Investing in Romanian real estate offers returns of 5-12% annually through a combination of rental income and capital appreciation. The process is straightforward for EU citizens and accessible for non-EU investors through simple corporate structures. This guide covers the practical steps, legal requirements, tax implications, and pitfalls to avoid.
Investment Structures
Direct Purchase (EU Citizens)
The simplest option. Buy in your own name, pay Romanian property taxes (0.08-0.2% annually). Rental income taxed at 10% flat rate. Capital gains tax: 3% of transaction value when selling.
Company Purchase (All Nationalities)
Set up a Romanian SRL (limited liability company): EUR 500 cost, 3 days process. The company owns the property. Advantages: land purchase rights, VAT recovery on commercial properties, more tax optimization options.
Tax Overview
- Property tax: 0.08-0.2% of tax value annually
- Rental income tax: 10% flat rate (after 40% expense deduction)
- Capital gains: 3% of sale price (individuals) or 16% corporate tax on profit (companies)
- VAT: 19% on new residential properties (recoverable through company)
Due Diligence Checklist
- Land Registry extract (extras de carte funciara) — verify ownership
- Check for liens, mortgages, or encumbrances
- Verify building permits and occupancy certificate
- Check for any ongoing litigation
- Assess neighborhood development plans
Contact us for investment consultation or browse available properties.
Ready to Find Your Property?
Browse our curated selection of premium properties across Eastern Europe or contact us for personalized assistance.
