Rental Market Overview in Cyprus
The rental market in Cyprus is characterized by a significant distinction between urban centers and coastal regions. As of 2025/2026, demand remains high in cities such as Limassol and Nicosia, driven by international business relocation and the growing expatriate community. Foreign nationals should note that the market is divided into "Free Market" rentals and "Rent Control" rentals, each governed by different legal frameworks.
Most modern apartments and houses fall under the free market, where prices are determined by supply and demand. Rent control typically applies only to buildings completed before December 31, 1999, located within specific "Rent Control Areas." For most foreigners moving to Cyprus, the tenancy will be governed by the general provisions of the Contract Law, Cap. 149.
Types of Tenancy Agreements
Tenancy agreements in Cyprus are generally categorized by their duration and the legal status of the property. It is standard practice to have a written contract in English or a bilingual version (Greek/English).
- Fixed-Term Tenancy: These agreements have a specific start and end date, usually lasting 12 or 24 months. Termination before the end date often carries financial penalties unless a break clause is included.
- Periodic Tenancy: If a fixed-term contract expires and the tenant continues to pay rent without a new agreement, the tenancy becomes "periodic" (usually month-to-month).
- Statutory Tenancy: This occurs under the Rent Control Law. If a tenant remains in a property after the first lease expires, they may become a statutory tenant, making eviction more complex for the landlord.
Standard Contract Clauses
A standard lease agreement should include the identification of the parties, property description, rent amount, payment schedule, deposit terms, and a clear list of included furniture or appliances. It is highly recommended to conduct a "Move-in Inspection" and attach a signed inventory list to the contract.
Financial Considerations and Costs
Renting a property involves several upfront and recurring costs. Prices vary significantly by district, with Limassol typically being the most expensive area.
- Security Deposit: Standard practice is a deposit equivalent to one or two months' rent. This is held by the landlord and should be refunded at the end of the tenancy, provided there is no damage beyond normal wear and tear.
- Advance Rent: Tenants are usually required to pay the first month's rent upon signing the contract.
- Stamp Duty: Lease agreements must be stamped at the Tax Department to be legally enforceable. The cost depends on the total value of the contract. For a standard annual lease, this often ranges from €20 ($22 USD, Jan 2026) to €50 ($55 USD, Jan 2026).
- Common Expenses: In apartment buildings, tenants are responsible for "communal charges" covering lift maintenance, cleaning of common areas, and lighting. These average between €30 ($33 USD, Jan 2026) and €100 ($109 USD, Jan 2026) per month.
Important: Rent increases in the free market are negotiated between the parties at the end of the lease term. In Rent Control areas, increases are regulated by the government and cannot exceed a specific percentage (currently 0% as per latest 2024-2025 decrees, subject to biennial review).
Rights and Responsibilities
The relationship between landlord and tenant is governed by the terms of the signed contract and the Civil Code. Both parties have specific legal obligations that must be met throughout the tenancy.
Landlord Obligations
- Ensuring the property is habitable and meets safety standards.
- Paying for major structural repairs (roof, external walls, plumbing infrastructure).
- Allowing the tenant "quiet enjoyment" of the property (notice must be given before entry).
Tenant Obligations
- Timely payment of rent and utility bills.
- Maintaining the interior of the property in good condition.
- Minor repairs (e.g., changing light bulbs or basic garden maintenance).
- Notifying the landlord of any significant damage or necessary structural repairs.
For official legal guidance, foreign nationals can refer to the Department of Lands and Surveys for information regarding property boundaries and registration.
Utility Management and Services
In most cases, utilities are not included in the monthly rent. It is the tenant's responsibility to transfer the accounts into their name to ensure continuous service and accurate billing.
- Electricity: Managed by the Electricity Authority of Cyprus (EAC). A deposit is required for account transfer, typically around €200 ($218 USD, Jan 2026) for foreign nationals.
- Water: Managed by local municipal water boards (e.g., WBL in Limassol). A smaller deposit is usually required.
- Internet: Several providers offer fiber optic and broadband services. Contracts are usually for 12 or 24 months. Monthly costs range from €25 ($27 USD, Jan 2026) to €60 ($65 USD, Jan 2026) depending on speed.
- Refuse Collection: This is a municipal tax, often paid annually. Depending on the agreement, it may be paid by the landlord or the tenant.
To transfer utilities, you will typically need a copy of the signed and stamped rental agreement, your passport, and your Alien Registration Certificate (ARC) or residency permit.
Termination and Dispute Resolution
Terminating a lease requires adhering to the notice period specified in the contract, which is commonly one to two months. If no notice period is specified, the law implies a "reasonable" notice period based on the payment frequency.
In the event of a dispute (e.g., non-payment of rent or refusal to return a deposit), parties may seek resolution through:
- Mediation: Informal negotiation between parties, often facilitated by real estate agents.
- Rent Control Court: Specifically for properties under the Rent Control Law. This court handles evictions and rent adjustments.
- District Court: For properties not covered by Rent Control, all disputes are handled by the standard civil courts.
As of 2025, Cyprus has implemented stricter "Speedy Eviction" laws for commercial and residential properties where the tenant is in arrears for more than 21 days, though this applies primarily to properties under Rent Control.