Romanians, among the Europeans who most want to invest in housing

One in three Europeans intends to invest in a residential property, according to a recent study. Portugal, Finland, Bulgaria, Romania distance themselves from the rest of the countries by the large number of citizens who have either invested in a property, or the purchase of a property is a plan to achieve in the near future. A cheaper area, a smaller home or a more energy efficient property are the main reasons for purchasing a property.

For instance, in Romania 72% of the respondents are the owners of their homes, 10% above the European average.

The study was conducted by RE/MAX Romania at European level probing into the trends in the residential market, in which it presents important information regarding the change in attitudes and people’s intentions in this direction, taking into account factors such as: cost of living, environment, connectivity, international circulation, urbanization/deurbanization.

Among the biggest changes compared to the previous year are the increase in the number of people who want to buy a home, those who want to migrate from urban to rural areas and those who want to buy a home abroad.

The survey pointed out that the times of great political, economic, social, technological and environmental change are major factors driving the global news agenda and having a significant impact on the decisions ordinary people make about where they choose to live and invest. The rising cost of living has a significant influence on housing purchase decisions across Europe, but its effect is felt very differently by country. Counterintuitively, research shows that this, in addition to other factors, could lead to increased activity in the residential market.

1 in 3 Europeans intend to invest in a residential property

Up to one in three Europeans are looking to invest in residential property, either at home or abroad, and are ready for action. Despite the rising cost of living and tough times ahead, the RE/MAX study shows a net increase of 23% in the number of people planning to buy a property in Europe compared to 12 months ago.

This is most evident in Portugal (+40%), Finland (+36%), Bulgaria (+35%) and Romania (+30%), where a significant minority of respondents are more inclined to buy a home. Those between the ages of 26 and 45 are more inclined to invest. While a significant number of Europeans are put off by the cost of a move, almost one in five see a move as a way to reduce household expenses in the medium and long term. They would do this by either choosing a smaller home, moving to a cheaper area, or purchasing a more energy efficient property. Two-thirds of customers surveyed are satisfied with their current location, which is predominantly urban. However, for those who want to move, the countryside exerts an increasingly strong attraction.

Twice as many people want to move out of the city than into the city

Data from this study show that after about 200 years of migration to the city, the trend appears to be declining. The main reasons mentioned by those who want to move to the country are ‘closer to nature’, ‘more space’ and ‘more privacy’ – the ability to work from home ranked quite low on the list.This may be a reaction to the experience of the townspeople during the pandemic. What is already clear across the sample is that while 46% live in the city and want to stay there, 21% want to move to the country. One in five people are considering a move to the countryside or the coast, more than double those considering a move to the city (8%).

15% of Europeans who want to move abroad are thinking about Spain

Many people still want to buy a home in another country, with 25% of Europeans actively considering this option, but the differences between countries are significant. One in four people (25%) are considering buying a residential property in another country, either because they are moving or as an investment. Almost a quarter (24%) of these are considering a move in the next twelve months, and a quarter (27%) expect to move in the next two to three years. Approx. 15% of Europeans who want to move abroad are thinking about Spain.

Romania – 72% of those surveyed are the owners of their homes, 10% above the European average

A large part of Romanians are the owners of their homes (72%), over 10% above the European average. Among those who consider a possible move, 15% intend to do so in the next year, and approx. 25% in the next three years. Approx. 29% of them stated that they want to move to the country. However, the majority (54%) plan to stay in the urban area. It is also true that 35.6% of Romanian respondents would not rule out a move abroad, one of the highest percentages in Europe, surpassed only by Turkey at (45%).

Space is important to Romanians – 38% of those who changed their mind in the last year and are now considering a possible move said they want more space, an even more significant factor for those who want to move to the country. This percentage (60%) is exceeded only by the desire to be closer to nature (70%) on the list of motivating factors for a move to the country. For 54% of those who live or move to the countryside, another motivating factor is the added privacy. A much higher proportion of Romanians than the average associate the rural environment with better access to organic food; 47% said this was a reason to stay in the country, as opposed to 22% of all Europeans.

Romanians prefer apartments to houses; 42% of those considering a move said they would look to buy an apartment. At the same time, 26% of all potential buyers were looking for a single-family home, with this percentage rising to 31% among those looking to move to the countryside.

Romanians are concerned about the impact of property acquisition on the environment. An above-average percentage of 39% indicates that they would be prepared to choose a smaller property if it is more environmentally beneficial. Only a quarter of people (24%) said they would not accept any compromise. At the same time, the likelihood of considering an urban location for its environmental benefits is among the highest in Europe.