The local residential market is undergoing a period of structural adjustment, with significant transaction declines, price pressures, and a limited pipeline for the next two years.

The first two months of 2026 saw an 18.6% decrease in apartment transactions in Bucharest compared with the same period last year, according to Crosspoint Real Estate analyses. In Ilfov County, the decline was 10.9%. This trend continues the evolution from 2025, when the total transaction volume in the Bucharest-Ilfov metropolitan area fell by 8.5% to 55,297 units, while new apartment prices rose by approximately 20% to €2,500/sqm.

The main factors are the shortage of building permits and high production costs. In 2025, only 4,013 permits were issued in the metropolitan area, and residential construction costs increased by 9%, well above the EU average of 1%, according to Eurostat. This pressure is compounded by a difficult macroeconomic context: an annual average inflation of 7.3%, a net average salary of €1,120, and an unemployment rate of 6%.

Experts note that developers are taking a more selective approach, focusing on middle-high and premium segments, which now account for roughly 80% of Crosspoint’s consulting activity. In parallel, recent regulations, including Law 207/2025, limit options for projects financed through off-plan sales, further restricting the pipeline of new units.

The result is a constrained supply for 2026–2027, with sustained price pressure, especially in central areas and the premium segment, where northern Bucharest remains the most active sector. According to specialists, a visible market recovery is expected only in 2027, after inflationary pressures ease and developers adapt to the new regulatory framework.