Dorita Yiannakou
Cyprus’ short-term rental market is showing strong performance, with demand peaking this July and prices surging during the summer season.
According to data from the AirBNB platform, processed by Kathimerini, Cyprus holds a balanced position in the European short-term rental market, offering competitive prices without falling behind leading European destinations.
The strong seasonality of the market is clear, with property owners regularly increasing prices during the summer months due to higher demand.
Data also show that Cyprus now competes in the same category as some of Europe’s most expensive and well-established destinations, including Switzerland, Spain and the Netherlands.
At the same time, Cyprus’ presence alongside high-value European markets highlights that the country is no longer competing purely on low cost or the traditional “sun and sea” model.
Instead, it is gradually emerging as a destination capable of attracting higher-income visitors, creating strong prospects for further growth and upgrading of the hospitality sector.
Prices
The average daily rate for short-term rentals in Cyprus over the past 12 months (May 2025 to May 2026) stood at €113.80.
This is slightly below the European average of €131.59, but just above the European median of €112.16.
Seasonal trends highlight the strong impact of summer tourism on the market.
Comparing June–August with the rest of the year, Cyprus records a 31.8% increase in average daily prices during the peak season, placing it 8th in Europe for seasonal price increases.
In concrete terms, the average summer nightly rate rises to €135.11, compared with €93.95 during the rest of the year.
This confirms both strong demand and pricing power during the tourist season.
Compared with other countries, Cyprus does not show the extreme seasonality of Greece (54.9%) or Croatia (37.6%), but it still exceeds destinations such as Spain (29.8%) and Italy (18%).
It is also close to Portugal (36.5%), where summer prices reach around €160 per night compared with €117.27 the rest of the year.
In Greece, summer prices jump to €174 per night, compared with €112.64 annually, while Croatia shows the largest gap, rising to €154.20 in summer from €112.
Regions and demand
Paphos stands out as the most popular short-term rental destination in Cyprus.
According to the national short-term rental registry, it leads with 4,231 listings, followed by Famagusta (1,791), Larnaca (1,407), Limassol (1,267) and Nicosia (457).
AirBNB data also shows Paphos recording the highest average daily rates in Cyprus over the past 12 months at €263.81.
Protaras follows closely at €238.26.
This highlights the strong appeal of certain Cypriot destinations to higher-spending travelers.
July appears to be the strongest month this summer in terms of demand for short-term rentals, while June continues to underperform both in Cyprus and across Europe.
Bookings data show a 4.6% decline in June compared with last year.
In contrast, July demand is up 4.1%, while August is expected to rise by 2.6%.
Overall, total demand for the June–August 2026 period is up just 0.4% compared with last year.
A similar pattern is being recorded across major European markets such as France, Greece, Portugal and Spain, where June demand is also weakening.
Most expensive vs cheapest markets
Monaco remains the most expensive short-term rental destination in Europe, with an average nightly cost of €417.
Iceland follows at €213 per night, while Andorra averages €189.
Switzerland stands at €184, and the United Kingdom completes the top five at €141 per night.
At the other end of the scale, North Macedonia is the cheapest at €39.80 per night.
It is followed by Kosovo (€41.60), Moldova (€45.50), and Serbia (€51.17).
