Growing demand for real estate in Romania
Investors’ interest in Eastern Europe provides an opportunity to develop local markets. One of the promising regions is Romania. Over the past few years, there has been an increase in economic indicators, which is also reflected in the housing segment. The real estate in Romania has become more in demand, and supply is also increasing.
One of the reasons for the surge in the market experts call the increased living standards of the population, many people can afford to buy their own housing. According to the analysis, over the past year, demand has increased by 16%, the most active were consumers in the Cluj-Napoca region, where the growth is observed at 32%.
According to the analysis of the previous year, six large cities in Romania showed excellent results. On average, the demand for real estate here has increased by 16%. In Bucharest, 12% more consumers were interested in real estate compared to the previous period, in Cluj Napoca the buying activity increased by 32%, în Constanta – by 18% and în Timișoara – by 19%.
The increased demand resulted in the growth of real estate value. In 2019, the price per square meter rose by 4% to 1340 euros. You can buy housing in Bucharest at a cost of 1410 euros per square meter, in Cluj Napoca – for 1710 euros per square meter. The cheapest of the major cities is Brasov, where it costs 1180 euros per square meter.
Romania is also interesting for investors. The yield of real estate in the capital is about 6% per annum. The optimal variant for making a profit is compact apartments. Renting apartments with an area of 70 square meters will cost an average of 550 euros per month.
Romania is developing well from the economic point of view. Last year the country’s GDP increased by 4.1%, which was not unnoticed by foreign investors. They are mainly interested in premium class real estate, and its value is steadily increasing. The Romanian market has already reached pre-crisis values and it has all the prospects to develop further.
Premium housing in the country in some regions reaches prices of 7 thousand euros per square meter, which brings Romania to the same level as some Western European countries.
In Bucharest a square meter of luxury real estate costs 4170 euros, which is much higher than it was in the pre-crisis period. An important advantage of such objects is their location, most of them are located in the northern part of the capital. They have excellent architecture, equipped with spacious terraces, which offer great views of the city. There is a well-developed infrastructure around the premium housing, which ensures a comfortable stay.