Major changes for those looking to take advantage of the “First House” program are going to take place in 2019. Funds for the program, which was set up in order to help create new home owners by reducing the initial deposit amount to around 5%, will drop by up to 25%.

The First House 2018 program is run through 15 financing banks: Bancpost, Banca Comerciala Romana, BRD – Groupe Societe Generale, CEC Bank, Credit Agricole Bank Romania, Garanti Bank, ING Bank, Leumi Bank Romania, Marfin Bank, OTP Bank Romania, Piraeus Bank, Raiffeisen Bank, Banca Romaneasca, Banca Transilvania, Unicredit Bank.

Experts predict that this will result in a stagnation of the market, due to the fact that less people will be able to afford property. RE/MAX Romania, conducted research in partnership with the real estate platform Imobiliare.ro. The research does acknowledge that demand is rising, as prices saw an overall increase in Bucharest and regional centres, like Cluj-Napoca.

Specialists believe that demand for housing is steadily increasing, as confirmed by the increase in the number of applications for building permits – in the first seven months of the year 24,950 permits for residential buildings were issued, up 7.6% over the first seven months of the previous year, according to the official data of the National Institute of Statistics (INS).

“On the other hand, analysts estimate that in 2019 housing prices will stagnate, then a slight increase, and by 2022 at the level of big cities, they will reach higher values, especially in areas with increased potential for economic development. Moreover, ROBOR – at least in the case of a 3-month period – will not exceed 3.5%. An interesting trend in large urban areas, which was noted in the last 12 months and will continue in the future is the development of residential projects with potential business centers around.”

The study is carried out on a national premiere by an agency and a real estate portal and brings together statistical data from the survey conducted on a sample of 300 respondents from 30 cities (over 50% real estate agents or agency owners), news coming directly from real estate market, comparative analysis with other markets in Europe and RE / MAX and Imobiliare.ro expert opinions.

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