Romania ranks fourth in Europe for cheapest housing, says study

The study, which analyses the main cities in 28 countries, found that the average price for a residential property in Romania was €1,676 per sqm in 2024, an 11.5% increase from the previous year's figure.

In a broader European context, 18 of the 28 countries analysed saw an increase in average housing prices. The most significant rises were observed in Poland and Albania, with increases of 19.3% and 16.5%, respectively. Conversely, Turkey and Luxembourg experienced notable price decreases. 

Irina Dimitriu, Partner at Reff & Associates | Deloitte Legal and Real Estate Industry Leader at Deloitte Romania, said: "Residential property prices in Europe continue to reflect a complex interplay between the constraints of the supply of new housing, namely rising construction costs, tighter financing conditions and more complex regulations, and concerns about the economic outlook and the evolution of living standards in the countries analysed."

Luxembourg, with an average of €8,760 per sqm, holds the top spot as the most expensive country for housing. Among EU members, only Greece and Romania had average housing prices below €2,000 per sqm.

The report highlights a significant disparity in prices within Romania, with Cluj-Napoca leading at €2,770 per sqm, followed by Braşov at €1,897 per sqm, and Bucharest ranking third at €1,757 per sqm. This places Romania among a select group of countries, including Germany and Italy, where the capital is not the most expensive city for residential property.

Marius Vasilescu, Advisory Partner at Deloitte Romania, added: "Limited housing supply is also reflected in rising rents, especially in large cities, with development potential above the national average." 

The residential rental market in Romania mirrors the sales trends, with Bucharest and Cluj-Napoca sharing the highest average monthly rent at €10.3 per sqm, an increase from 2023. Braşov followed with an average of €9.2 per sqm.