CYPRUS HOUSING MARKET REPORT SEPT. 04

A. Average Sale Prices for 09/2004*

  Cyprus Nicosia Limassol Larnaca Famagusta Paphos
Detached House 2 bdr £121,000 £137,000 £136,000 £104,000 £102,000 £132,000
Detached House 3 bdr £171,000 £159,000 £179,000 £151,000 £146,000 £201,000
Detached House 4 bdr £283,000 £301,000 £304,000 £249,000 £248,000 £324,000
Semi-detached 2 bdr £92,000 £99,000 £89,000 £81,000 £78,000 £98,000
Semi-detached 3 bdr £117,000 £130,000 £128,000 £112,000 £99,000 £118,000
Semi-detached 4 bdr £157,000 £151,000 £156,000 £144,000 £185,000 £168,000
Studio £37,000 £40,000 £37,000 £32,000 £31,000 £38,000
Apartment 1 bdr £41,000 £44,000 £41,000 £36,000 £35,000 £43,000
Apartment 2 bdr  £69,000 £75,000 £70,000 £61,000 £59,000 £72,000
Apartment 3 bdr £81,000  £86,000  £73,000  £69,000  £67,000  £85,000 
* Based on a sample of 10,000 properties across Cyprus. Prices rounded to the nearest thousand.

B. Average Rental Prices for 09/2004*

  Cyprus Nicosia Limassol Larnaca Famagusta Paphos
Studio £190 £240 £190 £140 £140 £160
Apartment 1 bdr £240 £310 £230 £190 £190 £210
Apartment 2 bdr  £280 £380 £290 £220 £225 £235
Apartment 3 bdr £350 £420  £360  £285   £290  £300 
* Based on a sample of 5,000 properties across Cyprus. Houses are not included since they are not recommended for "buy to let" investment. Prices are rounded.

C. Average Annual Rental Return for 09/2004*

  Cyprus Nicosia Limassol Larnaca Famagusta Paphos
Studio 6.2% 6.6% 6.2% 4.9% 5.4% 4.7%
Apartment 1 bdr 7% 8.5% 6.7% 6.1% 6.5% 5.6%
Apartment 2 bdr  4.9% 6.1% 5% 4.5% 4.6% 4.3%
Apartment 3 bdr 5.2% 5.9% 5.9% 5.2%  5.2% 4.9%
Average 5.8% 6.8% 6% 5.2% 5.4% 4.9%
* Based on data from table A & B above.

The conclusion is that 1 bedroom apartments offer the best annual return - an average of 7%. As far as towns Nicosia* is leading with an average of 6.8% and Paphos** is last with 4.6%.

* Nicosia not only is the capital and the largest town in Cyprus but also has many universities and colleges that lead to an increase in demand for rental properties.

** Paphos even though it has higher rental rates than Larnaca and Famagusta the rental return is lower due to the fact that properties in Paphos are more expensive.