Rental Housing Costs in the Republic of Cyprus in 2026

Renting housing in the Republic of Cyprus remains one of the most discussed topics among both local residents and foreigners moving to the island. Over the past few years, prices have risen noticeably in almost all cities, but the situation differs in each region. Limassol remains the most expensive real estate market, Larnaca is rapidly becoming more expensive thanks to large-scale investments and infrastructure development, Nicosia attracts company employees and students, while Paphos and the Famagusta district still retain their status as the most affordable destinations for long-term rentals.

From 1 July 2026, the rental market will also face legislative changes: payment for residential and commercial property rent will have to be made only cashlessly via bank transfers, cards, or electronic payment systems. This is one of the measures aimed at increasing real estate market transparency and control over rental income.

• What is happening in the rental market
• Limassol
• Larnaca
• Nicosia
• Paphos
• Ayia Napa and Paralimni
• Cashless rent payment from July 2026
• Frequently asked questions

What is happening in the rental market

The main price growth began after 2021. Several factors influenced the market at once: an influx of foreign professionals, the relocation of international companies, growth in the number of students, and a limited supply of new housing. The changes especially affected Limassol and Larnaca.

According to the Land Department and real estate market participants, in some districts of Limassol rental costs have risen by more than 40–60% over the past few years, and in some popular areas of Larnaca and Paphos the increase has been around 20–35%. The pace of growth is gradually slowing, but there is still no sign of price declines.

Limassol — the business hub and the island's most expensive city

Limassol is considered the main business center of the Republic of Cyprus. It is home to international company offices, IT businesses, shipping enterprises, and financial organizations. This is why demand for rentals remains the highest on the island.

The city is most often chosen by specialists from international companies, entrepreneurs, and families who value international schools, developed infrastructure, and a wide choice of modern residential complexes.

The most expensive areas remain Germasogeia, Agios Tychonas, and Parekklisia.

Larnaca — a fast-growing market and proximity to the airport

Just a few years ago, Larnaca was considered one of the most affordable cities on the island, but the situation is gradually changing. The development of the port and marina, the construction of new residential complexes, and strong interest from foreign buyers have led to a noticeable rise in prices.

Larnaca is suitable for those who want to live near the sea, use the international airport, and still not pay Limassol prices. The city is popular among families, remote workers, and retirees.

According to market estimates, rents in Larnaca have increased by approximately 25–35% over recent years.

Nicosia — the capital for work and study

Nicosia remains the country's administrative and educational center. It is home to government institutions, universities, and the headquarters of many Cypriot companies.

The capital is often chosen by students, civil servants, and employees of companies operating mainly in the domestic market of the Republic of Cyprus.

Among the popular areas are Strovolos, Engomi, and Agios Dometios.

Paphos — a peaceful pace of life and affordable rent

Paphos remains one of the most popular destinations among retirees, remote workers, and those who prefer a more relaxed lifestyle.

Despite growing interest from foreign property buyers, rent here is still noticeably cheaper than in Limassol and Larnaca.

The most sought-after areas are Paphos, Geroskipou, Konia, and Pegeia.

Ayia Napa and Paralimni — the most affordable prices by the sea

The Famagusta district remains one of the most affordable regions of the Republic of Cyprus for renting housing. At the same time, the housing is located near some of the island's best beaches.

The area is often chosen by families, retirees, and people working remotely. Outside the tourist season, rental prices here are usually significantly lower than in Limassol and Larnaca.

Cashless rent payment from July 2026

From 1 July 2026, mandatory cashless payment for rent of residential and commercial property will be introduced in Cyprus. Payments must be made through bank transfers, bank cards, or electronic payment systems.

For tenants, this means an official confirmation of payment and more transparent relations with property owners. For landlords, the new system implies more complete accounting of rental income and tighter tax control.

The new rule will apply to both long-term residential rentals and commercial property.

The following penalties apply for violations:

• individuals — 300 EUR;
• companies — from 500 EUR to 1,000 EUR;
• in more serious cases — up to 20,000 EUR.

We recommend keeping all payment confirmations.

Frequently asked questions

Where is the most expensive rent in Cyprus?

The highest prices are traditionally observed in Limassol, especially in the Germasogeia and Agios Tychonas areas.

Where is the most affordable rent near the sea?

Among the most affordable options are Paralimni and Ayia Napa outside the peak tourist season.

Which city do families with children choose most often?

Limassol and Larnaca are most popular among families thanks to their infrastructure, schools, and convenient transport links.

Will it be possible to pay rent in cash?

From 1 July 2026, rent payments for residential and commercial property must be made cashlessly.