossible to name just one ideal city to invest in. However, some cities offer different advantages and disadvantages than others. Reports from real estate experts say that Limassol and Paphos are the best places to invest in property in Cyprus.

The cities of Cyprus are rated based on their demand. It turns out that real estate in Limassol is incredibly sought-after.

The most profitable city: Limassol takes the first place

However, when it comes to Cyprus, there’s no debate about which city is number one! Limassol has been called “the second capital of the island”. It has become a modern, bustling metropolis that is growing rapidly and it has seen an influx of people from all around the world. 

The city of Limassol is warm and welcoming even in winter. Investors who have invested in Limassol real estate make profits all year round. 

Housing prices in Limassol are sky-high. Nevertheless, Limassol is a big city and there are plenty of neighborhoods available to find your new home. Accommodation in Limassol offers a wide range of options for every lifestyle and the purchase will pay off anyways. 

But, if you want to make sure that your investment pays off, investigate renting out housing. There is demand in every season of the year and this way, the stable income is guaranteed.

Limassol is a true melting pot. A lot of people from all over the world come to live in this beautiful town. For many reasons the city is a tempting place to invest in real estate.

Reasons why Limassol is attractive for real estate investment

1. There are many opportunities in Limassol for both international and local businesses.

2. With so many opportunities, it is hard to be unhappy. Limassol is the perfect place to live with children, friends, or even elderly parents. There are lots of schools, hospitals, and private clinics within walking distance. Most of them have English-speaking staff.

3. The people are friendly, and the nightlife is great. You will find clubs, sports activities, and cultural attractions everywhere you go.

4. The commercial real estate market in Limassol is as popular and profitable as residential.

5. The city of Limassol is home to all the necessary government and private offices. You don’t need to travel far when doing your paperwork or transactions.

The housing market in Cyprus is quite interesting. Investing in the real estate market does not mean you need to buy property, then rent it out or sell it later. For example, someone may buy a property with the intention of building up business, other people just want to use it as their holiday home.

The second place goes to Paphos

Paphos is a unique city in Cyprus that has an interesting history. The climate in Paphos is different from most other places. It has a slightly cooler ocean and stronger winds. The Akamas Nature Reserve is an island of luxurious greenery right on the coast nearby and worth a visit from Paphos.

Paphos is a place where people from all over the world come to live, relax, and enjoy themselves. Moreover, there are many empty spaces in this city. It is only logical that Russian investors are taking notice.

Reasons why Paphos is attractive for real estate investment

1. The city’s infrastructure heavily emphasizes tourism. It’s no surprise that the most profitable business in this city is related to leisure and entertainment. 

2. When it comes to prices, Paphos real estate is more affordable than Limassol. The most profitable thing to do here is rent out instead of reselling.

3. The business environment in Paphos is still emerging. There is minimal competition for certain markets.

4. The people of Paphos have a long history and their culture is well-developed.

5. Paphos has plenty of schools and universities for children to attend.

Consider renting out your home by the sea. The local authorities are working hard to make the off-season in Paphos interesting and vibrant for tourists.

The third place goes to Nicosia

The capital, Nicosia, has not been a leader in real estate sales for many years. It’s far from the sea. Tourism here primarily concerns cultural attractions like ancient ruins or natural parks.

When it comes to real estate, the Cypriots are interested in owning their home in the center of the republic. It is the locals who purchase housing in this city, rent it out or move there.

Nicosia is a great spot for foreign investors looking to make money within the commercial real estate industry. Nevertheless, the demand for real estate in and around the capital is very high. It’s important to know that the main language of communication is Greek. Bear this in mind when looking at possible properties in Nicosia.

The fourth place goes to Larnaca

Larnaca is a beautiful city in Cyprus. Sadly, it has been largely ignored by international tourists. Tourism in Larnaca is mostly domestic. 

Nevertheless, Larnaca has a lot of potential. It’s an investment center, but it’s not very developed yet.

The real estate market in Larnaca is not as bustling and lively. The demand for local housing is high. Sadly, there’s no incentive to build now. 

Buying property in Larnaca is a smart investment for those who plan on living there. The cost of an apartment in Larnaca is significantly lower than in other locations. This means that you can get more space for less money.

The fifth place goes to Ayia Napa

Ayia Napa is a seasonal town. Almost all businesses close during the winter and open up again in summer. Thus, the small size of this market means that it is not a good place for serious investments. 

You could only buy real estate for living during the winter. Owners of properties take advantage of the quiet time in the winter. In summer, you can rent your property out at very affordable prices.

Conclusion: Choose Limassol or Paphos if you want to invest in real estate

It’s time to invest in Cyprus! The rewards are great, and the risks minimal. Limassol and Paphos are the clear winners. There is a variety of housing for any preference, price range or location. So, individual investors should think about purchasing property in Nicosia, Larnaca or Ayia Napa.