Over the past 2 years, the value of rent in Cyprus has increased significantly. This is happening against the backdrop of the country's economic development, as well as due to a serious increase in demand for real estate in this island state. Moreover, as experts note, primarily because the number of transactions concluded with foreign investors is growing. They influence the significant growth in sales of a wide variety of real estate in Cyprus: from cheap to luxury.
Thus, the demand for real estate in general, the emergence of new owners, the demand for resort real estate in the season in recent years - somewhat overheat the rental market and lead to an increase in rent. In Limassol, rental rates have increased by 25% over the past 2 years. If in 2016 in this resort and actively developing city it was possible to rent an apartment for a month for 400 euros, then already last year the average rental rate was equal to 460 euros, and this year it has risen to 500. And closer to the sea, the cost of rent is growing by another third. Regarding Limassol, it is important to note that the city is really actively developing. There are quite enough territories that are planned to be built up, and for which developers have views. Limassol also differs from a number of other cities in the country by a large number of luxury properties - both residential and commercial. In Limassol, it is quite possible to find luxury accommodation for rent at a rate of 1000 to 2500 euros per month for a two-room apartment.
Such changes in the rental market of Limassol have a serious impact on the contingent of those who rent housing. For ordinary Cypriots, it becomes less and less accessible here. The construction of hotels, casinos, wealthy guests staying in the port of the city from various countries - all of them provide the demand for real estate in Limassol and are ready to pay more serious money for renting an apartment than local residents. It should be noted that the country's authorities have actively promoted the program of obtaining citizenship in exchange for investment. This led to an influx of serious money into the country's economy, on the one hand, and on the other hand, warmed up not only the real estate market as such, but also the related rental market.
A number of experts believe that the situation may be influenced by changes in the country's mortgage lending market. It is believed that in this regard, Cyprus still has room to grow. Many are simply not able to take loans on the island, so they prefer to rent housing, thereby increasing the already high demand for apartments, apartments and villas for rent.
