Bucharest’s residential market recovered much of the ground lost earlier this year, with apartment transactions in the first half of 2026 down just 2% year-on-year, according to data analyzed by real estate consultancy Colliers. Nationwide, however, apartment sales declined 9%, reflecting continued caution among buyers amid inflation, high borrowing costs, and pressure on household incomes.
The company also noted a significant increase in development activity in the capital, with the net floor area authorized for residential buildings in Bucharest rising 3.6 times in the first five months of the year compared with the same period last year, marking the strongest pace in five years.
Apartment sales varied across Romania’s major cities. Transactions fell by 16% in Cluj-Napoca and 11% in Iași during the first six months of the year, while Timișoara recorded a 3% increase.
“These differences show that the market is not moving uniformly and that affordability, price levels, available supply, and the structure of local demand are playing an increasingly important role in transaction volumes,” reads the analysis.
According to Colliers, buyers have become more selective, placing greater emphasis not only on purchase prices but also on the overall cost of home ownership, including financing costs, energy efficiency, accessibility, and proximity to services. Developers, meanwhile, continue to prepare new projects despite ongoing economic uncertainty.
Mortgage-backed purchases accounted for around 58% of apartment transactions, broadly unchanged from last year, suggesting that buyers continue to rely on financing despite elevated interest rates, the same source found.
Colliers expects July to see a temporary increase in transactions as buyers finalize purchases eligible for Romania’s reduced VAT rate under transitional rules. However, the consultancy said this is unlikely to change the broader market trend, with buyers continuing to compare projects more carefully before making purchasing decisions.
Looking ahead, Colliers believes improvements to Bucharest’s transport infrastructure, including subway extensions, tram upgrades, and road investments, will increasingly shape residential development by making currently less attractive areas more appealing for both buyers and developers.
“Differentiation is no longer merely a marketing consideration; it is becoming a prerequisite for absorption. Buyers are more cautious, compare more options and consider not only the price of the apartment but the full cost of home ownership. In the coming years, transport infrastructure will redraw Bucharest’s residential attractiveness map. Areas currently regarded as secondary could become significantly more appealing if they gain better access to the subway, tram services or road infrastructure, and developers who anticipate these changes will have a clear advantage,” stated Gabriel Blăniță, Director | Valuation & Advisory Services at Colliers Romania.
Despite the recent recovery in the capital, the consultancy expects the residential market to remain closely tied to the broader macroeconomic environment, with a more visible economic rebound unlikely before 2027. Over the medium term, however, Colliers expects limited housing supply and continued demand for well-connected, energy-efficient homes to support the market and keep upward pressure on prices in well-positioned developments.
irina.marica@romania-insider.com
(Photo source: Moruzx/Dreamstime.com)
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