Bucharest offers highest resi rental yields in Romania

Business Forum
Bucharest remains the leader on gross rental yields, while the overall prices in the residential market rose by 14% in 2024, according to a market study by The Concept.

During 2024, the Romanian capital had rental yields of 6.39% for studio apartments, 6.63% for two-room apartments, and 6.70% for three-room apartments.

In regional cities, yields are mixed. Constanța offers yields between 5.86% and 6.45%, benefiting from seasonal demand and developing infrastructure. Iași remains attractive to investors, with yields of 6.18% for studio apartments and 5.74% for two-room apartments, due to economic growth and demand from the academic area. On the other hand, Cluj-Napoca continues to have the lowest yields, at around 4.26% for studio apartments, in the context of high prices.

"The rental market remains solid, but we see significant differences between cities," explains said Daniel Tudor, CEO of The Concept Group and CIO of Hubix Investment. "Investors looking for high yields need to carefully analyze the evolution of rents and monitor growing cities such as Iași and Constanța," he added.

Meanwhile, the average price per sqm in Romania's residential sector has reached €1,699, marking a 14% increase compared to 2023, 

Over the long term, between 2014 and 2024, the average price increased by 139.6% in absolute terms.

Adjusting for inflation shows a more moderate increase of 52.1% in the last 10 years and 8.5% in the last year, which indicates a market with sustainable evolution.

"In the last year, demand has remained high, especially in big cities, and the return of lending has fueled price growth," concluded Tudor.
 

RECOMMENDED
Fewer homes get completed in Romania in Q1-Q3 2024
Real estate

Fewer homes get completed in Romania in Q1-Q3 2024

The total number of homes completed in Romania in the first nine months of the year was 42,312, down by 18.1% compared to the same period last year, according to a report by the National Institute of Statistics (INS).

Northern Bucharest to continue to drive resi demand
Real estate

Northern Bucharest to continue to drive resi demand

Victor Terheș, Sales Director at Bellemonde, talked to Property Forum about the status of its €40 million residential investment in northern Bucharest and the growing demand for homes in this area in the long term.

RECOMMENDED FROM THE HOME PAGE
READ MORE
Business Forum  |  21 February, 2025 at 1:28 PM