Can foreigners buy property in Romania?
Yes. Foreign citizens can generally acquire buildings and apartments in Romania, but the rules governing land ownership differ significantly between EU/EEA and non-EU buyers. EU/EEA citizens generally enjoy the same land ownership rights as Romanian citizens, while non-EU buyers may acquire land only under the conditions established by Romanian law and applicable international treaties based on reciprocity.
The Romanian law framework allows foreign citizens to invest in real estate, but the applicable rules depend on the buyer’s EU or non-EU nationality and, most importantly, on the type of property being acquired.
In this article, I will explain the distinction between acquisitions regarding:
- apartments and other buildings;
- land;
- properties comprising the building and the underlying or surrounding land;
- certain categories of land that are subject to additional rules, particularly agricultural land.
Article 44 par. (2) of the Romanian Constitution establishes special rules specifically for the acquisition of land by foreign citizens.
Therefore, for foreign buyers the most important question surrounding a real estate deal in Romania is whether the acquisition includes land.
Acquisition of real estate by EU citizens/legal entities
The Romanian law expressly provides that citizens/legal entities of EU/EEA member States can acquire ownership of land under the same conditions applicable to Romanian citizens/legal entities.
Residential property aquisition
An EU/EEA citizen may purchase an apartment or house and the related land, on its own name. They do not have to register a Romanian company merely with the scope of acquiring residential real estate.
Land purchased for investment or personal use
The same above general principle applies, although the EU buyer must comply with the rules applicable to that particular land or development, just as any Romanian buyer would.
Agricultural land acquisition
Special Romanian rules governing agricultural land located outside built-up areas apply to the land purchased by an EU or Romanian citizen, including pre-emption rights and other statutory conditions. These restrictions are attached primarily to the nature of the land and transaction rather than simply to foreign nationality. Law no. 17/2014 expressly applies to Romanian and EU/EEA buyers.
Real estate purchase by non-EU citizens
Buildings and apartments
Generally, non-EU nationals can own buildings in Romania.
However, for apartments and houses, the legal ownership of the corresponding building’s share in the land is not automatically transmitted to the non-EU citizen, and this matter should be checked before the transaction. This also applies to the common property of the condominium, in case of apartment acquisition. More information about land acquisition can be found in the next section.
Land purchase
For non-EU citizens, the possibility of purchasing land is substantially more restrictive.
Under Law no. 312/2005, nationals and legal entities of third countries may acquire ownership of land in Romania where this is permitted under an international treaty, on the basis of reciprocity. Such transactions may not have more favorable conditions than those applicable to EU nationals.
Law no. 17/2014 expressly condition the acquisitions of agricultural land located outside built areas through a hierarchy of pre-emption rights and special purchaser requirements. To be noted that non-EU citizens may acquire such land only under international treaties based on reciprocity.
Therefore, a non-EU buyer should not assume that the purchase of land is automatically permitted. The buyer’s nationality, the existence and scope of an applicable international treaty and the type of land involved must be checked before concluding the transaction.
Legal alternatives in case land ownership are restricted
A restriction on direct ownership of land does not necessarily block a contemplated real estate deal. The Romanian legal framework provides several ownership and investment structures that can be considered, depending on the property and the purpose of the acquisition.
Acquisition through a Romanian company
In principle, a Romanian company may acquire residential or business real estate in its own name, including land, even where its shareholders are non-EU foreign investors. The legal structure nevertheless has to be assessed against the specific asset and transaction as special rules, particularly those governing agricultural land, remain relevant.
Ownership of the building combined with a superficies right over the land
Under the Romanian law, the ownership of a building and ownership of the underlying land can belong to different persons. This is possible by exercising the right of superficies defined as a property right allowing a person to own or build a construction on land owned by someone else.
For a non-EU buyer who cannot acquire the land directly, a properly structured right of superficies may therefore offer a lawful solution allowing ownership or development of the building together with a legally protected right to use the land which is owned by another EU or Romanian person/legal entity.
Long-term lease or other contractual rights
Where ownership itself is unnecessary for the investment objective, lease or other contractual arrangements relating to the land may sometimes provide a simpler structure.
Acquisition of a Romanian property-owning company
For investment transactions, another option can be to acquire shares in a Romanian company that already owns the property rather than acquiring the real estate directly.
A share acquisition raises a different set of corporate, tax and due-diligence considerations and should therefore not be treated as equivalent to a direct property purchase.
Other important items to check
Once it has been established that the foreign citizen can legally acquire the relevant property, the normal risks of a Romanian real estate transaction remain.
The following should be checked as part of a real estate due dilligence:
- whether the seller actually has clear and transferable title;
- mortgages, seizures, easements or other encumbrances;
- cadastral and Land Book inconsistencies;
- urbanism certificate, planning and permitted-use issues;
- building permits and legal status of constructions;
- restitution or historical title risks;
- leases or other third-party rights;
- applicable pre-emption rights;
- tax and transaction-structure implications.
How can RT Legal Office assist a foreign real estate buyer
RT Legal Office can assist EU and non-EU individuals and investors throughout the acquisition process, from the initial ownership assessment and legal due diligence to transaction structuring, contract negotiation and completion.
The legal expertise includes, but is not limited to:
Preliminary legal eligibility assessment – determining whether the client may directly acquire the property based on nationality, residence status and the nature of the property.
Transaction structuring – identifying an appropriate structure where direct ownership is restricted, including individual ownership, corporate ownership, superficies or other arrangements.
Legal due diligence – reviewing title, Land Book records, cadastral documentation, encumbrances, urbanism certificate, permits, planning status and other potential risks before the client commits substantial funds.
Negotiation of the transaction – reviewing and negotiating reservation agreements, preliminary sale agreements, sale agreements and related documents.
Coordination with the public notary and other professionals – acting as the client’s Romanian representative and coordinating the steps necessary for completion.
Representation in Romania – where legally possible, assisting foreign clients who cannot be physically present for every stage of the transaction.
Post-acquisition assistance – assisting with ownership structures, leases, property management arrangements, development projects or subsequent use of the real estate asset.