Nicosia, Cyprus. Interest rates for new housing loans in Cyprus rose to a peak of 3.41% in January 2026 from 3.25% the previous month, though average borrowing costs remained below the eurozone average.
Housing loan rates for households
The lowest interest rate for household housing loans stood at 2.50% in January, compared with 2.39% in December 2025, according to the monthly interest rate statistics published by the Central Bank of Cyprus (CBC).
The highest rate for new housing loans to eurozone resident households in euros was offered by the Housing Finance Corporation at 3.41%, followed by the Bank of Cyprus at 3.23% and Ancoria Bank at 3.10%.
The lowest rate for new housing loans to households was offered by Alpha Bank Cyprus at 2.86%.
Overall, the average housing loan interest rate across all banks in Cyprus stood at 3.04% in January, compared with 3.39% across the eurozone.
Corporate loan rates above €1 million
For loans exceeding €1 million granted to non-financial corporations in euros to eurozone residents, regardless of the initial rate fixation period for new business and new contracts, the highest interest rate was offered by the Bank of Cyprus at 4.72%.
Alpha Bank Cyprus offered the second highest rate at 3.82%, while the lowest interest rate for such loans was recorded at Ancoria Bank with 3.42%.
Household time deposit rates
In deposits, the highest interest rate offered on household time deposits with a maturity of up to one year for new business in January 2026 was provided by National Bank of Greece (Cyprus) at 1.67%.
How do changes in housing loan rates affect your borrowing decisions?
