Fewer and fewer Romanians can afford to buy a new home, given that prices continue to rise at a significantly faster pace than wages, according to Colliers.
Cluj-Napoca remains the most expensive city in the country, where the purchase of a new standard apartment costs the equivalent of an average salary earned in 12.5 years of work.
Bucharest residents need 8.4 years’ wages for such an acquisition, Timisoara residents have to work 8.1 years for a new home, while Iasi residents need 7.7 years of work for a new home.
In Bucharest, Timisoara and Iasi, the most affordable prices for new housing were recorded at the end of 2020 – beginning of 2021, after which the evolution went on a strong upward trend.
However, Cluj-Napoca has seen a particular evolution, with new housing becoming increasingly unaffordable over the last 8 years.
Specifically, at the beginning of 2014, the most affordable residential properties among the big cities were in Cluj-Napoca, with the average buyer needing 9.2 years of salary to purchase a new home.
Meanwhile, Bucharest and Timisoara required 10.4 and, respectively, 10.7 years of salaries, while Iasi required 11.4 for a resident to cover the amount paid for such an acquisition.
But, these figures are much better than 2008, when the affordability index in Bucharest was at 25 years.