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Economy

House prices up by 4.3%

July 10, 2019 at 2:01pm

There was an annual increase of 4.3% in house prices compared to 2018, according to the latest House Price Index (HPI) published today by the Statistical Service.

According to preliminary estimate of the Statistical Service, the HPI for the first quarter of 2019 amounts to 107,78 units.

Compared to the fourth quarter of 2018, the HPI increased by 0,8% while compared to the Index of the corresponding quarter of 2018, the Index increased by 4.3%.

Definition

House Price Index (HPI) is a quarterly index which measures the change in the average prices of residential dwellings. It captures all types of residential properties, both new and existing. The land component of the residential property is included.

Data source

The data source used for both, indices and weights, is the Department of Lands and Surveys, Ministry of Interior. The data cover all areas which are under the control of the government of the Republic of Cyprus.

Data compilation

The data are stratified into two strata; old and new dwellings. For each stratum a rolling window hedonic regression model is used in order to calculate the sub-indices. Then, the sub-indices are weighted based on the sum of the value of the properties of each stratum in the previous year.

Base year

The base year is 2015=100.