Getting a mortgage in Cyprus
In 2026, Cyprus banks lend to permanent residents of Cyprus and to EU citizens. An EU citizen whose permanent home is outside Cyprus can borrow only from Eurobank, on its Holiday Home or Real Estate loan.
According to the Central Bank of Cyprus Statistics, the average interest rate in September 2026 was 3.88% (latest available data).
This guide gives an overview of the requirements and the procedure, with tips on choosing the best mortgage for your property purchase in Cyprus.
A mortgage is a loan to purchase land, a house, an apartment or other real estate. The two sides in a mortgage are the lender or mortgage provider and the borrower, who buys the property.
The borrower repays the loan in regular instalments, the amount being the principal plus interest. The property stands as security or collateral for the loan.
Features of Cyprus national mortgage
- Bank of Cyprus and Eurobank set variable rates as a base rate linked to the European Central Bank (ECB) rate, plus a margin.
- At Bank of Cyprus (First Home and Holiday Home loans) and at Eurobank (Home Loan and Holiday Home loan), an EPC of category A lowers the variable rate, except at Eurobank when a home in category A stays in category A after a renovation, and on the Eurobank Holiday Home loan when the loan transfers or consolidates existing facilities from another bank or repays existing debt.
- The Immovable Property (Transfer and Mortgage) Law 9/65 is the law on the transfer and mortgaging of immovable property.
- The Credit Agreements for Consumers relating to Residential Immovable Property Law 41(I)/2017 covers home loans to consumers.
- Mortgages are registered at the Department of Lands and Surveys (DLS).
- Banks finance up to 80% of the value of a primary residence and up to 70% of the value of other property.
- The Bank of Cyprus Group describes itself as the leading banking and financial services group in Cyprus.
Mortgage eligibility and residency rules
Getting a mortgage as a permanent resident
The Bank of Cyprus First Home and Holiday Home loans, the Alpha Residence loan and the Eurobank Home Loan are for permanent residents of Cyprus. A permanent resident is a Cypriot citizen or a person with a valid Cyprus permanent residence certificate. An EU citizen whose permanent home is in Cyprus counts as a permanent resident too.
A temporary residence permit (pink slip) does not make a non-EU citizen a permanent resident. The test comes from immigration law. It is not the same as tax residence.
For a primary residence, the maximum loan term is 30 years at Eurobank and Alpha Bank, and 35 years at Bank of Cyprus and Ancoria Bank. At all four banks, the borrower's age at maturity can be no more than 65.
You will find a property in Cyprus and apply to the bank for a mortgage. The bank will need to see proof of sufficient income. The bank wants to make sure you can repay the mortgage in regular instalments.
Note that the property's value must be enough to cover the mortgage amount.
Mortgage for investors and holiday homes
Eurobank's Holiday Home and Real Estate loans are open to permanent residents of Cyprus and to EU citizens whose permanent home is outside Cyprus, whom the bank calls non-permanent residents. The Bank of Cyprus First Home and Holiday Home loans, the Alpha Residence loan and the Eurobank Home Loan are for permanent residents.
Key terms for the Eurobank Holiday Home and Real Estate loans:
- Lender: Eurobank offers the Holiday Home loan and the Real Estate loan (investment and buy-to-let).
- Contribution: The Holiday Home loan finances up to 70% of the property value, so your own contribution is at least 30%. The Real Estate page gives no percentage. In 2021 the Central Bank of Cyprus described a 70% limit for property other than a primary residence as already in place.
- Duration: Both loans run up to 25 years (15 years for land on the Real Estate loan). The term cannot exceed the useful life of the financed asset or the borrower's 65th year of age, whichever comes first.
- Required evidence: Eurobank may ask about the purpose and nature of your business relationship with the bank and about your economic and transaction profile. Its indicative list asks employees for payslips from the last three months and the self-employed for an income tax form or other supporting documents. The bank may change the list from case to case.
You will find a property and apply for a mortgage with the bank. The bank will need to see proof of sufficient income. The bank wants to make sure you can repay the mortgage in regular instalments.
Note that the property's value must be enough to cover the mortgage amount.
Choosing the right bank for getting a mortgage for a property
Buying property and taking a mortgage are among the major life decisions. Weigh your options and feel comfortable with how you proceed.
To make an informed decision, keep the following in mind:
- Your budget and down payment savings. Most banks have a mortgage calculator, which is a good place to start to determine how much mortgage you can afford.
- Educate yourself. Do your research and learn about common mortgage types and loan terms. Be a well-informed borrower.
- Compare mortgage providers. You can check rates, loan terms, down payment requirements, service, lender fees, and closing costs. Ask family and friends for referrals.
- Visit the websites of mortgage providers and talk to them in person. Ask questions about their loan products, how they communicate with clients and how they treat clients in your specific circumstances (e.g. the self-employed, the first home borrowers and so on).
- Choose the best mortgage lender for your situation. You must feel comfortable with their terms and confident they will be supportive during the process.
Cypriot banks providing mortgages for expats
Major banks in Cyprus include the following:
- Bank of Cyprus: The First Home loan covers up to 80% of the property value for up to 35 years, and the holiday home loan covers up to 70%. Both are for permanent residents. You can fill in the First Home application online and receive a reply within 24 hours. The Green discount is up to 0.20% for a property with EPC category A.
- Eurobank: The Home Loan covers up to 80% of the value of a primary residence and is for permanent residents. The Holiday Home loan (up to 70%) and the Real Estate loan for investment are open to permanent residents and to EU citizens whose permanent home is outside Cyprus. Customers who are granted a new Home Loan can earn up to €2,000 through the "My Home Rewards" program.
- Alpha Bank: The Alpha Residence loan is for permanent residents. It covers up to 80% of the purchase value for a first main residence and up to 70% of the purchase value for the second, for up to 30 years including any grace period. The borrower's age at maturity can be no more than 65.
- Ancoria Bank: The First Residence loan covers up to 80% of the estimated value of the property, for loans up to €300,000 and terms of 5 to 35 years, with no initial charges on primary housing loans. Above €300,000 you ask the bank for a quotation. The bank's example, calculated on 8 October 2026, shows an interest rate of 4.202% and an APR of 4.280% for a loan of €100,000 over 35 years with a contribution of more than 30%.
Note: On September 1, 2025, Hellenic Bank merged with Eurobank Cyprus, becoming Eurobank Limited.
There is a complete list of the Cypriot credit institutions on the Central Bank of Cyprus website.
What are the mortgage rates in Cyprus?
The Central Bank of Cyprus figure covers new housing loans, including renegotiated ones, at a floating rate or a fixed rate of up to one year. The mix of loans changes from month to month, so the figure can move without any bank changing its rates.
Lower rates for energy-efficient homes
A property with an Energy Performance Certificate (EPC) of category A lowers your variable rate at some banks. Bank of Cyprus reduces the rate by up to 0.20% during the variable rate period.
The Eurobank Home Loan and Holiday Home loan have a lower variable rate for the same category, but Eurobank does not grant it when a home already in category A stays in category A after a renovation, or, on the Holiday Home loan, when the loan transfers or consolidates existing facilities from another bank or repays existing debt.
Fixed and variable rates
Interest rates may be fixed or variable, or fixed for some time and then variable. Bank of Cyprus (on its 25-year loan) and Alpha Bank offer a fixed rate for the whole repayment period.
Interest rate mechanisms
Variable-rate loans are priced as a reference rate plus the bank's margin. Bank of Cyprus bases its rate on the ECB base rate, and Eurobank on its own Main Base Rate, which is linked to the ECB rate for main refinancing operations. The Ancoria Bank example uses the three-month Euribor.
When the reference rate changes, your instalment changes. A fixed period protects you for its length.
Is there any difference in Cyprus mortgage interest rates for EU citizens and non-EU expats?
Bank of Cyprus sets its interest rate on its own credit criteria and does not name nationality among them.
The factors it names are:
- Your credit history
- Your contribution
- The loan amount
- The collateral
- Loan duration
Bank of Cyprus mortgage rates
Bank of Cyprus sets interest rates under its credit policy and takes into account factors such as your credit history, the collateral, the loan amount, the loan duration and your contribution. As of 2026, the bank offers distinct structures for permanent residents.
Variable rate
The variable rate is the European Central Bank (ECB) base rate plus a margin. The bank's rate sheet of 16 September 2026 uses an ECB base rate of 2.65%, and the margin depends on your contribution and the other factors above. These are the bank's indicative figures:
| Loan and contribution | Margin | Total rate | APR |
|---|---|---|---|
| Primary residence, 30% or more | 2.20% to 2.30% | 4.85% to 4.95% | 5.07% to 5.18% |
| Primary residence, under 30% | 2.25% to 2.35% | 4.90% to 5.00% | 5.13% to 5.23% |
| Holiday home, 30% or more | 2.20% to 2.30% | 4.85% to 4.95% | 5.26% to 5.37% |
| "Green" primary residence, 30% or more | 2.00% to 2.10% | 4.65% to 4.75% | 4.86% to 4.97% |
| "Green" primary residence, under 30% | 2.05% to 2.15% | 4.70% to 4.80% | 4.92% to 5.02% |
The APR examples for the variable rate are a loan of €150,000 over 30 years for a primary residence and €100,000 over 20 years for a holiday home. The variable-rate sheet has no holiday home row for a contribution under 30%.
The APR includes the bank's initial fees and valuation fees where they apply, plus the 1% mortgage registration fee paid to the Land Registry. Life insurance and fire insurance on the property are not in the APR. The examples assume you take out both policies and assign them to the bank.
Fixed rate security
A fixed rate keeps your instalment unchanged for the fixed period. Rate rises do not affect it, and rate cuts do not lower it.
- Standard fixed terms: 3, 5 or 10 years, then a variable rate for the rest of the loan.
- Long-term fix: On the 25-year fixed rate loan, the rate and the instalment stay fixed for the entire term of 25 years. For a primary residence, the rate sheet of 16 September 2026 gives 4.25% with a contribution of more than 30% and 4.30% with 30% or less (APR 4.46% and 4.51% on €150,000). Repaying early carries a charge, and on a long fixed rate it can be significant.
"Green" discount and fees
- Green discount: On the First Home and Holiday Home loans, a property with an Energy Performance Certificate (EPC) of category A gets an interest rate reduction of up to 0.20% during the variable rate period.
- Zero fees: The "Your First Home" loan has no arrangement and documentation fees. The holiday home loan charges both.
Eurobank mortgage rates
A variable rate at Eurobank is the Eurobank Main Base Rate plus a margin. The Main Base Rate is linked to the ECB rate for main refinancing operations. Eurobank's representative examples of 16 October 2026 use a Main Base Rate of 2.65%, the rate as at 16 September 2026.
Variable rates by contribution
Your contribution is one factor in the margin. Eurobank draws the line at 35%, where Bank of Cyprus uses 30%. Eurobank's indicative figures for a Home Loan on a main residence:
| Loan and contribution | Margin | Total rate | APR |
|---|---|---|---|
| Home Loan, 35% or more | 2.10% to 2.25% | 4.75% to 4.90% | 5.02% to 5.17% |
| Home Loan, under 35% | 2.20% to 2.30% | 4.85% to 4.95% | 5.12% to 5.22% |
| "Green" Home Loan, 35% or more | 2.00% to 2.15% | 4.65% to 4.80% | 4.91% to 5.07% |
| "Green" Home Loan, under 35% | 2.10% to 2.20% | 4.75% to 4.85% | 5.02% to 5.12% |
The APR example is a loan of €120,000 over 20 years. It includes the bank's initial fees and the property valuation fees, plus the 1% mortgage registration fee paid to the Land Registry. Life insurance and fire and earthquake insurance are not in the APR, and Eurobank makes both policies mandatory. Regular valuation fees, where they apply, and disbursement fees are left out of the APR too.
Holiday Home loans and how the banks compare
The Holiday Home loan has the same margins and total rates. Its example, €100,000 over 14 years, gives an APR of 5.21% to 5.42%, or 5.11% to 5.31% for a "Green" holiday home.
The two banks' APR examples use different loan amounts and terms, and Eurobank's APRs are a month later. Both banks price on a base rate of 2.65%, so the margins and total rates compare directly. They leave out fees, which differ between the banks.
Eurobank sets your rate on its own credit criteria. It takes into account your creditworthiness, the loan amount, your contribution, the property and the collateral.
Introductory fixed rates
The Home Loan offers a fixed rate for the first 3, 5 or 10 years on loans with a maturity of more than ten years. The Real Estate loan offers a fixed rate for 3 or 5 years on loans with a minimum maturity of ten years. The bank sets the exact fixed period on its own criteria.
If you keep to the repayment schedule, your rate and instalment stay unchanged during the fixed period. After it, the loan moves to a variable rate.
The representative examples give no fixed rate figures. For those, Eurobank asks you to contact a Relationship Officer at a branch.
"My Home Rewards" program
Customers who are granted a new Home Loan can earn up to €2,000 in rewards, which they redeem at participating merchants. The bank decides the amount on its own criteria.
How much can you borrow?
The maximum loan amount depends on the type of property and on the bank:
- Primary residence: Bank of Cyprus, Eurobank, Alpha Bank and Ancoria Bank finance up to 80% of the property value. Alpha Bank counts the purchase value, and Ancoria Bank the estimated value for loans up to €300,000.
- Second homes and other property: Up to 70% of the property value, for example on the Bank of Cyprus and Eurobank holiday home loans. The Ancoria Bank holiday home and investment loans cover up to 65% of the estimated value, for amounts up to €300,000. Above that, you ask the bank for a quotation.
These match the limits that the Central Bank of Cyprus described in its 2021 notification to the European Systemic Risk Board as already in place: 80% for a primary residence and 70% for other property.
Usually, banks offer online affordability calculators to help you determine the maximum amount you can borrow based on your financial situation and needs.
How to get a mortgage in Cyprus
Getting a mortgage in Cyprus is a straightforward process in the following steps:
- Calculate your budget and find a property. Citizens of countries outside the EU need permission from the District Administration to buy property in Cyprus, with the exceptions the law lists. Submit form COMM 145 with the supporting documents to the District Administration of the district where the property is located. The permission is free and takes 2 to 3 weeks.
- Visit the bank website and use their online tools.
- Make an appointment with the bank.
- Open a bank account, preferably with the bank that interests you.
- Ask the bank which documents are required (indicative list above) and what other information they need.
- Begin the application process.
- Eurobank requires life insurance and fire and earthquake insurance on its Home Loan, and for insurance against fire, earthquake and flood on a property bought with its Holiday Home or Real Estate loan. Ancoria Bank lists life insurance and fire and earthquake insurance among the securities it may request on its loans.
- Under Law 41(I)/2017, a bank that asks for an insurance policy on a home loan must accept one from a different insurer when the cover is equivalent to the cover the bank proposes.
Though not strictly necessary, it is highly recommended that you only begin or go through this process after getting professional legal advice.
The documents required for getting a mortgage
The bank needs information concerning the following:
- Identity
- Income
- Contact
- Your professional details
- The property
Income information involves payslips for the last three months and information on any additional income sources. If you are self-employed, you must provide an income tax return form and other relevant documents.
Information about the property will include:
- Title deed
- Energy Performance Certificate (EPC) (Required to qualify for lower "Green" interest rates)
- Planning and building permissions, or applications, if these are pending
- Timetable and cost analysis signed by a professional evaluator or civil engineer
- Architectural plans for the property valuation
Note that the list is indicative. The bank may request additional relevant information and documents.
Additional costs and fees
When calculating your budget, remember that the interest rate is not your only cost. You should budget for:
- Mortgage registration fee: To register a new mortgage, the borrower pays the Land Registry 1% of the amount borrowed, interest excluded. When the mortgage secures a future or conditional obligation, including a sum paid out in instalments or a running-account balance, the 1% is calculated on the maximum amount stated in the mortgage, interest excluded.
- Replacing a mortgage: If existing mortgages are cancelled and a new one is registered on the same day for the same purpose, with the same lender or on the same property, the 1% applies only to the part of the new mortgage that exceeds the cancelled ones, with interest left out of both amounts.
- Valuation fee: Paid to a valuer approved by the bank to value the property. The association of property valuers suggests a minimum charge of €300 plus VAT for a property valued up to €250,000, and the charge rises with the value.
- Arrangement fees: At Bank of Cyprus these cover the bank's costs for preparing and evaluating your application, and the bank charges none on its First Home loan. Ancoria Bank has no initial charges on primary housing loans. On its holiday home and investment loans, Ancoria Bank charges a 1% processing fee (minimum €50) and a documentation fee of €50 or €80. Eurobank charges arrangement fees and legal documentation fees.
- Insurance: Eurobank requires life insurance and fire and earthquake insurance as security on its Home Loan. On a purchase with its Holiday Home or Real Estate loan, the mortgaged property must be insured at least against fire, earthquake and flood. Ancoria Bank lists life insurance and fire and earthquake insurance among the securities it may request on its loans.
