The number of transactions with real estate properties, in the residential segment of Bucharest, decreased by 30-35 percent in the last months, but the depreciation of real estate was not higher than 4 percent, according to the data of the real estate consulting company 24 REAL. According to 24 REAL specialists, the demand for residential spaces has had a major impact since the beginning of the war in Ukraine, when, in the first quarter of 2022, transactions stagnated.
“At the beginning of the war in Ukraine, from the beginning of last year, an uncertainty was created on the market, at the regional level, and in the first months everything went into a total stand-by. The market recovered slightly towards the second part of the year, and the normal course for real estate needs resumed from quarters 2 and 3, but at a lower pace compared to the same period in 2021,” said Oscar Răceanu, Head of Residential Division within 24 REAL.
According to the 24 REAL representative, the increase in bank interest rates has put a lot of pressure on access to financing. However, the decrease in the demand and appetite of Romanians for the purchase of real estate is surprising, given that the volume of construction works in 2022 increased by 12.9 percent compared to the previous year, while the construction of residential buildings increased by about 5 percent .
