House prices in Cyprus rose modestly in the second quarter of 2025, continuing a trend of slowing growth in the residential property market, according to preliminary figures released Thursday by the Statistical Service.
The House Price Index (HPI) reached 113.99 units, based on a 2015 benchmark, marking a 0.2% increase from the first quarter and a 1.0% rise compared to the same period last year.
The annual growth rate has steadily declined over the past five quarters, falling from 2.5% in Q2 2024 to 1.0% in Q2 2025. Quarterly changes have also narrowed, with the latest increase down from 1.1% in the previous quarter.
The HPI measures changes in the average prices of residential dwellings, including both new and existing properties, and incorporates the land component. Data is sourced from the Department of Lands and Surveys and covers all government-controlled areas of the Republic of Cyprus.
The index is compiled using a hedonic regression model that accounts for property characteristics and market conditions. Sub-indices for old and new dwellings are weighted based on the previous year’s property values.