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REAL ESTATE MARKET FUNDAMENTALS IN THE REPUBLIC OF MOLDOVA

The real estate market in the Republic of Moldova has been formed since the 1990s along with the transition to the market economy as a result of the privatization of a large state-owned area of land and constructions and later following the privatization of companies from different branches of the national economy. Currently the real estate market in the Republic of Moldova is slightly increasing in terms of the available stock (annual real estate stock) and demand (the annual number of market transactions). This is reflected in the slow 2% average annual growth of the housing stock (from 80.2 in 2012 to 86.8 million m2 in 2017*), in the increase of the number of sale and purchase transactions in the residential sector (4.5% on average in 6 years), in a faster 4% average annual growth of the non-residential stock (from 17.2 in 2012 to 20.4 in 2017 million m2) and in an 8% average annual growth of the non-residential real estate transactions Most of the real estate market in Moldova consists of the housing or residential real estate sector, which includes private houses, apartment buildings and those intended for the permanent living of families or individuals separately. This sector has a share of about 80% (2017) in the total real estate market.

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