Since 2016 it is quite an atypical case when quarterly abatement in the prices of immovable property is simultaneously indicated in all Cypriot provinces, including Nicosia. In particular, in Paphos there was a decrease of 1,8%, in Nicosia — by 0,5%, and in Larnaca and Famagusta — by 0,4%.
The first decline happening consequently during longer than 3 months after four years was indicated in the third quarter of 2020 by the Central Bank of Cyprus, while the CPI showed a significant slowdown on an annualized basis.
According to the CBC, the CPI in the third quarter of 2020 recorded its first slight decline after sixteen consecutive quarters of steady growth. In particular, it decreased by 0,3% compared to an increase of 0,9% in the previous quarter, while on an annualized basis (Q3 2019) it recorded a significant slowdown, while the growth rate decreased to 1,2% up from 2,2% in the previous quarter.
When it comes to prices per housing type, apartment prices showed a slight decrease of 0,2% for the first time since the third quarter of 2016, mainly due to the effects of the pandemic and lower demand from foreign buyers. House prices also decreased by 0,5% compared to the previous quarter.
The CBC also notes that “the real estate market is mainly affected by medium- and long-term effects, with the result that the effects of the pandemic may be more pronounced at a later stage.”
Finally, CBC stresses that real estate prices are expected to come under downward pressure due to the continuing financial difficulties, rising unemployment and uncertainty, and to a lesser extent due to the termination of the “golden passport” program.
This slight slump might actually help you to get the exact Cypriot property that you’ve desired.
