Stats & Tips on the housing market trend in Romania

by André Piti On 02/22/2022

Romania is currently a glowing star in the real estate market.

With an average price for a house of 1450 euros per sq. m., it’s surely worth to know how the housing market trend in Romania is going.

Romania has seen an overall economic growth in the past 20 years, and represents one of the most visited market to buy a Real estate.

Institutional investments are constantly surging, with Bucharest being the main targeted city, and permissive rules to favor foreign investments.

For individual, as instance, foreign landlords can expect to pay a flat income tax rate of only 16%, and deduct a good 25% from the gross income.

Let’s now explore how the housing market trends looks like.

The stunning percentages of the real estate market in Romania

In the third quarter of 2021, the total number of real estate transactions in Romania soared 31% year over year to about 186,000 units.

Moreover, Romania saw a growth of 11.6% during the whole year of 2020, according to the National Agency for Cadastre and Land Registration (NACLR).

According to the IMF, 2022 will see Romania’s economy grow strongly by an estimated 7% this year, with a Projected Real GDP Change of 4.8%.

Likewise, the area of residential building permits issued increased 14.1% y-o-y to 10.09 million sq. m in Jan-Oct 2021.

This means that, unlike many other European and world countries, the house supply is more proportionate to the demand.

In a nutshell: this growing market doesn’t fail to provide solutions for buyers, who will not struggle or over-pay for their real estate.

So, if you are ready to start a profitable investment, access our list in Romania by clicking here.

3 Tips to take advantage of the housing market trend in Romania

Finally, here are some tips to be aware of if you are planning to invest in a house in Romania.

The owner of the property you want to buy needs to register it in the “Land Book”, and show you the so called “extra de carte funciara” to prove it.
To sign the documents, you always and in any case need to rely on a public notary.
Watch out for illegal changes in the property, meaning if the house was modified in its structures, plumbing or electricity system. You have to check this with an engineer or an architect, or no bank will ever authorize your loan.

André Pitì