The cost of construction materials in Cyprus continued to rise in August. According to the latest data from the Statistical Service (CYSTAT), the Construction Materials Price Index reached 123.09 points, with 2021 set as the base year at 100. Compared with July, the index increased by 0.07%, while year on year, since August 2025, the rise amounted to 3.39%.
For the construction market, this means continued pressure on project costs. Higher material prices directly affect developers’ and contractors’ budgets, project implementation timelines and the final cost of new residential and commercial properties. At the same time, the Index reflects changes specifically in construction material prices, not property prices. Therefore, an increase in the Index does not automatically mean that apartments or houses will become more expensive by the same percentage.
Timber, plastic and metals saw the strongest price increases
The most noticeable changes in August were recorded across several groups of materials. Prices for timber products, insulation materials, chemical products and plastic increased by 4.6% year on year. Within this category, plastic products saw the largest increase — 6.58%. The cost of timber products rose by 5.11%, chemical products by 3.02%, and insulation materials by 1.16%.
Another group — metal products — also recorded annual growth of 4.60%. Prices for iron and steel products increased by 3.9%, while aluminium and other metal products rose by 5.99%. On a monthly basis, however, the situation with metals was the opposite: in August, their cost fell by 0.19% compared with July. This shows that the rise in construction material prices remains uneven. Some items are becoming significantly more expensive, while prices for others remain almost unchanged or temporarily decline.
Cement and other mineral materials also became more expensive
In August, prices for mineral raw materials increased by 2.67% compared with August last year. The most noticeable increase within this category was recorded for cement — 4.79%. Stone rose in price by 1.30%, while mineral aggregates increased by 0.67%. Prices for finished mineral products grew more moderately, by 1.35% year on year. At the same time, the cost of cement products rose by 1.63%, while ceramic products increased by just 0.39%.
For construction companies, changes in the prices of cement, metals, timber, plastic and other basic materials are highly significant because they are used in virtually all major construction projects, from residential complexes to commercial buildings.
Heating and cooling equipment became cheaper
Electromechanical products were 3.58% more expensive in August than a year earlier. The largest increase within this group was recorded for electrical fittings — 7.3%. At the same time, heating and cooling equipment became 1.67% cheaper year on year. Prices for other electromechanical products increased by 3.22%.
Looking at a longer period, from January to August 2026 the Construction Materials Price Index was 2.06% higher than during the same period in 2025. Over the first 8 months, prices for plastic products increased particularly noticeably — by 5.14%. Electrical fittings rose by 5.64%, while aluminium and other metal products increased by 4.63%.
For the Cyprus property market, these figures are an important benchmark when planning new projects. Developers have to take into account not only the cost of land and financing, but also changes in construction costs. If prices for certain materials continue to rise, the final cost of delivering new residential and commercial properties may depend on how quickly contracts can be signed and key materials purchased.