In this article, you will find the asking prices for apartments listed for sale in Poland and average transactional house prices in 2024, a comparison with last year’s prices, and the impact of government programs on housing prices.
Transaction prices of houses in Poland in 2024
House prices have increased at a double-digit rate over the past year in the areas surrounding major cities. This is closely related to the rise in house construction costs and the increase in the prices of building plots in Poland. In smaller towns, the growth rate of prices for several-year-old houses is significantly lower.
- Warszawa (Warsaw): 9 700 zloty per m2 (€2255 per square meter) / (£174,5 per sqft)
- Kraków (Cracow) 9 500 zł/m2 (€2209/sqm) / (£171 per sqft)
- Katowice 7 200 zł/m2 (€1675/sqm) / (£130 per sqft)
- Wrocław 9 400 zł/m2 (€2185/sqm) / (£169 per sqft)
- Łódź 6 600 zł/m2 (€1535/sqm) / (£119 per sqft)
- Gdańsk 9 150 zł/m2 (€2127/sqm) / (£164 per sqft)
- Poznań 8 600 zł/m2 (€2000/sqm) / (£155 per sqft)
Year to Year Changes of House prices in Poland, 2023-2024
In the first quarter of 2024, the year-over-year growth in transaction prices for single-family houses in Poland shows significant increases across various cities.
- Warsaw experienced a 9% increase in house prices compared to the previous year.
- Poznań saw an even higher rise, with prices increasing by 12% year-over-year.
- Łódź had the most substantial growth, with a remarkable 24% increase in prices over the past year.
- Kraków also experienced a significant rise, matching Łódź with a 24% year-over-year increase.
- Wrocław recorded a 15% increase in house prices compared to the same period last year.
- Gdańsk saw a 11% rise in house prices year-over-year.
These figures demonstrate the strong upward trend in house prices across Poland’s major cities, reflecting broader economic conditions impacting the real estate market.
Market observations indicate a slowdown in the rate of price increases; personally, I believe that a 10% increase is the upper limit for the coming year.
Offered apartment prices per square meter in June 2024 in major cities in Poland
After a turbulent last year, there are signs of price stabilization in Poland. One might even observe slight downward price adjustments. Below are the average asking prices in Poland in June 2024 for properties analyzed by my agency; asking prices are not transaction prices, which are generally lower.
The average size of the apartments included in the report was 81 m²:
- Warszawa (Warsaw): 17 620 zloty per m2 (€4097 per square meter) / (£317 per sqft)
- Kraków (Cracow) 15 170 zł/m2 (€3527/sqm) / (£273 per sqft)
- Katowice 9 710 zł/m2 (€2258/sqm) / (£175 per sqft)
- Opole 9 840 zł/m2 (€2288/sqm) / (£177 per sqft)
- Łódź 8 900 zł/m2 (€2069/sqmr) / (£160 per sqft)
- Zielona Góra 9 120 zł/m2 (€2120/sqm) / (£164 per sqft)
- Poznań 11 940 zł/m2 (€2776/sqm) / (£214 per sqft)
The average monthly property price per square meter in Poland in major cities in June 2023.
Here you can check the historical data on apartment prices for analyzed listings in June 2023. A noticeable annual growth of average prices is especialy observed in large cities.
- Warszawa (Warsaw): 13 340 zł/m2 (32% increase year-to-year)
- Krakow (Cracow) 12 100 zł/m2 (25% increase)
- Katowice 9 390 zł/m2 (3,5% increase)
- Opole 7 840 zł/m2 (25% increase)
- Łódź 7 400 zł/m2 (20% increase)
- Zielona Góra 7 740 zł/m2 (17% increase)
Factors Influencing Changes in Real Estate Prices in 2024
In 2023, various factors influenced changes in real estate prices. Economic conditions, such as inflation and interest rates, played a significant role. The introduction of “Bezpieczny Kredyt 2%” (Safe Credit 2%), a government-backed mortgage program in Poland, significantly impacted the market in Poland. This program offered low-interest loans, making homeownership more accessible and driving up demand for properties. Additionally, supply chain disruptions and rising construction costs affected the availability and price of new housing. Urbanization trends and shifting preferences towards remote work also influenced demand in certain areas, contributing to the dynamic landscape of real estate prices in 2023.
Cost of Buying a House on a Mortgage in Poland Being Too High
According to the latest data from the European Central Bank, Poland ranks first in the EU for the interest rate on newly issued mortgage loans. The average rate stands at 7.83%, significantly higher than in other member states. This elevated rate reflects the country’s unique economic conditions and monetary policy, affecting the affordability and attractiveness of home loans in Poland. As a result, potential homeowners in Poland face higher borrowing costs compared to their European counterparts, decreasing demand and slowing down house price growth.
European Subsidies for Housing in Poland
European Union subsidies for homes in Poland aim to enhance housing quality, energy efficiency, and affordability. Through programs such as the Cohesion Fund and the European Regional Development Fund, financial support is provided for the modernization of residential buildings. This includes improving thermal insulation, replacing windows and doors, and installing modern heating systems. These initiatives are designed to reduce energy consumption and CO2 emissions, contributing to environmental protection. The subsidies are available to private homeowners, housing cooperatives, and local governments, fostering widespread improvements in the housing sector. By making homes more energy-efficient, these grants also help reduce household energy bills, enhancing living standards and making housing more affordable. Additionally, the funding supports the development of sustainable communities by promoting the use of renewable energy sources and innovative building technologies. Overall, EU subsidies play a crucial role in driving sustainable development and improving the quality of life for residents in Poland.
Housing Program Proposed by a New Government. Year-on-year housing costs increse might be a result of introducing this and similar projects.
The new government announces the “Safe Credit 0%” program, similar to the “Safe Credit 2%” initiative. However, there are numerous voices slowing down the project’s progress. The chances of implementing the program in 2025 are considered low. This delay reflects skepticism and logistical challenges in ensuring the program’s success. There is a real concern about further price increases, which may be similar to those observed on the Poland’s housing market caused by “Safe Credit 2%” program.
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