Cyprus ministry announces new housing plan for family units

On September 17, 2026, the Cypriot Ministry of Interior unveiled a new housing policy aimed at increasing affordable residential options. The initiative allows property owners to develop new housing units for family members within existing properties, even in instances where the designated building density coefficient has already been exhausted.

Under this new plan, homeowners may construct an additional floor, extend an existing residence, or build a new unit within the boundaries of their current plot. Minister of Interior Constantinos Ioannou described the measure as a targeted social intervention designed to utilize existing assets, thereby reducing construction costs and the financial burden on families. By leveraging existing residential stock, the government intends to facilitate housing for younger family members without the need for purchasing new land.

This policy is part of a broader, multi-layered government effort to address the housing crisis and improve access to quality homes. While specific submission deadlines and detailed technical criteria for applicants are expected to be reviewed by interested parties through official government channels, the plan represents a formal step toward institutionalizing flexible development options across residential areas.