Cyprus vs Greece: Where Is It More Profitable to Invest in Real Estate in 2025

Real estate investments in Europe are once again gaining momentum, and two Mediterranean destinations – Cyprus and Greece – remain at the center of investor attention. Both countries offer a sunny climate, access to the sea, and strong tourism potential, yet their real estate markets differ significantly. In 2025, these differences have become even more pronounced.

Cyprus: Stability, Steady Growth, and Foreign Demand

In the first nine months of 2025, property transactions in Cyprus reached nearly €3.5 billion, up by about 12–13 % compared to the previous year. The average rental yield for apartments is around 5 %, while property prices continue to grow at a steady 7–10 % annually.

Cyprus maintains its reputation as a reliable and transparent property market:

• consistently strong demand for apartments and villas by the sea;

• clear ownership and registration procedures;

• a stable economy supported by the construction sector;

• growing interest from international buyers, especially from Europe, Israel, and the Middle East.

Average property prices range from €2 500 to €3 000 per m², and in Limassol or Paphos they can be higher. Buyers gain not only quality housing, but also a profitable investment asset that generates rental income and long-term appreciation.

Greece: Lower Entry Prices and Room for Growth

The Greek property market in 2025 is also expanding, though at a slower pace. Average annual price growth is estimated at 3–4 %, while overall property prices remain more affordable than in Cyprus.

Advantages of investing in Greece:

• wide choice of properties – from city apartments to island homes;

• relatively low entry prices (starting from €1 500 per m² in many regions);

• strong tourism industry ensuring steady rental demand;

• residency-by-investment programs that remain attractive to foreign buyers.

Still, analysts note several challenges: a 17–18 % drop in foreign investments in 2025, bureaucratic procedures, and strong regional variation – Athens, Crete, and Rhodes show very different dynamics.

Market Comparison: Cyprus vs Greece in 2025

Criterion	Cyprus	Greece
Average price growth	7–10 %	3–4 %
Rental yield	4.8–5.4 %	3.5–4.5 %
Average price per m²	€2 500–€3 000	€1 500–€2 200
Foreign buyer demand	High	Decreasing
Bureaucratic complexity	Low	Medium–High
Growth potential	Medium–High	Moderate

Conclusion

If your goal is steady income and market stability, Cyprus currently offers a more favorable environment: transparent legal processes, strong foreign demand, and consistent capital growth.
If you’re looking for a lower entry point and long-term appreciation, Greece may be an interesting option – especially in emerging or underdeveloped regions with tourism potential.

Both markets remain attractive for European property investors, yet Cyprus stands out in 2025 for its balance of rental income, value growth, and lifestyle advantages.