The opportunity called Romanian real estate
MARKET DATA
While the current economic and geopolitical context in Europe and especially in CEE bring uncertainty and volatility in almost all sectors, there are strong reasons to believe in the potential of the Romanian real estate market mid- and long-term.
ROMANIA – QUICK FACTS
- EU’s 6th largest country by population
- Strategic position in Europe & EU and NATO member, soon part of Schengen zone
- Strong labour market with high employment (unemployment rate estimated for 2023 and beyond: <5%) and wage growth (13% growth YoY, September 2022)
- High GDP growth rate in 2022: >4.9%
- Inflation expected to fall below 7% in 2024 (source)
UNDERSUPPLIED DEMAND FOR BETTER BUILDINGS
With over 95% of homes owned, Romania has the highest homeownership rate in Europe (source).
The vast majority of these homes have been built during the communist era, are 30-40 years old, and provide low living standards.
According to Eurostat, they are also the most overcrowded homes in Europe. The growing economy, increasing incomes, and changing lifestyles create a high demand for modern buildings in all sectors: residential, office, industrial, commercial, and public.
INVESTMENT OPPORTUNITY
Today, Romania has some of the lowest prices per sqm for dwellings in the European Union. (source) From here, they can only continue to go up.
Also, homes in Romania are some of the most affordable in Europe – while Czechs can buy a 70 sqm home in 13 years, Romanians can do this in about half of the time. (source)
This makes Romanian real estate a solid investment opportunity mid and long-term.
And apparently, Romanians know this already: real estate and crypto are their top investment options according to a McKinsey&Company analysis in 2022.
By bringing real estate and blockchain together, Build21 emerges as an ideal investment for the Romanian market.
Sounds good? It is time to meet our TEAM!