Mortgages in Romania: preparation and options

Prepare to buy a home with a mortgage: deposit, income, documents, property checks, costs and an intermediary's role. Finovo is not the lender and does not decide approval.

Role: credit intermediary. Finovo is not a lender.

What to prepare before buying

A mortgage ties together your budget, the property and the lender’s assessment. Prepare them one by one.

  • Set your housing budget, including your own funds for the deposit and transaction costs.
  • Gather evidence of eligible income, existing obligations and marital status for every applicant.
  • Check the property's documents and cadastral and legal status before paying a deposit that may be difficult to recover.
  • Compare pre-contractual documents, APR, fixed or variable interest, total cost, insurance and adverse scenarios.
  • Keep a reserve for interest changes, moving and repairs; a mathematically affordable instalment is not automatically comfortable.

The deposit and your own contribution

A mortgage usually requires your own contribution. As a regulatory reference, BNR Regulation 17/2012 limits lei-denominated property-investment lending to at most 85% of the mortgage collateral value, which may imply a deposit of at least 15% in that scenario.

The regulatory framework

BNR rules vary by loan currency and collateral, with different treatment for some circumstances, including state-guaranteed loans.

Why the percentage is not a promise

15% is not a promise for every product or person. The lender may require more, the valuation may be below the purchase price, and the property, currency, income and guarantees affect the financeable amount. Confirm the deposit and its source in the lender's offer.

Income, debt ratio and estimates

What the lender weighs

  • Eligible net income, stability and history, including joint income for co-borrowers.
  • Instalments, credit-card limits, leases and other monthly obligations.
  • Total debt-to-income ratio based on monthly obligations and recognised net income.
  • Income currency compared with loan currency and exchange-rate risk where relevant.
  • Household expenses, dependants and a reserve for income or interest shocks.
  • Collateral value and condition, and the amount the lender considers financeable.

Indicative estimate versus the lender’s assessment

A calculator uses entered assumptions about income, obligations, deposit, interest and term to produce an indicative amount or instalment. Underwriting is the lender's documented assessment of current information, databases, income, debts and property valuation. Only the lender decides whether to lend and on what terms.

The limits of an estimate

The estimate is not an offer, pre-approval or a lender's assessment result. Do not assume a displayed amount remains valid after document and property checks.

What stays with the lender

The financial institution applies its own risk rules and may request more documents, explanations or collateral. Finovo cannot replace or change the lender's assessment.

The regulatory framework for indebtedness

BNR Regulation 17/2012 provides a framework for total debt-to-income ratios. Its consolidated version sets, under certain conditions, a 40% limit and up to 45% for a first residential property-investment loan. These percentages are not approval; check the rules applying to your situation.

Documents for the file

Applicant documents

  • Identity documents and, where applicable, marriage, divorce or matrimonial-property documents for every applicant and co-borrower.
  • Income evidence and consent for verification; the lender may request certificates, statements, tax documents or other proof depending on the income source.
  • Existing loans and obligations, including card, leasing or refinancing documents.
  • The preliminary or final sale agreement and seller details, including amount, currency, terms and evidence of the deposit where applicable.
  • Property title, land-register extract, cadastral documents and, where relevant, building permit and completion acceptance.
  • Valuation report, insurance policies and documents for creating or registering the mortgage when required.

Property documents

  • Cadastral identity and current land-register status must match the property and transaction.
  • The lender may require a valuation under accepted standards and calculate funding from the appraised value, not just the agreed price.
  • Clarify title, permits, completion acceptance, registration and any encumbrances or disputes before completion.

This list is indicative, not a universal eligibility checklist. Property type, income, joint ownership, new or existing construction and the lender can change the required documents.

What is checked on the property

The property is assessed alongside you. The checks below can change the financeable amount.

  • Check title, owners, encumbrances and cadastral and legal status through documents and the land-register extract.
  • Obtain a valuation from a lender-accepted valuer and compare appraised value with transaction price.
  • Check land registration, building permit, completion acceptance and alterations where relevant.
  • Identify joint owners, access rights and disputes or restrictions that may affect the mortgage.
  • Confirm the home can be insured under the product's conditions and the mortgage can be registered.

Costs and insurance

Costs to budget for

  • Property valuation costs unless covered or reimbursed by the lender under the offer.
  • Notary fees for transaction and mortgage documents, plus applicable land-register and cadastral charges.
  • Assessment, administration, account, transfer or other service charges only where listed in the lender's documents.
  • Insurance premiums and possible policy or ancillary-service costs linked to the offer.
  • Translation, power of attorney, extra documents or independent advice where needed.

Insurance and ancillary products

  • The PAD policy is regulated by Law 260/2008 for homes within its scope; check legal exceptions and limits.
  • The lender may require additional property insurance and assignment of rights, or link pricing to ancillary services. Exact requirements must appear in the European Standardised Information Sheet (FEIS) and offer.
  • Do not assume life insurance or another ancillary product is required. Compare cost, covered risks, duration and the effect on interest before signing.

How long it can take, step by step

The steps of a mortgage

  1. Clarify budget, deposit and income.
  2. Collect documents and initially check the property.
  3. Property valuation and lender creditworthiness assessment.
  4. Receive and compare the FEIS, offer and contract.
  5. Notarial signing, mortgage registration and the lender's drawdown or payment conditions.

What influences the duration

There is no universal mortgage deadline. Timing depends on a complete application, institutional responses, valuation, property documents, the notary and clarifications. Finovo guarantees neither approval nor assessment time.

The intermediary’s information deadline

Emergency Ordinance 52/2016 requires intermediaries to provide certain pre-contractual information in good time and at least 5 calendar days before intermediation activities. This disclosure period is not an approval or loan-payment deadline.

What can block the file

The situations below come up often and can delay or stop the financing.

  • Insufficient deposit or a gap between purchase price and recognised valuation.
  • Unstable or insufficiently documented income, or income not accepted in the form and period required.
  • Existing obligations, revolving limits or total debt-to-income above the level accepted for the profile and product.
  • Incomplete credit data, late payments or inconsistencies needing clarification.
  • Unclear title, cadastral records, registration, permits or encumbrances incompatible with a mortgage.
  • Missing documents or mismatched identities and income between co-borrowers and transaction documents.
  • A property that cannot be insured or fails the lender's technical and legal requirements.
  • Changes in income, interest, price or property status during assessment.

Finovo’s role and who decides

Finovo can help prepare an application and explain options available through its brokerage flow. Finovo is not the lender, does not grant the loan and does not set final terms.

Who takes the final decision

The financial institution assessing the application makes the final decision under its own creditworthiness, risk, product and collateral criteria.

What Finovo cannot do

  • Finovo does not guarantee approval, interest, amount, assessment time or an available offer.
  • Finovo cannot change the financial institution's criteria, assessment or decision.
  • Finovo brokerage is free for the client. How financial institutions remunerate Finovo remains unconfirmed; request an explanation of remuneration and conflicts of interest in writing.

How you can move forward

Brokerage, applying directly and an independent opinion answer different needs.

  • Finovo brokerage and support

    What it can bring you

    May reduce the effort of preparing information, understanding steps and comparing options available through the flow.

    What its limits are

    Lender coverage is not published as a verified list. Finovo is not the lender and does not decide approval, amount, interest or timing.

    When it is useful

    You want help organising the application and comparing options, while checking coverage, costs and the lender's decision separately.

  • Apply directly to your chosen bank or lender

    What it can bring you

    Communicate directly with the institution and receive its pre-contractual information, FEIS and requirements.

    What its limits are

    You must find and compare other institutions, documents and conditions yourself. The offer remains subject to the lender's assessment and rules.

    When it is useful

    You already know the institution or product you want, or prefer to manage all discussions and documents directly.

  • Seek an independent opinion

    What it can bring you

    A financial or legal adviser not paid by Finovo or the lender being assessed can review costs, contracts and risks from your perspective.

    What its limits are

    Independent advice is not an offer and cannot require a lender to approve. Check qualifications, cost and absence of conflicts of interest.

    When it is useful

    You have joint ownership, complex guarantees, unusual income, hard-to-compare contracts or significant legal consequences.

Read further before you decide

The pages below stay public, with no account, and explain the steps, the role and eligible income.

Frequently asked questions

The answers stay readable without JavaScript, together with the sources behind them.

  • How much deposit do I need for a mortgage?

    You need your own contribution, but the percentage is not universal. As a reference, BNR Regulation 17/2012 limits lei lending under certain conditions to 85% of collateral value, which may imply a 15% deposit. The lender, currency, collateral and valuation may require more.

  • What income and budget does the lender assess?

    The lender assesses eligible income and stability, existing obligations, total debt-to-income, expenses and relevant risks. BNR provides a framework, but each institution applies its own rules and may request more documents.

  • Which documents are usually required?

    Prepare identity and marital-status documents, evidence of income and obligations, the sale agreement, property title and cadastral documents. The exact list varies by income, property, co-borrowers and lender.

  • What does the bank check about the home?

    Usually the property's documents, cadastral and legal status, encumbrances, registration and a valuation under accepted standards. A valuation below the price may increase your contribution or stop the transaction.

  • What costs and insurance should I budget for?

    Beyond the deposit, allow for valuation, notary, land-register and cadastral charges, fees in the lender's offer and insurance premiums. PAD is regulated for homes under Law 260/2008; check additional property or life insurance in the FEIS and offer.

  • How long does a mortgage take?

    There is no universal deadline. Timing depends on documents, valuation and property status, lender assessment, the notary and requested clarifications. Neither a broker nor calculator can guarantee approval or payment date.

  • Is a simulation an approval?

    No. The calculator estimates from entered assumptions. The lender decides approval, amount, interest and term after assessing documents, creditworthiness and property. Finovo cannot guarantee the result.

  • Why use a broker instead of applying directly?

    A broker can help organise an application and compare available options, but Finovo's coverage is not published as a verified list and the broker does not decide. Applying directly provides a relationship with your chosen lender; independent advice can separately review costs and risks.

  • Can Finovo guarantee mortgage approval?

    No. Neither a simulation nor Finovo can guarantee approval, interest, amount, assessment time or an available offer. The financial institution receiving the application assesses it and makes the final decision.

The next step

Preparing an application takes only a few minutes.

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