Romanians buy old, small and expensive apartments

Old apartments are an average 47 years old, compared to the 30 years average in the European Union, and their area is only half of those built in residential complexes in recent years.

In spite of new project, housing are per capita only amounts to 15 sqm, versus 30.6 sqm in EU.

“Old apartments are cheaper, are available, have lower maintenance costs and, generally, the first acquisition will be an old apartment and the second will be a new one,” according to Residential Division Manager within Colliers International, Ilinca Paun.

Last year, prices of old apartments in Bucharest rose some 52 percent, while prices of new apartments only increased by 17 percent.

“In the 1990s, an one bedroom apartment in a semi-central area was sold for some €9,000-12,000, depending on the floor it was on, access to the subway and proximity to markets and parks. The same apartment is currently sold for €110,000-130,000,” said consulting company King Sturge Investment Manager, Radu Boitan.