PwC Real Estate Director Speranta Munteanu: apartment and terrain prices to drop

Apartments and terrains in Bucharest are currently corrected and their prices will drop, PricewaterhouseCoopers Real Estate Director Speranta Munteanu declared in a HotNews.ro interview. She added that new apartments sell by 1,300 euro/sq meters while old apartments will reach the level registered in 2005-2006.

Munteanu declared that owners have exaggerated expectations regarding the value of their terrains and a correction is expected. She adds that if apartments are not centrally located, these are sold with at least 15 to 20% below the initial expectations of the investors.

Moreover, the analyst confirmed that prices are expected to drop. Thus, old apartments are likely to be sold in the upcoming future at their 2005-2006 value. Munteanu urges Romanian authorities to develop the infrastructure so that Romania will fully take advantage of its geo-strategic location as a new EU member.