In the first quarter of 2026, Cyprus once again distinguished itself with the highest growth rate in home sales across the European Union. Recent data from Eurostat reveals a 13.6% year-on-year increase in residential property transactions, showcasing the island’s robust market momentum.
While Cyprus experienced notable gains, property markets across the EU painted a mixed picture during Q1 2026. Nine member states saw declines in home sales, with Croatia experiencing the steepest drop at -42.2%, followed by Bulgaria (-18.5%) and Finland (-11.8%). Meanwhile, seven countries posted increases, with Denmark trailing Cyprus at 8.4% growth.
This varied performance follows trends from previous quarters: for example, Q4 2025 saw Luxembourg face a significant downturn (-31.3%), whereas Hungary and Austria recorded substantial growth of 23.5% and 20.2%, respectively. This dynamic underlines the diversity of housing market health across Europe, with Cyprus consistently emerging as a standout performer.
Data from Eurostat further confirms that existing homes constitute the core of property transactions across Europe. Countries reporting segmented data show a clear dominance of existing property sales over new builds, reflecting ongoing buyer demand and the essential role the current housing stock plays in stabilizing markets.
Parallel to this, certain nations such as Luxembourg (+36.2%) and Hungary (+33.6%) led growth in new-build sales, while Finland and Slovenia experienced the largest declines. Among existing homes, Slovenia and Lithuania showed the highest transaction growth, emphasizing regional variations in market activity.
Following a sharp downturn during the 2020 COVID-19 lockdowns, the eurozone housing market showed resilience by bouncing back strongly in 2021 and 2022, buoyed by rising house prices. Despite a dip in 2023 when prices fell by 1.0% and transaction values dropped nearly 20%, recovery resumed in 2024, with house prices and transaction volumes increasing by 2.2% and 4.2%, respectively.
The positive trajectory accelerated in 2025, with a 5.3% rise in house prices and a 16.5% increase in property transaction values, signaling renewed confidence and activity in the market.
The ongoing strength of Cyprus’ property market reflects its appeal not only as a place to live but also as a dynamic investment destination. For those exploring affordable options, browse our collection of Cheap Apartments for Sale Cyprus or consider the diverse range of Auction Properties in Cyprus for potential bargains.
Whether you’re interested in new developments or established homes, the market’s vibrant performance is encouraging for buyers weighing options across the island.
For comprehensive listings and expert insights, visit INDEX.cy, your trusted marketplace for real estate in Cyprus.
Support
Information
