Reduced sales prices for all types of real estate in the second quarter of 2021 as well as rental prices on a nationwide basis, with the exception of apartments according to the Sale and Rental Price Index, WiRE Index.
The latest data compiled by WiRE show that the market continues to be affected by the effects of the coronavirus pandemic since during the reporting period, there was a quarterly drop in sales prices for all categories of real estate and almost all in relation to rental prices. On an annual basis, the most characteristic conclusion is the decrease in the purchase and rental prices of commercial real estate, while in most categories of residential real estate there is an increase in prices.
More specifically, the selling prices of apartments on a Cypriot basis decreased by 0.14% in the second quarter of 2021 compared to the first, house prices decreased by 0.36%, commercial real estate by 0.85%, warehouses by 0.33%, office space by 0.62%, of holiday apartments by 0.38% and of holiday homes by 0.95%. At the provincial level, the increase in the purchase prices of apartments in Limassol stands out, which continued to increase by about 2.5% on a quarterly basis for the fourth consecutive quarter, thus covering the large decrease observed in the first half of 2020. On an annual basis, the significant reduction in the prices of commercial real estate and warehouses, of the order of 5.1% and 4% respectively.
Regarding the rental prices of real estate on a pan-Cypriot basis, only those of the apartments showed a small increase of 0.05% on a quarterly basis. Home rental prices decreased by 1.6%, commercial real estate by 2.10%, warehouses by 0.94%, office space by 0.41%, holiday apartments by 0.59% and holiday homes by 1.50%. In terms of rentals, there is a big reduction in prices for all types of real estate in the province of Paphos. On an annual basis, there is a decrease in the rental prices of holiday homes, of 5.5% and commercial real estate by 8%.
According to the CEO of WiRE FS, Pavlos Loizou, “the insignificant improvement of the epidemiological picture of the country maintains the climate of uncertainty despite the increase recorded in transactions compared to the corresponding period last year (restrictive measures, lockdown, etc.), however “We are still quite far from stabilization levels, let alone rising.”
Wanting to fill a gap in the market and help industry professionals and all concerned to have a better picture of price trends, WiRE FS presents the results of the WiRE Index on a quarterly basis. The Index records the quarterly change in the sale and rental prices of all types of real estate, ie apartments, houses, shops, offices, holiday apartments and holiday homes.