Robust supply on Bucharest’s residential market keeps prices from rising

Developers currently work on more than 20,000 apartments in Bucharest, out of which 70% should be delivered by the end of the year, according to estimates provided by real estate consulting company Crosspoint Real Estate.

“In 2018, 11,272 apartments were delivered in Bucharest, a record level on the residential market in Romania. Currently, the new residential projects under development comprise over 20,000 apartments, of which 70% are to be delivered by the end of the year,” the analysts of the real estate consulting company disclosed.

The average price for residential units in Bucharest has registered a 1.8% increase in the first half of 2019 compared to December 2018. The declining growth rate indicates a tendency of the market to mature and an alignment with the European average.

Regarding the average prices by area, the southern and western areas remain the cheapest (below EUR 1,000/sqm), while in the Center-North area prices continue to exceed EUR 2,000/sqm. The price growth rate registered in the first semester will be constant throughout the rest of the year, according to the projections of Crosspoint Real Estate.

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