cyprus mortgage — cyprus mortgage — Mortgage rates in Cyprus have experienced an uptick, reaching 3.41 per cent in January 2026, up from 3.25 per cent the previous month. Despite this increase, the rates still sit below the eurozone average, which was recorded at 3.39 per cent.
Cyprus mortgage: Comparison of Housing Loan Rates
In January, the lowest available interest rate for household housing loans was 2.50 per cent, a slight rise from 2.39 per cent in December 2025. The highest rate for new housing loans in Cyprus was provided by the Housing Finance Corporation at 3.41 per cent, closely followed by the Bank of Cyprus at 3.23 per cent and Ancoria Bank at 3.10 per cent.
Variations Among Financial Institutions
Alpha Bank Cyprus offered the most competitive rate for new housing loans at 2.86 per cent. On average, the housing loan interest rate across all banks in Cyprus was 3.04 per cent, highlighting a relatively favourable borrowing environment compared to the rest of the eurozone.
Corporate Loan Interest Rates
For corporate loans exceeding €1 million, the Bank of Cyprus also led the market with an interest rate of 4.72 per cent. Alpha Bank followed with a rate of 3.82 per cent, while Ancoria Bank offered the lowest rate at 3.42 per cent. These figures suggest a diverse lending landscape for businesses seeking financing.
Deposit Interest Rates Offered
On the deposit side, interest rates for household time deposits with a maturity of up to one year were led by the National Bank of Greece (Cyprus), which offered 1.67 per cent. Ancoria Bank and Alpha Bank Cyprus followed with rates of 1.46 per cent and 1.42 per cent, respectively. Conversely, the Housing Finance Corporation provided the lowest rate at 0.85 per cent for household deposits.
Corporate Deposits Trends
For corporate time deposits with a similar maturity, the National Bank of Greece (Cyprus) again took the lead with an interest rate of 1.71 per cent. The Bank of Cyprus and Alpha Bank Cyprus offered rates of 1.45 per cent and 1.43 per cent, respectively, while the Housing Finance Corporation had the lowest rate at 0.67 per cent.
Implications for Borrowers and Savers
The rising mortgage rates may impact potential homebuyers, making it crucial for them to consider their options carefully. However, the lower-than-average rates in Cyprus compared to the eurozone could still present attractive opportunities for both borrowers and savers alike.
