Construction material prices jump 3.74%

Nigel Howarth
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Construction material prices jump 3.74%

Construction material prices in Cyprus continued to rise in September, with the annual increase led by metals, wood-related products and plastics. The latest figures from the Cyprus Statistical Service (CYSTAT) could add pressure to budgets for property developers, builders and renovators.

The Price Index of Construction Materials reached 123.41 points in September 2026, using 2021 as its base year. That was 0.26% higher than in August and 3.74% above September 2025. For January to September, the index was up 2.24% compared with the same period in 2025.

Metals and wood-related products lead annual increases

Metallic products recorded a 5.28% annual increase. Within that category, products made from aluminium and other metals rose 5.68%, while iron and steel products were up 5.07%.

Products of wood, insulation materials, chemicals and plastics increased 5.06% overall. Wood products climbed 5.49%, and plastic products had the largest annual increase among the listed subcategories, at 6.43%.

Electromechanical products rose 4.08% year on year. Electrical fixtures saw a sharper 8.38% increase, while heating and cooling equipment was 1.70% lower than a year earlier.

Price Index of Construction Materials in Cyprus September 2026

Cement prices also moved higher

Minerals rose 2.81% over the year, including a 4.77% increase for cement. Mineral products were up 1.35%, while ceramics rose 0.42%.

Month to month, the biggest listed category increase was in products of wood, insulation materials, chemicals and plastics, which rose 0.54%. Electromechanical products increased 0.63%, while mineral products were broadly unchanged.

What the figures could mean for property budgets

The index points to higher input costs across several construction categories over the past year. That may put pressure on budgets for new projects and renovation work, although the index does not show how much any individual project or retail product has increased in price.

The largest annual increases were concentrated in plastics, electrical fixtures, wood products and metal products.

 

The roller-coaster ride of Cyprus property prices over the years

Nigel Howarth
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The roller-coaster ride of Cyprus property prices over the years

Cyprus property prices have followed an uneven path since 2006. The national index shows apartments rising strongly in recent years, while house prices have recovered more slowly. But the picture changes when we take the increases in everyday consumer prices into account.

The Residential Property Price Index supplied by the Central Bank of Cyprus, which is used in both reports, is for the 2nd quarter of 2026.

National trends: apartments and houses

Before adjusting for inflation, the national apartment index rose from 74.6 in 2006 Q1 to 128.7 in 2026 Q2, an increase of 72.7%. It fell for several years and reached a low in 2015 Q4. After that, it climbed and reached its highest reading in the latest quarter.

The house index followed a different route. It peaked at 108.9 in 2008 Q3, then declined for years. By 2026 Q2, it had recovered to 98.0. That is 48.5% above its 2006 starting point, but still below the 2008 peak. In simple terms, apartment prices rose more strongly over the full period, while house prices experienced a deeper and longer decline.

Cyprus property prices by district

The district figures begin in 2010 Q1. Before inflation adjustment, apartment indexes rose in four districts. Limassol had the largest increase, up 54.1% by 2026 Q2. Paphos gained 36.1%, Larnaca 22.6% and Nicosia 2.0%. Famagusta was 4.6% below its 2010 level.

House indexes varied too. Limassol and Paphos were about 10% above their 2010 readings. Famagusta was up 5.4%. Meanwhile, Larnaca was down 5.1% and Nicosia down 16.8%. This is why a national figure can hide very different local experiences.

Download the Residential Property Price Index Report

What changes after HICP adjustment?

The Harmonised Index of Consumer Prices, or HICP, tracks price changes using a common European method. CYSTAT’s HICP includes spending by residents and visitors. CYSTAT’s methodology and monthly HICP series provide the inflation figures used here.

After adjusting for HICP, the national apartment index rose 20.6% from 2006 Q1 to 2026 Q2. The house index rose 3.7%. These gains are smaller than the unadjusted changes because general consumer prices also increased over the period.

Since 2010 Q1, Limassol and Paphos were the only districts where apartment indexes rose faster than HICP, by 17.7% and 4.0%. Apartment indexes in Nicosia, Larnaca and Famagusta fell relative to HICP by 22.1%, 6.4% and 27.1%. All five district house indexes also fell relative to HICP. The declines ranged from 16.0% in Limassol to 36.4% in Nicosia.

Download the Residential Property Price Index Report Adjusted for Inflation

How to read the figures

The charts use Residential Property Price Index (RPPI) supplied by the Central Bank of Cyprus. Each district house and apartment index starts at 100 in 2010 Q1. A reading of 120 means the index is 20% above that starting level. It does not mean a home costs 120 euros.

The first report tracks the broad movement of prices of a typical home, and these charts do not adjust for inflation or changes in the homes sold.

The second report adjusts the RPPI  using the Harmonised Index of Consumer Prices (HICP) provided by the Cyprus Statistical Service. The report compares quarterly RPPI figures with the average HICP for that quarter. It shows broad price movement, not whether a home is affordable for a particular household.

Dangerous buildings in Cyprus: prevention must start with proper management

Panayiotis Peklivana
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Dangerous buildings in Cyprus: prevention must start with proper management

Cyprus is debating what to do about dangerous and jointly owned buildings. Authorities, lawmakers and property professionals are considering inspections, enforcement and changes to the rules governing jointly owned developments.

Those discussions matter. But I believe they risk starting too late.

By the time a building is officially judged dangerous, years of neglected repairs, poor financial planning and disputes over communal charges may already have taken their toll. We should also ask a harder question: how can we stop buildings reaching that point?

I believe part of the answer lies in how we manage buildings every day.

The rules exist. Consistent management does not

Cyprus already has legislation covering the administration, maintenance, insurance and shared costs of jointly owned buildings. Yet, in practice, we have not had a consistent system for putting those responsibilities into effect.

Procedures can vary sharply from one development to another. Methods for calculating communal charges, tracking arrears, reporting spending and planning repairs are not uniform.

Legislation alone cannot guarantee that routine responsibilities are carried out effectively. When records, budgets and maintenance plans fall short, problems can be harder to identify and more expensive to fix.

Buildings rarely become dangerous overnight

Water ingress, cracks, corrosion in reinforced concrete and failing shared installations tend to develop over time. Without proper administration, adequate funding and planned maintenance, relatively manageable problems can eventually become extremely expensive problems.

This is why dangerous-building policy should not concentrate solely on inspection and enforcement after serious deterioration has occurred.

Prevention must begin with the day-to-day management of the building

A properly functioning Management Committee needs to know what money is required, how communal expenditure should be distributed, what funds have been collected, what remains outstanding, what maintenance is required and whether sufficient funds are available to undertake that work.

It must also maintain proper financial and administrative records and provide owners with appropriate information concerning communal expenditure.

If these basic functions are not performed consistently and effectively, the maintenance of the building inevitably becomes more difficult.

Management committees need more than legislation

While some buildings have professional management, many rely on volunteer committee members who often have limited knowledge of the legal and administrative responsibilities they have undertaken.

Yet these volunteers are expected to administer communal finances, collect charges, deal with arrears, arrange insurance and maintenance, retain records, communicate with owners and understand the legal framework governing jointly owned property.

Simply imposing responsibilities upon Management Committees does not provide them with the practical tools required to fulfil those responsibilities.

The same applies to professional property managers.

Without a common management framework, every company can develop its own procedures and every change of Management Committee or management company can result in a different administrative approach.

Cyprus therefore needs to consider standardisation as well as regulation. A Practical digital solution already exists.

After several years of development, MyPropMan has been created specifically to address this problem.

MyPropMan is a Professional Legal Communal Property Management Online Portal specifically designed and programmed around the requirements of communal property management in the Republic of Cyprus.

MyPropMan is GDPR-compliant. Unit owners can only access information relevant to their own unit. They cannot view other owners’ names, contact details, financial information or any other material relating to another unit or its owner.

Transparency must be part of the system

Owners cannot reasonably be expected to continually contribute money towards their development without appropriate information regarding how those funds are being administered.

Transparency therefore needs to be built into communal management rather than treated as something provided only when disputes arise.

MyPropMan provides individual owners with secure access to relevant information concerning their property and communal expenditure, including supporting documentation.

This creates a clear connection between the owner, the Management Committee, communal finances and the management of the building.

Greater transparency can increase confidence. Greater confidence can improve collection of communal charges. Improved collection provides Management Committees with the financial resources required for maintenance.

The relationship between administration, funding, maintenance and building condition should not be underestimated.

Enforcement cannot do the whole job

The debate over which authority should oversee dangerous buildings is important. But changing the regulator would not, by itself, standardise how thousands of developments are managed day to day.

We invite the Ministry of Interior, the Department of Lands and Surveys, District Self-Government Organisations, ETEK, MPs and other professional bodies to consider a uniform digital framework for communal property management. MyPropMan demonstrates that the technology to support such a framework already exists.

The question is not only what happens once a building is declared dangerous. We must also ask whether owners and committees have the practical support to maintain it before conditions deteriorate.

Prevention depends on proper administration. Proper administration enables proper funding, and proper funding enables planned maintenance. If we are serious about tackling dangerous buildings in Cyprus, we must start with how jointly owned developments are managed throughout their lives.

MyPropMan demonstration

The system can be examined through two demonstration environments:

Management / administration demonstration

Property owner demonstration

Media, government and professional enquiries

Panayiotis Peklivana
MyPropMan Cyprus Limited
MyPropMan – Professional Legal Communal Property Management Online Portal

Bill on jointly owned buildings moves closer to final stage

Nigel Howarth
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Bill on jointly owned buildings moves closer to final stage

Cyprus’ proposed rules for managing jointly owned buildings are moving closer to detailed parliamentary scrutiny, after the Ministry of the Interior and District Local Government Organisations (DLGOs) made progress in resolving differences.

The House Interior Committee has given the parties three weeks to submit their final written proposals and update the draft legislation. The discussions cover six legislative texts and include government services, local organisations, professional bodies, banks and insurers.

Key issues include the transfer of management responsibilities to the DLGOs, the digital system they will need, unpaid communal charges and insurance cover for jointly owned buildings.

First proposed in 2023, the bill has been over three years in the making, shaped by stakeholder feedback and calls for urgent action. Earlier this year, we reported that legislation on jointly owned residential buildings and unsafe properties would top the Interior Affairs Committee’s agenda when Parliament returned in September.

Agreement on new responsibilities, subject to preparations

The Ministry is reported to have accepted the main conditions set by the DLGOs before they take on responsibility for managing jointly owned buildings.

As we reported yesterday, the proposed transfer would follow a two-year transition period, with 1 January 2029 as the target date, provided the required preparations are completed first. These include digital infrastructure, administrative and financial support for the DLGOs, and a clear definition of their responsibilities in the final legislation.

Nicosia DLGO chairman Constantinos Yiorkadjis said the organisation was ready to take on the role, but stressed that the relevant software must be completed, fully operational and tested in advance.

The Legal Service said proposals on the software should be submitted during the clause-by-clause examination of the bill. It will also review constitutional concerns raised about parts of the proposed framework.

ETEK calls for one digital process

The Cyprus Scientific and Technical Chamber (ETEK) backed a unified, fully digital process for managing jointly owned buildings. It said the process should be consistent and should not add costs for those affected.

ETEK also warned against fragmenting services among five separate administrative structures. Where a building already has a management committee, existing tools and arrangements should be taken into account, it said.

Banks raise concerns about communal charges

The Cyprus Banking Association supported modernising the management framework but raised legal concerns about some of the proposals.

It questioned a provision that would require outstanding communal charges to be settled before a property can be transferred, warning that this could complicate property transfers. The measure needs further assessment before the legislation is finalised, the association said.

Under proposals being considered, a management committee could be required to provide confirmation when a sale contract is deposited or a unit in a jointly owned building is transferred. The confirmation would show that communal charges have been paid or, under some parliamentary proposals, that an agreed repayment plan is in place.

Insurers flag cover and duplicate costs

The Cyprus Association of Insurance Companies raised concerns about insuring buildings without a certificate of suitability. It also called for the relevant authorities to be informed about a building’s insurance cover and for records to be kept up to date.

The Pan-Cypriot Association of Insurance Intermediaries said some cases involve insurance for both the whole building and individual apartments. This can lead to overlapping cover and potentially duplicate costs. It called for insurance to be considered at building level and raised concerns about the right to assign insurance proceeds to banks.

MPs urge clear rules and practical support

Committee chairman and AKEL MP Aristos Damianou welcomed progress between the Ministry and the DLGOs. He said the three-week period would allow the draft laws to be updated before clause-by-clause scrutiny begins.

Damianou also described the existing framework as outdated and difficult to apply, saying thousands of people are affected. The Interior Ministry has requested until the 29th of the month to address issues concerning dangerous buildings.

DISY MP Nikoleta Constantinou said it remains to be seen whether the central government will provide the support the DLGOs need. She said the final framework must protect owners’ rights, support good administration and be workable in practice.

ELAM MP Andreas Papacharalambous called for agreed measures to be backed by practical action. He highlighted wider powers for management committees and technical building inspections, describing them as similar to an “MOT” test.

DIKO MP Panikos Leonidou said technical and financial issues appeared to have been resolved for the initial implementation period. He urged that the bill reach the House plenary as soon as possible, pointing to difficulties management committees face in maintaining buildings and dealing with dangerous or derelict properties.

Three weeks to submit final proposals

The committee’s discussions highlighted the need to define the DLGOs’ responsibilities, complete and test the required software, and establish a consistent management process for jointly owned buildings.

Constitutional questions, property transfers, unpaid communal charges, insurance and dangerous buildings still require consideration. After the three-week deadline for final proposals, the committee aims to update the legislative texts and begin clause-by-clause scrutiny.

The stated aim is an enforceable framework for a problem that has remained unresolved for decades.

Translated and adapted from an article published by StockWatch

Jointly owned buildings face major management shake-up by 2029

Nigel Howarth
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Jointly owned buildings face major management shake-up by 2029

Cyprus is preparing to hand responsibility for managing jointly owned buildings to district organisations in 2029. The plan promises clearer accountability – but owners are still waiting to see how it will work in practice.

Owners of units in jointly owned buildings across Cyprus could see a major change in how their buildings are managed, with District Local Government Organisations (DLGOs) expected to take over responsibility from 1 January 2029.

The reform is intended to tackle persistent problems in these buildings, from neglected common areas to disputes over maintenance and buildings that may pose safety risks. But the handover is not yet settled: legislation remains under discussion, and constitutional, technical and financial details still need attention.

New laws are still being worked out

The Interior Ministry and DLGOs have agreed on conditions for the organisations to assume the new duties. At Thursday’s House Interior Committee meeting, MPs welcomed progress on the revised framework.

Committee chairman Aristos Damianou of AKEL said the ministry had accepted the DLGOs’ requests, allowing work on the draft legislation to move forward. The final texts are expected to be prepared in the coming weeks, while the Legal Service reviews constitutional questions. The committee plans to examine the bills article by article once they are submitted.

The proposed transfer would follow a two-year transition period, provided the necessary conditions are agreed and put in place.

Why jointly owned buildings management needs an overhaul

MPs have described the existing system as outdated and difficult to enforce. Jointly owned building management committees can struggle to arrange repairs and maintain jointly owned property, while their lack of legal personality can make it harder to take responsibility or act when a building becomes dangerous or structurally unstable.

DIKO MP Panikos Leonidou said the Interior Ministry, the Department of Lands and Surveys, and the DLGOs had reached agreement, with technical and financial questions apparently resolved for the initial implementation period. He urged that the legislation be brought to the House plenary promptly, citing the number of people affected by the current arrangements.

DISY MP Nicoletta Constantinou welcomed the progress but said the central government’s practical support for the DGLOs must be established. She also called for the final law to set out responsibilities clearly, protect property owners’ rights and ensure effective administration.

Jointly owned buildings safety remains a central concern

The reform debate also raises questions about inspections and enforcement. ELAM MP Andreas Papacharalambous called for stronger powers for jointly owned  building management committees and mandatory technical inspections, comparing them with roadworthiness tests for vehicles.

Passing a law will not, on its own, make buildings safer. The rules will need clear responsibilities, effective inspections and the means to enforce action where hazards are identified.

The committee is separately examining dangerous buildings. Damianou said the responsible ministry had requested until 29 October to take the necessary steps on that issue.

What the proposed changes could mean for owners

If the reforms are adopted and properly resourced, unit owners could get a clearer framework for managing jointly owned buildings, maintaining common areas and addressing structural hazards. The outcome will depend on the final legislation, the support and resources given to DLGOs, and the practical arrangements made before the planned 2029 handover.

For now, the reform is a proposal in progress—not a finished system. Owners will need to watch how the bills define responsibility, fund the new duties and make building safety rules enforceable.

Cyprus property demand surges as Russian buyers rethink overseas markets

Nigel Howarth
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Cyprus property demand surges as Russian buyers rethink overseas markets

Cyprus and Greece climbed the rankings of the most popular destinations for Russian overseas property buyers in the first nine months of 2026, according to figures cited by RIA Nedvizhimost from Tranio managing partner Mikhail Bulanov.

Cyprus property rose from sixth to fourth place, with its share of enquiries increasing from 5.4% to 8.1%. Greece ranked fifth, up to 7.3% from 5.4%. The figures point to growing buyer interest in both Mediterranean markets.

Cyprus property rises in buyer rankings

Thailand remained the leading destination, although its share of enquiries fell from 22.9% to 17.8%. Turkey held second place, rising from 8.4% to 10.2%, while the UAE stayed third, increasing from 8.3% to 9.8%.

Bulanov attributed the gains for Cyprus and Greece to the appeal of combining a property purchase with a residence-by-investment route. Cyprus offers a permanent residence route linked to qualifying property investment of at least €300,000, subject to the programme’s conditions. Greece’s Golden Visa is a residence permit for qualifying investors; it does not itself grant citizenship. Cyprus Migration Department and Greece Migration Department

Overseas property budgets move higher

Georgia entered the top ten, tying with Montenegro in sixth place. France, Spain and Italy followed. Bali dropped out of the ranking amid concerns over building permits and land status, according to the report.

The median budget for overseas property purchases rose 9.5% year on year to €298,000. The report links the increase to a greater share of enquiries for Turkey, the UAE and Cyprus, where typical budgets are €300,000–€350,000. In 2025, lower-priced Thai condominiums, typically costing €120,000–€150,000, had weighed on the median.

For Cyprus, the report also points to expectations around possible Schengen accession and discussion of tighter terms for the permanent residence programme as factors influencing prices. These are market expectations, not guarantees of future policy or returns.

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