Eurobank Property Services’ residential price index up by 1.1 pct in Q3

The Eurobank Property Services’ residential price Index of Romania recorded a quarter on quarter increase of 1.1 percent in the third quarter of 2017. Thus, the upward trend seen in the last period continued, resulting in a year-on-year increase of 9.2 percent over the same period last year.

Against the backdrop of the positive evolution during the past five years, with an annual average of 2.1 percent, the recent q-o-q increases support the recovery trend of the Romanian market. This forecast is also confirmed by the Bucharest price index, which continued its y-o-y upward course, with a 7 percent value, as well as by the Bucharest Ring, with 6 percent, as compared to the third quarter of 2016.

Six of Romania’s eight divisions continued the q-o-q price growth trend, while only two have evolved negatively. Thus, the Centre division recorded the highest q-o-q price increase, of 3.2 percent, followed by Moldova and West with 2.3 percent and 2 percent, respectively. On the other hand, the North division recorded the steepest q-o-q price decrease, of -1.1 percent.

The indices of the 11 largest cities in Romania generally show a stable q-o-q performance, with fluctuations that appear to be rather short-term corrections. The cities of Galati, Constanta, Braila, Craiova and Oradea showed an average q-o-q upward trend of 4 percent, while Ploiesti, Brasov, Timisoara and Bucharest had an average increase of less than 1 percent.

The price of new properties in Bucharest continued also its year-on-year growth, with over 2.3 percent, contributing to a 3.1 percent increase in new properties at national level.