Limassol remains the most expensive city in Cyprus when it comes to the cost of living and property prices — a trend fueled primarily by tight housing supply and sustained demand pressures. Recent figures from Numbeo’s latest cost-of-living data confirm Limassol’s top position, surpassing Nicosia, Paphos, and Larnaca across most spending categories, with housing costs keeping the city ahead in the rankings.
Rent expenses constitute the largest share of household budgets in Limassol, consuming approximately 32.2% of monthly expenses — the highest among the island’s main urban centres. The scarcity of residential units intensifies the affordability strain on renters.
Data for January 2026 show average monthly rents for a one-bedroom apartment in Limassol city centre at €1,338.64, with three-bedroom units averaging €2,350.00. Even outside the city centre, rents remain steep at €1,147.22 for one-bedroom and €1,743.48 for three-bedroom apartments.
In contrast, rental costs are considerably lower in other cities: Nicosia’s rent makes up 27.9% of monthly expenses, with one-bedroom city-centre apartments costing €664.55 on average. Paphos and Larnaca register rent shares of 29.3% and 26.4%, with prices of €922.22 and €862.62 for similar units, respectively. This clearly illustrates Limassol’s growing premium in the rental market.
Residential capital values in Limassol similarly eclipse other Cypriot cities. Apartments in Limassol’s centre are priced at around €4,536.49 per square meter, substantially above Nicosia’s €2,713.81 per square meter. Paphos and Larnaca follow with prices at €3,742.00 and €3,403.26 per square meter, respectively.
Even beyond city centres, Limassol holds a premium at €3,555.38 per square meter, while other cities’ values range mostly between €1,900 and €2,100. This persistent price discrepancy signals not just short-term fluctuations but a fundamental structural demand for properties in Limassol.
Limassol boasts the highest average monthly net salary on the island at €2,449.46, surpassing Nicosia’s €1,547.36, Paphos’ €1,919.93, and Larnaca’s €1,594.57. While this higher income level does support the city’s premium housing market to an extent, growth in wages still falls short of matching rising housing costs.
Mortgage interest rates are relatively similar across regions, with 20-year fixed rates varying modestly from 3.52% in Paphos to 4.36% in Nicosia, indicating that financing terms are not a significant cause of regional price differences.
Beyond housing, Limassol’s residents pay more for everyday services and leisure activities. Dining out, entertainment, and private service prices in the city consistently exceed national averages, underscoring its position as a high-end, service-oriented hub.
For example, a mid-range three-course meal for two costs around €80 in Limassol, compared with €60 in both Nicosia and Paphos, and €50 in Larnaca. Gym memberships average €81.76 monthly, again well above other cities.
Family-related expenses add to the financial demands — private preschool fees average €538.09 per month, while international school tuition can reach €9,419.38 annually. Such costs help maintain demand for premium housing from higher-income families.
If you’re navigating Cyprus’ real estate market and seeking alternatives, you might want to explore Cheap Apartments for Sale Cyprus or consider other affordable housing options available on Index.cy.
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