Romania remains the fourth-most affordable residential market in Europe, despite prices rising by 14.4% in 2025

Romania remains one of the most affordable residential markets in Europe, ranking fourth among the countries with the lowest prices, according to the Deloitte Property Index 2026. The average home price reached €1,917 per square meter in 2025, up 14.4% from the previous year—the largest increase among the countries analyzed.

Romania was surpassed only by Turkey, Serbia and Albania. At the other end of the spectrum, Luxembourg recorded the highest average price, at €9,160 per square meter. The differences are explained by local housing policies, demographic trends, available supply and economic conditions.

In Romania, Cluj-Napoca was the most expensive city, at €3,137 per square meter, followed by Brașov at €2,156 and Bucharest at €2,026. The capital nevertheless recorded the largest annual increase, at 15.3%.

Bucharest also leads Romania’s rental market, with an average of €11.2 per square meter per month. It is followed by Cluj-Napoca at €10.3 and Brașov at €9.3. Deloitte says that the price increase was driven by limited supply, permitting bottlenecks, legislative changes and higher development costs. Sales fell by 10% in the final three months of 2025, while prices could continue to rise at a more moderate pace.