The Romanian real estate market was almost totally blocked in the fourth quarter, when many significant projects were postponed or even canceled. By year-end, prices fell 5-10 percent for new homes, and by up to 30 percent for old homes.
Players on the real estate market expect 2009 to be as dark as 2008 at best, if the loan market recovers. The price trend remains down, despite bonuses offered by developers. Main transactions forecast for 2009 will be between investors who have liquidity and companies facing significant financial problems.
