Cyprus Attracting HNW Buyers

Cyprus is emerging as one of the Mediterranean’s standout property investment markets, as the situation in the Middle East and the closure of EU rivals’ residency programmes redirect global investor flows.

Helen Mercer-Jones, Managing Director of leading UK property investment firm ERE Property, has commented on how the current climate has prompted a wider reassessment of Gulf-based investment positions, particularly among internationally mobile entrepreneurs and high-net-worth individuals.

She comments: “Over the past decade the United Arab Emirates, particularly Dubai, has become one of the world’s most attractive destinations for expatriates seeking tax efficiency, global connectivity, and a high standard of living. Many expatriates who relocated to the UAE for tax-free living are now actively exploring alternative jurisdictions, but crucially they do not want to return to the UK."

When assessing options within Europe, alternatives have narrowed. Portugal closed the property route on its Golden Visa programme in October 2023, while Spain ended its Golden Visa entirely in April 2025. Greece raised its property thresholds significantly in 2024, with minimum investment in Athens, Thessaloniki and several Greek islands now set at €800,000. In contrast, Cyprus is now the only major EU Mediterranean country still operating an open property-linked residency route on broadly its original terms.

The data shows that Cyprus residential property prices rose 7.1% year-on-year in the fourth quarter of 2025, according to the Cyprus Statistical Service. Foreign buyer interest has also continued to rise. According to the Cyprus Department of Lands and Surveys, 7,255 properties were sold to foreign buyers in 2025 – a 16% increase on 2024 and the third-highest total on record. Total real estate transaction value across the Cypriot market reached a record €6.5 billion in 2025, according to PwC Cyprus.

For overseas buyers, Cyprus combines several features that no other major EU Mediterranean country currently matches. The corporate tax rate is 15%, one of the lowest in the EU, and new tax residents qualify for a non-domicile regime that means no tax on dividends, interest or rental income for 17 years. Plus there is no inheritance tax, no wealth tax and no annual property tax.

In addition, permanent residency in Cyprus is available to non-EU buyers who purchase property worth at least €300,000, alongside meeting income and clean-record requirements. Permanent Residence covers the buyer, spouse and dependent children, and does not need to be renewed annually.