BUCHAREST, May 2 (Xinhua) -- Housing prices in Romanian urban areas are expected to increase by up to 10 percent in 2017, with a similar development regarding the rent of apartments, showed the latest analysis of the industry released Tuesday.
Until the end of this year, the average sale price for an apartment in the urban area will increase by 8-10 percent from the price of 1,150 euros (1,254 U.S. dollars)per square meter in 2016, while the rent of apartments in urban areas will also go up by 7-10 percent compared to the average rate of 2016, that stood at 5.50 euros per square meter, according to the analysis of RE/MAX Romania, quoted by the official Agerpres news agency.
"Governmental programmes and easy loan conditions mostly draw a higher number of clients making their first real estate transaction," the firm's President Razvan Cuc was cited as saying.
The value of offers along with the demand on the market also increased, he said, explaining that the average rent for an urban apartment stood at almost 440 euros in 2015, one year later, the price per square meter for a similar housing increased by a little over 5 euros.
"For the upcoming period, we foresee an accelerated growth pace, in line with the European trends, both in urban, suburb areas and small cities," Cuc said.
The situation in Romania is similar to those of many states in Europe. A growth by 10 percent on the segment of apartments in the urban area was reported in the countries such as the Netherlands and Spain, reaching up to 16 percent in Malta, added experts within the RE/MAX Europe.
Real estate market in Romania was in the spotlight in 2015, being the first year after the crisis when transactional activity has truly shown the revival of this segment.
In 2016, all major cities in the eastern European country experienced rising house prices. (1 euro = 1.09 U.S. dollars)