Bucharest’s residential market closed the first half of 2026 with apartment transactions down by only 2% compared with the same period last year, following a significantly weaker first quarter. According to an analysis by Colliers, second-quarter performance points to a recovery in demand, while developers are accelerating preparations for new residential projects.

An important signal comes from the construction permitting sector. During the first five months of the year, the authorised usable floor area for residential buildings in Bucharest was 3.6 times larger than in the corresponding period of 2025, suggesting a potential increase in housing supply over the coming years.

Demand Remains Selective as Costs Shape Buying Decisions

Growing Differences Between Local Markets

Nationwide, apartment transactions declined by 9%, although market performance varied significantly between cities. Cluj-Napoca recorded a 16% decline, Iași fell by 11%, while Timișoara reported growth of approximately 3%.

According to Colliers consultants, these differences reflect an increasingly selective market in which affordability, pricing, available supply, and local demand dynamics play a greater role in transaction activity than in previous years.

Buyers Focus on the Total Cost of Homeownership

Demand for residential property remains strong, but purchasing decisions are increasingly influenced by financing costs, inflation, and pressure on household incomes. The share of purchases financed through mortgage loans remained at approximately 58%, indicating that mortgage financing continues to support the market despite elevated interest rates.

At the same time, buyers are placing greater emphasis on energy efficiency, access to public transport, proximity to essential services, and long-term maintenance costs, rather than focusing solely on the purchase price.

Infrastructure Will Shape Future Residential Development

According to the report, investments in transport infrastructure will reshape the attractiveness of several districts across Bucharest. Metro network expansion, public transport upgrades, and improved connectivity are expected to create new residential growth areas.

Over the medium term, Colliers expects limited new housing supply combined with accumulated demand to continue supporting residential prices, particularly for well-located and energy-efficient developments. In this environment, developers capable of delivering homes that meet changing buyer expectations and evolving economic conditions are expected to gain a competitive advantage in an increasingly mature market.