Cyprus grants permanent residence for a new home from €300,000 plus €50,000 a year of foreign income. Romania grants no residence for buying property.
Per Numbeo (October 2026): central Bucharest about €3,370 per m², Limassol about €4,950, Larnaca about €3,330, Nicosia about €2,760.
Romania 21% since August 2025. Cyprus 19%, with 5% for a primary residence under conditions. Cyprus abolished stamp duty from 2026.
About an hour's flight to Cyprus, 2.5 to 3 hours to Bucharest. On the other hand, Romania is a full Schengen member since 2025 and Cyprus is not.
Cyprus: 80% for a primary residence, 70% for any other property. Romania: up to 85% in lei, 75% in euro, and 50% to 70% in practice for non-residents.
Romania vs Cyprus property: the short answer
The main difference between Romania and Cyprus property is not only the price but what the property gives you beyond its walls. Cyprus is closer to Israel, uses the euro and offers a permanent residence route to buyers of a new home worth €300,000 or more who meet an income test. Romania is cheaper per m² in its capital, is a full Schengen member, and does not grant residence for buying property.
I hear the question "Romania or Cyprus?" almost every week. It usually comes after someone has visited Limassol, fallen for the sea, and then seen the prices.
This article is not here to persuade you to choose us. It puts the two markets side by side on the same five measures, so you can decide according to your own goal.
Price per m²: Bucharest against Limassol, Nicosia and Larnaca
To compare like with like, I used a single source for every city: Numbeo, a price database built on user reports. The figures were updated in early October 2026 and are asking prices for apartments, not transaction prices.
| City | Apartment, city centre (€/m²) | Apartment, outside the centre (€/m²) |
|---|---|---|
| Bucharest | about 3,370 | about 1,970 |
| Limassol | about 4,950 | about 3,800 |
| Nicosia | about 2,760 | about 2,040 |
| Larnaca | about 3,330 | about 1,780 |
The big gap is with Limassol, not with Cyprus as a whole. Nicosia and Larnaca are closer to Bucharest than most buyers assume.
Bucharest also has a well-known local benchmark: according to the Imobiliare.ro price index, a new apartment in Bucharest averaged about €2,636 per m² in summer 2026. These numbers are only a starting point, and a specific property is checked against comparable sales in the same neighbourhood.
Purchase taxes and costs: VAT, fees and what was abolished
The differences here are technical, but they change the final sum.
In Romania: new apartments and villas carry 21% VAT, since the increase in August 2025 under Law 141/2025. On top of that the buyer pays the notary's fee on a sliding scale, and a land registry fee of 0.15% of the price for a private individual. There is no separate transfer tax for the buyer. The full breakdown is in our guide to property buying costs in Romania.
In Cyprus: a new property carries 19% VAT. A reduced 5% rate exists for a primary residence, subject to size and price conditions. On a resale property that is not subject to VAT, transfer fees apply on a sliding scale of 3%, 5% and 8%, reduced by 50%. Where VAT has been paid, there is no transfer fee. And stamp duty on contracts was abolished from 1 January 2026.
The practical line: in both markets, when you buy new from a developer, VAT is most of the tax bill. The difference is mainly the rate, and whether you qualify for the Cypriot reduced rate, which is meant for people who live in the home.
Residence rules: this is the big difference
This is the point that makes many buyers consider Cyprus in the first place.
Define the goal first, then choose the country.
Cyprus offers permanent residence under Regulation 6(2): an investment of at least €300,000 (excluding VAT) in a new residential property bought first-hand from a developer, together with a secured annual income from abroad of at least €50,000 for the applicant, plus an addition for a spouse and each child. The current conditions are published by the Cyprus Ministry of Interior.
Romania offers no golden visa and no residence for buying property. A non-EU citizen needs an independent ground for a long stay, such as work, business, family or study, through the Romanian General Inspectorate for Immigration (IGI).
If your goal is a residence status, Romania is not the destination. If your goal is a property you hold, use or pass on to your children, the residence route matters less.
One more difference linked to this: under Cypriot law, a non-EU citizen needs a permit from the district authority to buy property. In Romania no such permit is needed to buy a building, and the land is registered through a Superficie right. We explain this in our article on land ownership in Romania.
Flight time, currency and Schengen
| Measure | Romania | Cyprus |
|---|---|---|
| Direct flight from Tel Aviv (approx.) | 2.5 to 3 hours | about 1 hour |
| Currency | Romanian leu (mortgages also in euro) | Euro |
| Schengen | Full member since 2025 | EU member, not in Schengen |
| Official language | Romanian | Greek (English widely spoken) |
Cyprus wins on distance. One hour in the air is almost an intercity trip. Bucharest is further, but still within reach of a short visit, and in the same time zone as Israel.
Mortgage access
In both countries the regulator sets a ceiling and the bank decides in practice.
- Romania: the National Bank of Romania (BNR) caps financing at 85% for a loan in lei, and at 75% for a euro loan to a borrower without income in the loan currency. In practice, banks usually finance 50% to 70% of the property value for non-residents with foreign income.
- Cyprus: the Central Bank of Cyprus set a loan-to-value cap of 80% for a primary residence and 70% for any other property.
In other words, a buyer from abroad needs substantial equity in both cases. On the terms for non-residents in Romania, see our article on mortgages in Romania for non-residents.
So which suits whom?
- If you want EU residence through the property: Cyprus, provided you meet the investment and income conditions.
- If proximity and a one-hour flight matter most: Cyprus.
- If you want a lower price per m² in a capital city with a large local market: Bucharest.
- If full Schengen membership matters to you: Romania.
In Bucharest itself, by the way, people looking for a house rather than an apartment usually look north. In our project in Balotești, about 25 minutes from the city centre and about 10 minutes from the airport, we are building 29 villas for exactly that buyer. But the choice between countries comes before the choice between projects. A similar comparison with Portugal is in our article on Romania or Portugal.
Frequently asked questions
Does buying property in Cyprus give residence?
Yes, under conditions. Under Regulation 6(2), an investment of at least €300,000 (excluding VAT) in a new residential property from a developer, together with an annual income from abroad of at least €50,000, allows you to apply for permanent residence. The conditions are updated from time to time, so check them with the Cyprus Ministry of Interior before buying.
Does buying property in Romania give residence?
No. Romania offers no golden visa, and owning property is not a ground for residence. A non-EU citizen needs a separate ground, such as work, business, family or study.
Where is it cheaper per m², Bucharest or Cyprus?
According to Numbeo (October 2026), an apartment in central Bucharest costs about €3,370 per m², against about €4,950 in Limassol, about €3,330 in Larnaca and about €2,760 in Nicosia. The big gap is with Limassol; with the other cities it is smaller.
What is the tax on a new property in each country?
Romania charges 21% VAT on a new property. Cyprus charges 19% VAT, with a reduced 5% rate for a primary residence under conditions. Where VAT has been paid in Cyprus there is no transfer fee, and stamp duty was abolished from 2026.
Can I sign in Romania remotely?
Signing before a Romanian notary cannot be done remotely. You can give a power of attorney to a representative who signs on your behalf, and the other checks can be handled from home.
The bottom line
Romania and Cyprus answer different questions. Cyprus answers "where can I get residence and be an hour from home". Romania answers "where can I buy property in a European capital, in a large local market, at a lower price per m²".
Define the goal first, then choose the country. And if Romania is on your list, book a 30-minute call with me. We will go through the numbers, the legal path from the preliminary contract to the final contract and registration in your name, and what fits you specifically.
Moti Azulay, Compass Group Romania
Sources and data: Numbeo, apartment prices per m² (October 2026) · Imobiliare.ro price index (summer 2026) · Law 141/2025, Romanian legislation portal · National Bank of Romania (BNR) · Romanian General Inspectorate for Immigration (IGI) · Cyprus Ministry of Interior · Central Bank of Cyprus · Romanian National Agency for Cadastre and Land Registration (ANCPI)
This article is for general information only and is not legal, tax or financial advice. Figures are correct as of October 2026 and may change. Before any transaction, consult local professionals in each country.
Now you know more.
This article is general information, not legal, tax or financial advice. Consult local professionals before any transaction.
