In the past five years, the growth rate of the average net wage in Romania surpassed that of apartment prices. The purchasing power in Romania has seen a raise of 50% while apartment prices only grew by 25%.
Average net wages in Romania have registered a significant growth compared to other CEE countries, especially in the last three years. The fast economic growth has determined a steady evolution in wages, visibly diminishing the gap between Romania and other CEE countries like Hungary, Poland and the Czech Republic.
In the past 10 years, Romania’s price to income ratio has declined from the highest in CEE to the second lowest, due to both a rise in wages and a decrease in apartments prices. This led to an increased housing affordability, even though the quality of newly built residential projects has seen a serious improvement.