The prices of apartments keep decreasing in Romania. The most expensive apartments offered for sale are in Bucharest, followed by the ones from Cluj-Napoca City and Constanta City, but the prices are 50% smaller compared to the economic boom period.
The capital City of Romania, Bucharest, has the most expensive houses for sale, although here have been registered also the worst price decreases in the past six ears. The new studio flats from Bucharest got 56% cheaper, from 2,519 euro per square meter to 1,108 euro per square meter, while the old studio flats have cheapened by 55%, from 2,388 euro to 1,061 euro per square meter, according to the real estate website imobiliare.ro, who calculates a monthly index of property prices.
Over the past 6 years, the two-bedroom apartments from Bucharest have registered Read more
The demand for houses in Romania has registered an important increase in July – a month traditionally low on demand in this industry. “The decrease of the real estate prices to a minimum level, the news about the depletion of the funds for the First Home program, the very low interest rates offered by banks and the statements of the Governor of the National Bank of Romania regarding the risk of a new real estate bubble that could lead to prices increase, made the Romanians go out shopping for homes”, shows a press release from the real estate website Imobiliare.net.
The website has registered in July an increased by 20% of the requests on the real estate market. The two-bedroom apartments have Read more
The economic crisis has radically changed the Romanian real estate market, and from the best performing economic segment, this industry became one of the black sheep of the national economy. The crisis deeply affected also the new homes, and along the market blockage, the development activity was not too rich either. The new residential ensembles are Read more
The financing accessed through the First Home program reached at 310 million euro since the beginning of the year, and the average value of each financing was about 35,600 euro, according to a press release from the National Fund of Loans Guaranteeing for Small and Medium Size Enterprises (FNGCIMM). The frequency of the guarantees applications has increased in the last month to about 140 applications per day, according to the institution, which also announced that since the beginning of 2014, the number of guarantees approved was Read more
After six years of crises and with the prices decreased by half almost all over the country, the old apartments continue to represent the largest share in the residential sales, according to an analysis based on the offers available on the market in Bucharest and in another five large cities of Romania. By far, the most significant decreases of apartment prices have been registered in Bucharest, where the old apartments are about 50% cheaper Read more
The rentals market from Bucharest is registering huge differences between the rents asked for apartments in the six sectors of the Capital City. The most obvious difference in rents is between Sector 1 and Sector 6. With the rent for a two-bedroom apartment in Sector 1, a tenant could rent a four-bedroom apartment in Sector 6. According to an analysis made by imobiliare.net real estate website, the values of the average rents asked for apartments in Bucharest varies according to several criteria: the sector of the city, how the apartment is divided into rooms, the comfort level and the furniture. “It is not a novelty that the houses from Sector 1 have the highest rents. However, the difference between Sector 1 and Sector 6, meaning between the largest rent and the smallest one, is huge in the case of apartments with three and four bedrooms: 804 euro, respectively Read more
The percentage of those who already own a house and have applied for a mortgage to buy another property almost tripled in 2013 compared to 2012 and the average value of a loan is around 140,000 lei (31,700 euro), according to a study conducted by BCR, based on its own portfolio. ‘From many points of view, in 2013, the client profile remained the same as in 2012, excepting one indicator which was substantially modified. If in 2012, only approximately 10% of the clients already owned a property when applied for a new mortgage, in 2013, this percentage almost reached 29%. This data underlines the stabilizing trend of the real estate market, as the clients consider that current prices Read more
Almost five years since it started, the First home program turned into a sort of benchmark on the real estate transactions market as the private owners are adapting their offer to the average value of the credits subsidized by the state. According to Imobiliare.ro real estate website, most of the clients accessing the website are interested in houses with a maximum price of 60,000 euro. Thus, 16% of the potential buyers are interested in houses that would cost no more than 20,000 euro, 24% have a budget of 20,000 to 40,000 euro and 26% have a budget of 40,000 to 60,000 euro. These price thresholds reflect in fact the limit of the value of First Home loans taken for buying apartments with one, two or three bedrooms. According to the study, 18% of the potential buyers are interested in houses with prices ranging from 60,000 euro to 80,000, while only 8% are looking houses of 80,000 to 100,000 euro.
The real estate developer Prima Heights, who has developed residential ensembles in Hungary, Israel and United States, has started in Brasov City the construction of the residential ensemble Top City, estimated at about 65 million euro. The ensemble will have 1,560 “luxury” houses, on an overall surface of 46 hectares, and will have 22 buildings with 8, 10 and 11 floors. The first building with 31 apartments, which will contain only two-bedroom apartments and penthouses, will be delivered in October, and in the rest of the blocks will contain also studio flats and apartments with two, three and four bedrooms. The two-bedroom apartments will have 54 to 57 square meters and the penthouses will have 87 to 117 square meters. The developer estimates that a two-bedroom apartment will cost 40,000 euro, suitable for First Home program but also for installments at developer system. The ensemble is located in Tractorul neighborhood.
Dragos Cinca, founder of the electronics retailer Flamingo, is starting the construction of a residential ensemble of villas in Corbeanca village, on a plot of 60 hectares, in the same area where he made to other smaller investments. The value of the first stage of this project is estimated at 10 million euro. “The ensemble will be named Flamingo Park and will stretch over 60 hectares, and in the first stage will be built 150 houses on 10 hectares of land. We bought the land many years ago and we want to start the constructions in July”, declared Cinca. He declared that the investment will be secured from their own funds, as several American investors are involved. The businessman has completed in the same area the residential ensembles Flamingo Garden 1 and 2, with a total of 30 villas, of which 5 units are still available for sale. “We bring American know-how and we target young people of 25 to 35 years old. Two months ago I was not very optimistic about the real estate market, but now I believe that things has started to improve. Now everything depends of how fast will decide the clients interested”, declared Cinca. The ensemble will include individual homes, but also grouped houses.