New 6% Cap On Rent Increases Announced For 2025–2027

The Council of Ministers of the Republic of Cyprus has issued a new order under the Rent Control Law of 1983 (Law 23/1983) (the "Law"), setting a maximum rent increase cap of 6% for the period from 22 April 2025 to 21 April 2027. This cap applies to properties falling within the scope of the Law.
During this two-year period, landlords may impose rent increases of up to 6%, provided that at least two years have passed since the tenant took possession of the property or since the last rent adjustment. No further justification is required from the landlord to enforce this increase.

Legal Basis and Scope of Application

Under Article 8(4)(a) of the Law, the Council of Ministers has the authority to review and set, every two years, the maximum allowable percentage for rent increases affecting statutory tenancies. This measure aims to protect tenants from abrupt or excessive rent hikes while allowing landlords to obtain a reasonable return on their investments through