Which property type offers the highest investment return?

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The property market in Cyprus remained strong during the second quarter of 2026, with property yields ranging from 2.85% to 5.82%, according to the RICS Cyprus Property Price Index with KPMG in Cyprus.

Holiday apartments recorded the highest yield at 5.82%, followed by retail shops at 5.78%, offices at 5.63% and apartments at 5.51%.

The yields across the different property categories were:

  • Holiday apartments: 5.82%
  • Retail shops: 5.78%
  • Offices: 5.63%
  • Apartments: 5.51%
  • Warehouses: 4.15%
  • Houses: 3.01%
  • Holiday houses: 2.85%

Yields increased year-on-year across all property categories except warehouses.

Property values also rise

Property values in Cyprus also recorded increases during the second quarter of 2026.

Apartments registered the strongest annual growth, with values rising by 5.42%. Warehouses followed with a 4.22% increase, while houses rose 4.04%.

Office values also increased, rising by 3.69% compared with the corresponding quarter of 2025.

The figures indicate continued positive momentum in the property market, with most major property categories recording annual gains in both yields and values.


Also read: Cyprus weighs new limits on foreign property buyers
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