Top 3 Most Undervalued Areas in Southeastern Cyprus for Investment in 2026

Foreign investors always look first at the major cities of Cyprus. Meanwhile, certain seaside districts remain overlooked, although this is often where the most interesting opportunities are hidden. The southeastern part of Cyprus offers stunning beaches, a peaceful atmosphere, and incredible coziness surrounded by greenery. Property here costs significantly less than in Ayia Napa, while its investment potential may be even higher. Below is an overview of three districts with examples of residential properties so you can get to know them better and discover their wide-ranging opportunities.

Kapparis: A Green Corner of Tranquility

The Kapparis district is the northernmost area of free Famagusta, and its location shapes the atmosphere here. Silence, calmness, and proximity to the coastline attract more and more people seeking a break from the noise of megacities. In this sense, Kapparis is ideal:

1. clean and uncrowded beaches even during peak season;
2. an abundance of greenery and fruit orchards;
3. absence of noisy resort crowds, since people come here not for parties and active entertainment;
4. excellent infrastructure for everyday living combined with elements of relaxed leisure;
5. proximity to the district’s municipal center — Paralimni;
6. affordable property purchase prices;
7. ongoing development and improvement of the district — there is a clear goal to make it a promising and popular resort destination.

The investment appeal of Kapparis is obvious. The area is developing, which means property values are likely to increase within a few years. In addition, demand for both short-term and long-term rentals among tourists and expats is steadily growing. Property here can generate income through rentals. 

Purchase Options

1. Amaya Residense — an option for those planning to rent out the property. The complex features a communal swimming pool, private services, parking, and a gated territory. One- and two-bedroom apartments are available.
2. Aqua Blu — a clubhouse-style complex with a swimming pool overlooking the sea. Cozy apartments are suitable for both short-term and long-term rentals. There is also an opportunity to purchase a penthouse with a rooftop terrace.
3. Blu Horizon — a luxurious complex on the border with Pernera. Residents have access to a private swimming pool and the full infrastructure of the complex. A penthouse with panoramic sea views is also available.
4. 2-Bedroom Maisonette. A budget-friendly option for those ready to purchase a secondary-market property in excellent condition. Open-plan living room and kitchen, 2 bedrooms, 2 bathrooms — fully ready for rental immediately after purchase. 
5. 3-Bedroom Villa. A new villa at the final stage of construction. Large living area, private plot, magnificent terraces, and a rooftop garden. Three bedrooms and two bathrooms. An excellent option not only for investment, but also for obtaining Cyprus Permanent Residency through the accelerated program. 
6. 4-Bedroom Cottage. A completed house built in 2008, in excellent condition and with a title deed. Large living space (4 bedrooms, 2 bathrooms, spacious living room with kitchen, utility rooms) and a private plot. Features its own swimming pool and the sea is just a three-minute walk away.
7. Luxury 5-Bedroom Villa. Stunning new seafront property. Huge living area and plot, premium finishing, fully equipped leisure area with a swimming pool, and magnificent coastal views from every room. 

Pernera — A European Resort

Pernera is famous for its ideal balance between a lively cultural resort atmosphere and a quiet, beautiful lifestyle. Closer to the coastline, everything is available for seaside recreation, including water sports and entertainment. Further inland, on the hills, life flows peacefully, calmly, and in silence. It is also worth remembering that from slightly higher elevations, the panoramic sea views are always the most breathtaking.

Property in Pernera is just as affordable as in Kapparis — and cheaper than in Protaras. From here, it is extremely convenient to travel to any of the towns in the Famagusta region: Paralimni, Protaras, Ayia Napa, and even as far as Larnaca. The infrastructure harmoniously combines resort-style amenities with everything needed for everyday living.

Note! Pernera is predominantly made up of private developments. There are very few apartment complexes here, and this should be taken into account during the initial property search.

Investing in property in Pernera is attractive due to its reliability and predictability. Housing can be purchased both for preserving capital and for generating stable seasonal rental income. In addition, the southeastern region of Cyprus already has clear development prospects: the authorities have prepared a number of improvement projects, stimulating increased demand for real estate among both local buyers and foreign investors.

Purchase Options

1. Semeli Villas. A large landscaped complex with a gated territory, enhanced privacy, and its own internal infrastructure. Villas with 3 and 4 bedrooms are available, each featuring premium finishes, furnishings, a private swimming pool, and panoramic sea views.
2. Three-Level Villa. A completed house built in 2008 with excellent renovation, 3 bedrooms, and 3 bathrooms, plus a small private plot with its own swimming pool. The upper level can be arranged as a panoramic relaxation area or a garden. Ideal for rental purposes and located within walking distance of the beach. 
3. 3-Bedroom Villa. A new villa currently under construction (available now at a very attractive price). Two floors, three bedrooms with panoramic windows, the same number of bathrooms, a large private swimming pool, and parking space. The villa belongs to a gated complex located just steps away from a Blue Flag beach.
4. Luxury 5-Bedroom Villa. A luxurious completed property located just 30 meters from the coastline, offering panoramic sea views and full nearby infrastructure. A large private plot of 1,000 m2, 5 bedrooms, 6 bathrooms, a private swimming pool with a relaxation area, furnishings, and full readiness for living or rental purposes.

Ayia Thekla: Opportunities for Rapid Growth

One of the most underestimated districts near Ayia Napa. The reason is that the modern Ayia Napa Marina resort (currently at the final stage of construction) is located very close by, and it is already shaping the development rules of the surrounding territories. Grand in scale, the project will inevitably influence neighboring locations — including Ayia Thekla. 

This means that over the next five years, development activity will increase here and demand among tourists and expats will grow. Infrastructure will continue to expand, and property prices are expected to rise in the foreseeable future. Right now is the ideal moment to purchase property at an attractive price in order to multiply your capital.

Development here is mainly private, with relatively few apartments available. There is a strong possibility that after the completion of Ayia Napa Marina, large-scale apartment developments will begin to appear, but for now private houses still dominate the area.

Purchase Options

1. 2-Bedroom House. A cozy private house with 2 bedrooms, 2 bathrooms, and a living room combined with the kitchen. Features a private swimming pool and patio. Built in 2016. Fully furnished, bright, and modern. The beach is just a few minutes’ walk away, while the yacht marina can be reached in no more than 10 minutes on foot.
2. 3-Bedroom House. A spacious cottage with a large plot, swimming pool, 3 bedrooms, and the same number of bathrooms. Two of the upstairs bedrooms are panoramic, offering stunning views. Recently renovated. Located within a gated complex with a high level of privacy.
3. 4-Bedroom Villa. A new luxury property with a private swimming pool and barbecue area, large living space, and panoramic sea and coastline views. Across two floors, there are 4 bedrooms, 4 bathrooms, and spacious common areas with panoramic windows. 
4. 2-Bedroom Apartment. Luxury apartments in a gated complex within walking distance of the coastline and Ayia Napa Marina (the windows overlook both the marina and the yacht harbor). Excellent location, large living area (95 m2) with terraces, and an excellent option for rental income.

More properties in Kapparis, Ayia Thekla, and Pernera can be viewed via this link — or through the DOM agency catalog. You may contact our specialists for assistance in selecting investment opportunities. We also recommend exploring all districts of Famagusta before making a final decision.

Many of the properties exceed €300,000 in value (excluding VAT) and are classified as new developments — which means that upon purchase, investors may obtain Cyprus Permanent Residency through the accelerated investor program. The program includes not only the buyer, but also their family members. The procedure is simple and does not require an excessive package of documents.

Read also:

1. The Cost of Living in Cyprus in 2026
2. Cyprus — The Island That Gave the World Copper
3. Kyperounda Sanatorium: A Forgotten Gem of Cyprus’ Colonial Architecture
4. Business at Home: How to Invest in Cypriot Property for Life and Career
5. A Cyprus Summer Without Surprises: How to Rent the Perfect Home and Avoid Ruining Your Vacation