Bucharest's residential market is showing signs of recovery as the first half of 2026 drew to a close. After a start to the year marked by adjustment, with apartment transactions falling 16.6% in the first three months compared to the same period in 2025, the second quarter brought a rebound in demand, confirmed by ANCPI data.
The number of transactions involving individual units rose 2.2% in April, nearly 16% in May, and over 26% in June compared to the same months in 2025, marking three consecutive months of growth. This tempered the decline for the semester to just 1.7% compared to H1 2025, at just over 21,000 units transacted, according to Crosspoint Real Estate, the International Associate of Savills in Romania. Across the wider metropolitan area, including Ilfov County, the decline is 1.3%, with 25,634 homes sold.
"The first-half figures confirm a trend we've been tracking for several quarters. Bucharest's residential market is no longer expanding evenly, but in a differentiated way, depending on area, segment and quality of supply," says Ilinca Timofte, Head of Research, Crosspoint Real Estate. Most transactions took place in Sectors 3 and 1, with 12,726 and 9,573 units respectively. Sector 3 also leads in new housing deliveries, with 11,447 units completed between 2022 and 2025, while Sector 1 registered the fewest new homes over the same period, just 4,627, yet demand remains among the highest in the city. Permitting restrictions, high land prices and planning standards in Sector 1 limit the number of developers able to deliver there.
"Buyers are less often choosing the most affordable option and more often choosing the area where they feel comfortable long-term, close to schools, hospitals, transport and parks," says Oana Popescu, Head of Residential, Crosspoint Real Estate. Demand is stronger in areas such as Theodor Pallady in Sector 3, or in northern Bucharest, than in the more affordable south and west, largely due to infrastructure. After a 20% increase in 2025, new-home prices slowed in the first half of 2026. The average net price per sqm topped €2,600, up 5% from December 2025. The west and south remain the most affordable (€1,850-2,200/sqm), the east is mid-market (€2,600-2,900/sqm), and the north is the most expensive, exceeding €3,650/sqm.
This selective buying behaviour is driven by recent macroeconomic and regulatory developments. Annual inflation remains the highest in the EU (9.7% in May 2026), the labour market is increasingly strained, and the VAT increase on housing, together with Law 207/2025, which introduces stricter buyer-protection requirements and complicates financing for off-plan sales, have raised the cost and risk of buying a home. The greater the effort required, the fewer buyers are willing to take it on for an average option, choosing instead a home that offers certainty through location, infrastructure and project quality.
