Romania unlikely to suffer from real estate crisis due to the credit crunch

"The real estate market in Romania should not witness a crisis as it is just the beginning and will need some 20 years more to reach saturation", according to the residential department chief of the real estate company CB Richard Ellis/Eurisko, Ionut Bordei.

The sales rate on the market is very low because buyers are waiting for prices to go down.

However, Bordei added that prices for properties will not fall as costs are huge. Market supply is very small after many developers gave up their new projects. Demand is very high and prices started to go up again.

“All those who want to buy a lodging and yet do not acquire it in this period will create a huge demand surplus,” Bordei considers.