Bucharest leads the way in home sales

In the first two months of the year, 5,580 homes were sold in Bucharest, a level significantly higher than in other cities, despite a slowdown in activity. Outside Bucharest, Brașov ranks first with 651 transactions, followed by Timișoara (571), Cluj-Napoca (511), Iași (487) and Constanța (482), according to Eurobuild CEE.

How regional markets differ

Brașov attracts both end-users and investors, supported by infrastructure development and its tourism appeal. At the same time, Cluj-Napoca, Timișoara and Iași remain key economic and academic hubs with steady housing demand, while Constanța benefits from investment interest, including in the holiday home segment.

Sales in Bucharest are around 8–10 times higher than in any regional city. Even combined, the major regional cities remain below the Bucharest level. This confirms a highly concentrated market, with Bucharest remaining the main driver.

At the same time, cities such as Galați (306 transactions) and Oradea (303 transactions) stand out with above-expected activity. In Galați, volumes are mainly supported by housing affordability and local demand, while Oradea is strengthening its position as an emerging regional hub, driven by urban development and increasing attractiveness for investment and relocation.

Suceava (241 transactions) and Craiova (234 transactions) complete the ranking, with predominantly local markets characterised by steady but limited demand and a slower pace of development.

Meanwhile, the presence of Popești – Leordeni (230 transactions) in the ranking reflects the expansion of Bucharest’s residential market in surrounding areas, where prices are more affordable, and the supply of new housing is higher.

Transactions recorded in the first two months reflect deals negotiated at the end of last year, in a context marked by high financing costs and increased caution in purchasing decisions.

As of early 2026, the Romanian real estate landscape is barely recognizable compared to the volatile environment of early 2023. While the market faced headwinds—including double-digit inflation and the European Central Bank’s tightening monetary policy—it has shown remarkable resilience. Prices have not “crashed” as some analysts predicted in 2023; instead, they have plateaued or grown modestly, driven by high construction costs and a chronic shortage of new permits.

The Residential Shift: Quality Over Quantity

Between 2023 and 2026, the primary driver for homebuyers shifted from “square footage” to “energy performance.” The surge in utility costs and the introduction of stricter EU green building standards forced developers to pivot.

The “Permit Crisis” and Supply Constraints

One of the most significant stories of the last 36 months has been the administrative deadlock in Bucharest. The suspension of Zonal Urban Plans (PUZ) led to a 40% drop in new residential deliveries between 2023 and 2025. This supply crunch acted as a floor for prices—even as demand weakened due to expensive mortgages, the lack of new apartments prevented a market sell-off.

Financing: The Return of the 5% IRCC?

The credit market has been the Achilles’ heel of the sector. In 2023, the IRCC (the benchmark for Romanian consumer loans) spiked, pushing mortgage rates above 7-8%. However, by the spring of 2026, the National Bank of Romania (BNR) has begun a cautious easing cycle.

Office and Logistics: The Hybrid Era Consolidates

While residential grabbed the headlines, the office sector found its equilibrium in 2025. The “Work from Home” debate settled into a 3-day-a-week hybrid model, leading to a “Flight to Quality.” Older Class B office buildings are being converted into residential lofts or medical clinics, while Class A+ buildings with high ESG (Environmental, Social, and Governance) ratings maintain 95% occupancy.

Meanwhile, the Logistics and Industrial sector has been the “silent champion.” Driven by near-shoring (companies moving production closer to Europe) and the expansion of e-commerce, the demand for industrial space along the A1 and A7 motorways reached record highs in 2025.

Regional Divergence: The “Cluj Exception”

The gap between Cluj-Napoca and the rest of the country has widened. In 2026, Cluj remains the most expensive city in Romania, with prices nearly double those of Timișoara or Iași. The start of the Metro project and the continuous influx of high-tech talent have turned the Transylvanian city into a speculative haven, raising concerns about long-term affordability for the local middle class.