Why Invest in Cyprus

Cyprus is a highly attractive real estate investment destination offering EU stability, favourable tax benefits, and strong rental demand. Investors can achieve solid returns—especially through managed developments with VAT refund eligibility—while enjoying a transparent and supportive investment environment. With opportunities from leading developer Pafilia and a simple path to EU Permanent Residency, Cyprus combines financial growth with an exceptional Mediterranean lifestyle.

The magnificent ONE Limassol viewed from the Mediterranean Sea

A Strategic Investment Environment

Set at the crossroads of Europe, Asia, and Africa, Cyprus has become one of the most appealing real estate investment destinations in the Mediterranean. With its secure EU framework, favourable tax regime, and exceptional lifestyle, the island offers a rare blend of financial growth and personal enjoyment.

Cyprus continues to attract investors from around the world thanks to its stable economy, strong rental demand, and investor-friendly policies. Whether for short-term holiday rentals or long-term leases, the local property market remains robust, supported by consistent tourism, international relocation, and limited new supply in key areas.

As a member of the European Union, Cyprus provides the reassurance of a transparent legal and financial system. The country’s corporate tax rate of just 12.5% among the lowest in the EU can be reduced further through structured planning. There is no inheritance tax, personal income tax remains competitive, and the government actively encourages foreign investment through property-related incentives.

One of the most appealing advantages is the 0% VAT scheme available for qualifying developments. Investors purchasing properties within managed complexes that operate as licensed short-term rentals can recover the full 19% VAT paid, dramatically improving return potential and cash flow.

A man swims in an infinity pool of a villa for sale in Paphos at Minthis Resort

High Returns and Managed Investment Options

Cyprus’s real estate sector offers attractive, stable returns. Through a 10-year rental program, investors can expect an estimated net annual return of around 6%, with full VAT refund eligibility on qualifying purchases. Managed developments handle operations and maintenance, allowing investors to benefit from a hands-free investment experience

Elysia Blu
Pafilia: The Right Properties for Investment

As one of Cyprus’s leading developers, Pafilia offers some of the most secure and high-performing investment opportunities on the island. Each of its developments is designed with both lifestyle and return on investment in mind combining premium design, prime locations, and professional management.

Elysia Blu, PaphosFrom €215,000 + VAT
A lifestyle-focused residential development in one of Paphos’s most desirable neighbourhoods. Elysia Blu offers elegant architecture, premium amenities, and proximity to both the beach and city centre delivering the perfect balance of comfort, design, and value.

Pafilia Plaza, PaphosFrom €555,000 + VAT
Set moments from Paphos Harbour, Pafilia Plaza redefines modern coastal living. With sleek design, panoramic sea views, and urban convenience, it is an ideal choice for both residents and investors seeking strong returns and contemporary style.

Minthis Lofos, PaphosFrom €705,000 + VAT
Located within the award-winning Minthis Resort, Lofos combines refined architecture, panoramic mountain and sea views, and exclusive amenities. This new neighbourhood offers a truly elevated lifestyle — and an exceptional long-term investment.

Residency and Lifestyle Benefits

Beyond property investment, Cyprus provides one of the most straightforward paths to EU residency through its Permanent Residency (PR) Program.
With a minimum real estate investment of €300,000, investors and their families including dependent children under 25 can obtain permanent residency within 4–7 months. The program offers long-term security, stability, and access to the European lifestyle.

Discover Cyprus

Cyprus offers a gateway to opportunity, security, and Mediterranean living. With Pafilia’s portfolio of premium developments, investors can enjoy strong returns, EU stability, and a lifestyle that’s truly world-class.