The Albanian property market showed signs of stabilisation in the first half of 2026. The number of unsold properties continued to fall. Nonresident buyers also played a growing role, while housing price growth slowed significantly.

According to a Bank of Albania survey, the Fisher House Price Index remained unchanged from the second half of 2025. However, it rose 10% year on year. Annual growth reached 28% in the second half of 2025 and 41.7% in the first half of that year. In Tirana, prices rose 10% from the previous half-year and 9% year on year.

Demand remained active as the number of unsold residential and commercial properties continued to decline. However, the average time needed to sell a property increased nationally from 9.1 to 9.9 months. In Tirana, it rose from 8.1 to 9.7 months. Coastal areas recorded the opposite trend, with the average sales period falling from 9.9 to 8.2 months. In other areas, it increased from 10.1 to 10.6 months. Bank loans remained an important source of financing. Agents reported that buyers used bank loans for about 58% of residential and commercial properties they sold.

Meanwhile, nonresident buyers purchased about 20% of homes sold in the first half of 2026. EU citizens accounted for about 85% of these buyers. The Bank of Albania said transactions involving nonresident buyers have increased over the past five years. Most transactions continued to take place at the initial asking price or with discounts of up to 5%. Larger discounts remained rare. Market agents also gave a positive assessment of the market outlook for the short term and the next two years. The survey covers 230 real estate agencies and construction companies whose sales represent about 75-80% of the total turnover of businesses in the sector.

/a.p./