How to buy real estate in Romania: rules for foreigners

Buying Real Estate in Romania: Rules for Foreigners

July 9, 2025 725 Views

Buying real estate in Romania attracts foreigners with affordable prices, profitable investment opportunities, and the prospect of obtaining residency. However, the process has its nuances. Let’s examine the rules for foreigners, required documents, and how to avoid risks.

1. Can a foreigner buy real estate in Romania?

Yes, but with restrictions:

EU citizens can purchase any property under the same conditions as Romanians.
Citizens of other countries (including Russia, Ukraine, Moldova, Turkey, etc.) can only buy:

Apartments in multi-unit buildings.
Commercial real estate (offices, shops, warehouses).
Land – only through a legal entity registered in Romania.

Important! Purchase of agricultural and forest land by non-EU foreigners is prohibited.

2. Step-by-step purchase procedure

Step 1. Property search

Use popular Romanian real estate websites:

Best cities for investment: Bucharest, Cluj-Napoca, Timișoara, Constanța, Brașov.

Romania offers investors attractive opportunities due to its growing economy, developed infrastructure, and high rental demand. Among cities with the greatest potential are:

Bucharest – the capital and economic center of the country. It hosts international companies, and housing demand remains consistently high from both tenants and buyers. New residential complexes in Pipera, Băneasa, and northern areas are particularly promising.

Cluj-Napoca and Timișoara – major university and tech hubs with young populations. Thanks to the IT sector and Western investments, these cities show steady real estate price growth. Timișoara additionally benefits from proximity to Serbia and Hungary.

Constanța – Romania's main seaside resort, popular for summer rentals and vacation home purchases. Brașov attracts investors through tourism, developed industry, and high quality of life, making it ideal for long-term investments.

These cities combine affordable prices, high liquidity, and growth potential, making them optimal choices for investors.

Step 2. Property verification

Request a cadastral extract (Extras de Carte Funciară) – confirms seller's ownership and absence of encumbrances.

Ensure there are no outstanding utility debts.

Verify the building complies with regulations (especially older houses).

Step 3. Signing a preliminary contract (Contract de Promisiune)

A deposit is paid (typically 10-30% of the price).

Specifies final transaction deadlines and refund conditions if canceled.

Step 4. Notarizing the transaction

Mandatory! Without a notary, the transaction is invalid.

The notary verifies documents and registers the property transfer.

Buyer pays a transfer tax (2-3% of cadastral value).

Step 5. Cadastral registration (Oficiul Cadastral)

The notary submits documents to the land registry. Within 10-30 days, you'll receive the ownership certificate.

3. Required documents

Passport (+ notarized translation if non-Latin script).

Tax ID (CIF) – obtainable from Romanian tax authorities.

Cadastral extract for the property.

Sales-purchase agreement (prepared by notary).

4. Costs and taxes

Purchase tax – 2-3% of cadastral value (not market price!).

Notary fees – 0.5-1.5% of property value.

Annual property tax – 0.1-0.5% (varies by city).

5. Does buying property grant residency in Romania?

No, but residency can be obtained through investments of €250,000+ or business immigration.

6. Risks and how to avoid them

Fraud – work only with verified agencies.

Legal issues – verify property history with the notary.

Hidden debts – request a debt clearance certificate.

Foreigners can buy Romanian real estate, but thorough due diligence is essential. Hiring a local lawyer and realtor is recommended to avoid issues. For residency purposes, consider alternative options (investments, business).