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High demand for student housing causes prices to spike

July 17, 2019 at 9:36am
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September is around the corner and newcomers to universities both in the capital of Nicosia and in coastal Limassol have started looking for a place to live.

Advertised rentals on websites are in abundance, while real estate agents have already begun showing apartments to both Cypriot and foreign students who opted to enroll in the island’s private or state universities.

The Nicosia suburb of Engomi appears to be most popular with students since two of the biggest private universities are located there. Universities may have announced new student housing themselves but the problem of high rental prices is still there.

In fact, prices seem to swell with every new month since demand is getting higher and higher while supply remains limited. Specifically, the monthly price for a one-bedroom apartment is over €500 and for a two-bedroom it is around €800.

Head of the island’s Registered Real Estate Agents, Marinos Kynegirou, told Philleleftheros that the problem of rising prices in rentals is observed in all of the island’s cities and not only in Nicosia which absorbs the lion’s share of students. And that he expects this price hike to continue for another two to three years before it gets stabilised.

Kynegirou also said that Nicosia’s Agladjia suburb is the second most popular with students since the University of Cyprus is located there. And that one and two bedroom apartments are the most sought after. He also agreed that despite the fact that universities have built their own student housing demand is still very high.

And so are the prices which he predicts that they will come down in two to three years because there will be more available apartments on the market.

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Government to unveil new housing policy to respond to rising rents