In 2024, the real estate market in Moldova continues to show activity despite the economic crisis that began in 2022. The Covid-19 pandemic spurred increased interest in new residential properties, but economic and infrastructure issues remain significant barriers. For instance, a shortage of land for construction in Chișinău has led to increased building costs. Additionally, overcrowded streets, insufficient parking, and limited infrastructure capacity negatively impact the appeal of the city’s central areas.

Price Trends

According to real estate agencies, apartment prices in 2024 reached €1,370 per square meter, a record high. Experts predict that prices will continue to rise in 2025 due to the following factors:

1. Lower mortgage rates, with interest rates dropping to 7–8%;


2. Increased demand for high-quality housing exceeding supply;


3. Growth in mortgage transactions, from 20% in 2023 to 40% in 2024.

In 2025, a moderate price increase of approximately €50 per square meter is expected, provided that current demand and limited supply persist.

Housing Demand

Market recovery is evident from the number of transactions. In Chișinău, 11,494 apartment purchase-and-sale deals were registered in the first nine months of 2024, an 8.5% increase compared to the same period in 2023. One- and two-room apartments, both in new and existing buildings, are particularly popular. Buyers prefer “white frame” apartments in new residential complexes, priced between €1,200–€1,400 per square meter, or fully renovated apartments starting from €1,500 per square meter. In the secondary market, prices range from €1,000–€1,300 per square meter.

Key Influencing Factors

The primary driver of sales growth has been the reduction in mortgage rates. As inflation decreased, commercial banks lowered mortgage interest rates from 14% in 2022–2023 to 7–8% in 2024. This allowed more buyers, previously unable to afford cash purchases, to enter the market. For instance, 4,721 apartments were sold through mortgages in the first nine months of 2024, compared to 2,136 during the same period in 2023—a 2.2-fold increase.

In 2023, only 20% of apartments in Chișinău were sold via mortgages, but by 2024, this figure exceeded 40%. The government's more favorable credit terms under the "Prima Casa" program also contributed positively to transaction volumes.

However, experts argue that comparing the figures for the first nine months of 2023 and 2024 is not entirely accurate, as the market recovery began in the second half of 2023 after mortgage rates decreased. Nearly 60% of annual transactions occurred in this period. It is more logical to compare data for the first half of 2024 with the second half of 2023 or to evaluate quarterly figures. Interestingly, the number of transactions in the third quarter of 2024 was 11.7% lower than in the same period of 2023 (4,098 vs. 4,642).

For Moldovan residents earning locally with no plans to emigrate, buying property remains the primary option. On a growing market, this strategy is sound, as rental costs are high and comparable to mortgage payments. The concept of mortgages, widespread in Western economies where prices tend to rise consistently, has taken root in Moldova. Given the current environment, where price growth sometimes outpaces mortgage rates, purchasing property is more advantageous than saving or renting.

In a stagnant market, however, this approach becomes less viable. In such cases, the decision depends on comparing rental costs with monthly mortgage payments, experts suggest.

Market Trends

Price growth is expected to continue at a moderate pace without the sharp fluctuations seen in late 2023 and early 2024. Highly liquid properties sell quickly, with a shortage of completed new buildings. Such apartments are often purchased through mortgages, where small price variations of €1,000 are less significant to buyers who prioritize manageable monthly payments.

Over 33 years of independence, Moldova’s real estate market has begun to mature, with the development of rental markets, commercial real estate, and expanded credit programs.

Suburban Housing Projects

Government and municipal programs aimed at infrastructure modernization (2023–2030) are increasing the appeal of suburban projects like Cottage Residence, Hora Village, Satul German, and Poiana Pinului. These projects, at various stages of completion, share features like unique architecture, modern infrastructure, proximity to Chișinău, and the comfort of living in quiet, standalone homes.

Innovations and Energy Efficiency

Demand for energy-efficient homes is rising. By 2025, eco-friendliness and modern technologies will become key competitive advantages for developers. Such solutions reduce operational costs for buyers and improve quality of life.

Adapting to Market Changes

The real estate market evolves under the influence of economic, social, and global factors. Success requires accurate data and close attention to trends shaping the sector. Understanding market shifts is crucial for anticipating future developments.

Increasing Interest in Suburban Properties

The trend toward suburban living continues to strengthen. Spacious, private homes in eco-friendly areas remain popular among families and remote workers. Suburban projects are expected to maintain strong demand in 2025 due to their balance of comfort and affordability.

Outlook for 2025

The Moldovan real estate market is forecasted to grow steadily without drastic price surges. Programs like "Prima Casa" and improved mortgage terms will sustain high demand. Developers will need to focus on energy efficiency and unique offerings to stay competitive.

Overall, the market shows signs of maturity and a shift toward a more structured model. The sector's success will depend on the ability of market players to adapt to changing economic and social conditions.