Ida Ismail
The number of unlicensed agencies has increased significantly in recent years, creating unfair competition for legal agencies. These agencies operate without employment contracts, without licenses and often without legal responsibility. According to real estate expert Ervin Demirxhiu, unlicensed agencies operate under the law of the jungle, do not respect any legal rules and aim to “extort” money from buyers and owners.
"These agencies operate with low commissions to compete with those that pay taxes. They charge 1-2% for Services compared to 3% for legal agencies. They use unqualified agents, often building administrators who act as informal realtors, trying to get money from both parties, sellers and buyers," said Demirxhiu.
Ana, an agent at a real estate agency in Tirana, says she works without a contract.
"We receive a very low base salary. When we ask for the promised percentage for commissions when we have completed transactions, they throw us out on the street. The transactions are carried out by the agency in secret, declaring part of the money in the bank and the rest in cash," Ana underlines.
Legal agencies in crisis, an image that is being damaged
Due to the fraud of unlicensed agencies, even professional agencies are losing credibility. “People are starting to say it's better to sell it themselves than to get involved with an agency,” says real estate expert Ervin Demirxhiu.
One of them is Denis, who shares his experience of buying an apartment in Tirana. The 38-year-old was interested in several real estate agencies to buy an apartment, but noticed that there were different prices for the same property. This is because the agencies did not have an exclusive contract with the owner and set the price according to their interests. Denis said: "Some of the agencies did not have concrete offices, nor a lawyer who would follow the procedures since I would get it with a loan. I decided to buy the apartment without the mediation of the agencies."
Cases of apartment sales fraud
Two cases of apartment sales fraud were cracked by Tirana Police in July 2025. A 31-year-old man took 75 euros from a citizen for a non-existent property, while another sold his apartment twice. The notary who drew up 000 sales contracts for the same property also ended up in jail.
Instead of regulating the market, the state has created further uncertainty. The delayed revaluation of properties, an initiative that was announced but not approved, resulted in the blocking of around 4500 transactions in 2024 alone.
Expert Demirxhiu said that this process destroyed real estate agencies, as owners stopped sales in the hope of revaluing and paying less.
The tax on empty properties is another pressure on owners who keep empty apartments for investment.
Another problem is the credit restriction that was imposed in July 2025. The Bank of Albania will finance only 80% of the apartment price, a measure that significantly limits purchasing power.
Prices, in the face of informality
While real demand has not kept pace with construction, apartment prices have increased 30-70% more than the reference price published by the state itself. According to economic expert Joana Shima, these prices are unjustified in relation to the cost of living. The main causes, according to the expert, are foreign buyers, economic informality and the lack of transparency in the market.
The Builders' Association claims that the price increase was mainly influenced by the increase in builders' obligations for the infrastructure impact tax, following the increase in reference prices. Despite the high prices, many new apartments have poor construction quality, insufficient insulation, noise, and lack of maintenance.
Market decline
The number of real estate sales transactions fell last year, according to data from the State Cadastre Agency (ASHK). The 20% decline in apartment sales continued in the first half of 6, when there were 2025% fewer sales contracts than in 12.5.
The Albanian Real Estate Association (NAREA) estimates that a large part of transactions in Tirana are carried out through commission contracts.
The Ministry of Finance has published new reference prices, where citizens and businesses will have the opportunity to revalue their properties, bringing them closer to real market prices.
The revaluation is expected to start from January 1 to September 30, 2026. This is the date proposed by the Ministry of Finance and put out for public consultation. The revaluation this time will be with a tax of 5%, up from 3% in the last campaign carried out in 2022. The initiative aims to increase transparency in the real estate market and bring more revenue to the state budget, without increasing existing tax rates.
The real estate market in Albania today is distorted. In the absence of state intervention to guarantee transparency, control, and equal rules, citizens are the most vulnerable.
