A downward trend in asking prices in Bucharest could be due to the gradual depletion of funding for the government-backed mortgage lending program for first-time homebuyers.
Current asking prices for homes is 9.7% higher than in the third quarter of last year and about 25% higher than in the third quarter of 2015. Asking prices have dropped 38% compared with the third quarter of 2008, when real estate was booming, but around the average recorded in 2010.
While in most other cities, asking prices for housing continued to recoup declines registered during the financial crisis, in Bucharest asking prices dropped 1.1% to an average EUR1,230/sqm.
In Cluj-Napoca, asking prices grew 6% in the third quarter compared with the second quarter, to EUR1,410/sqm, 16.6% higher than in the third quarter of 2016.
In Timisoara, asking prices for apartments grew 2.8% quarter-to quarter and 9.5% on the year, to EUR1,110/sqm.
Asking prices in Constanta grew 2.3% quarter to quarter and 10.7% on the year, to EUR1,050/sqm.
Craiova has exceeded the EUR1,000/sqm threshold and asking prices for housing grew 4.2% quarter to quarter, to EUR1,020/sqm.
In Brasov, asking prices grew 2.3% quarter to quarter and 6.9% on the year, to EUR970/sqm.
Asking prices in Iasi grew 2.2% quarter to quarter and 8.5% on the year in the third quarter, to an average EUR940/sqm.