The accelerated increase in real estate prices, the depreciation of the leu and inflationary pressures are causing a change in strategy in the Romanian credit market. In an economic context dominated by volatility and uncertainty, fixed interest is beginning to be perceived not only as a banking product, but as a long-term financial protection tool.
The monthly rate became less than the rent. Archive photo
The drop in interest rates on the mortgage market in Romania has caused the rate of a real estate loan needed to buy an apartment in Bucharest to fall, for the first time in recent years, below the value of the average rent for the same home.
Thus, the average rate of a mortgage loan in the amount of 85,000 euros (financing over a period of 25 years, fixed interest of 4.55% per year) required to buy a mass market apartment with two rooms, with a value of 100,000 euros, completed before the year 2000 in Bucharest, reached a value of 2,469 lei in May, an increase of only 49 lei compared to the beginning of last year.
At the same time, the average rent required for the same type of apartment, furnished and equipped, reached a value of 2,693 lei (approximately 517 euros) in May, 9% more compared to the rate of the mortgage required to buy the same apartment. The current level of the average rent is also 7% higher compared to the value recorded at the beginning of this year and 21.5% higher compared to the value recorded at the beginning of 2025 – the evolution of the average asked rent also includes the variation of the exchange rate.
“The best mortgage deals on the market today have an interest rate almost 2.5 percentage points lower than the peak of interest rates three years ago. Financial-banking institutions are making efforts to keep lending attractive, the current level of interest, of 4.55% in the case of the best offers, being significantly lower than the monetary policy interest, of 6.50%, a unique case at European level and an element that shows confidence in the local market and the solvency of demand”said Laurentiu Bogdan, managing partner of Ipotecare.ro.
The current best mortgage rate offer is about 1.2% higher than the market low recorded in early 2021, in the midst of the Covid-19 pandemic, when the best mortgage product had an interest rate of 3.23%.
The average rate required to buy a mass market home has increased by 22% compared to the level of 2021, while the average salary in Bucharest is today 66% higher compared to the one recorded at the beginning of 2021, according to the data of the National Institute of Statistics (7,173 lei in February 2026 compared to 4,313 lei in February 2021). At the same time, the average asking rent for a two-room mass market apartment, furnished and equipped, completed before the year 2000 in Bucharest, increased by about 46% during the same period.
The economic crisis is rewriting the rules of lending
Fixed interest is starting to be perceived not only as a banking product, but as a long-term financial protection tool.
“2026 offers one of the best windows for intelligent restructuring of banking costs and for stabilizing personal cash-flow. If you go for the classic option, a loan costs you between 7% and 9%. But if you are informed, you can find fixed interest from 4.55%. In an economy with inflation above 10%, such a loan is practically a strategic advantage: the bank's money devalues faster than you pay it back. it goes up with inflation, but your debt remains frozen. In short, inflation can start working in your favor.”said economist Claudiu Trandafir, founder of OferteBancare.ro.
Investor's guide: when you can officially rent an apartment bought with credit
It also highlights an important shift in perspective in consumer financial behavior. In certain situations, the use of capital for investments with a higher return than the cost of credit can become more efficient than early repayment.
Examples such as Fidelis government bonds, which offer yields superior to bank fixed rates, show that financial stability no longer depends solely on debt reduction, but on the ability to intelligently manage liquidity and savings.
“One of the biggest financial mistakes is to take your debt to the maximum limit accepted by the bank. My recommendation is that the rate should not exceed 30% of income, and the difference should be directed to savings and financial instruments that can produce long-term returns. Financial stability is not only about owning a house, but also maintaining liquidity and adaptability in a volatile economy“, explained Trandafir.
Refinancing becomes a strategic tool, not just a rate reduction solution
More and more consumers are reassessing the loans contracted in recent years, against the background of the increase in financing costs and the volatility of variable indices. In this context, refinancing is starting to be used as a mechanism for financial stabilization and reducing exposure to market risks. The differences between bank offers have become significant, and the lack of a renegotiation of credit terms can generate important additional costs in the long term.
“The biggest change in the market is not just the increase in prices, but the maturing of the financial behavior of buyers. Three years ago, many Romanians analyzed almost exclusively the price of the apartment. Today, after accelerating property value growth and periods of high interest rate volatility, people have begun to understand the difference between a rate that seems bearable in the short term and one that remains sustainable in the long term. The market forces them to think strategically: it's no longer just if you can afford to buy now, but if you can keep your financial stability over 5 or 10 years”, added Claudia Negru, Owner The List Estates.
