Housing prices on the secondary market across Poland saw stabilization in September, with some cities experiencing slight declines, according to data from GetHome.pl. While prices remained stable in major cities such as Warsaw, Kraków, Wrocław, and Poznań, they fell in Łódź and cities within the Upper Silesian-Zagłębie Metropolis. Only the Tri-City region saw a notable price increase.

“Prices on the secondary market are behaving similarly to those on the primary market. We can say that the growth has stopped, though it’s too early to declare a trend of price decreases,” said Marek Wielgo, a GetHome.pl expert.

In Warsaw, the average price per square meter for second-hand apartments held steady at PLN 18,200, a trend that has persisted for the past five months on the primary market and four months on the secondary market. A similar price plateau was seen in Kraków, where prices have been stable since May at around PLN 17,500 per square meter.

In Wrocław and Poznań, prices also remained unchanged in September, with Wrocław at PLN 14,300 per square meter and Poznań exceeding PLN 12,000 per square meter. However, both cities had witnessed price increases in the previous month, indicating uncertainty in their respective markets.

Conversely, Łódź and the Upper Silesian-Zagłębie Metropolis saw price drops of 1% and 2%, respectively, with Łódź at PLN 8,600 per square meter and the Upper Silesian cities averaging PLN 8,400. These areas, where credit-driven buyers dominate the market, may continue to see price decreases due to limited access to affordable loans.

In contrast, the Tri-City experienced a second consecutive month of price increases, with the average price reaching PLN 15,800 per square meter. This marks the end of a three-month period without price hikes in the region.

Source: GetHome.pl and ISBnews

Murapol, one of Poland’s leading residential developers, reported total net sales of 2,234 apartments in the first three quarters of 2024. This figure includes development contracts, preliminary agreements, and paid reservations after accounting for cancellations. Sales were marginally higher than the 2,229 units sold during the same period last year, the company announced.

In the first nine months of 2024, Murapol handed over keys to 1,720 units, a decrease compared to 2,234 handovers during the same period in 2023. The company signed 2,084 development and preliminary agreements, a slight increase from 2,076 in the previous year, representing a 0.4% rise.

During the third quarter alone, Murapol signed 692 development and preliminary agreements, compared to 734 in the same period of 2023. Additionally, 150 units were covered by paid reservation agreements as of the end of September, down slightly from 153 in the same period last year.

Despite the slight dip in unit handovers, Murapol expects to accelerate key transfers in the fourth quarter, aiming to meet its annual targets.

Between January and September 2024, Murapol introduced 3,194 new units to the market across 11 cities, including major urban centers such as Krakow, Wrocław, Łódź, Poznań, Gdańsk, and the Silesian Agglomeration. Notably, the developer expanded into a new location, Lublin, contributing to a 22.1% year-on-year increase in its offering. As of the end of September, Murapol’s portfolio included 4,736 units available for sale in 16 cities.

Murapol’s project pipeline remains robust, with 8,684 units under construction across 114 buildings in 15 cities, including 7,321 units in the retail segment and 1,363 units in the private rental sector (PRS). The company also maintains a substantial land bank, supporting the future development of nearly 22,000 units with a total usable area of approximately 946,000 square meters across 19 cities.

President Nikodem Iskra expressed optimism about Murapol’s sales performance, despite challenging market conditions and high interest rates. “We have achieved good sales results in a tough market, with 793 net booking agreements in the third quarter, compared to 764 last year. This, coupled with an expanding offer, gives us confidence for the coming periods,” Iskra said. He added that the company aims to surpass last year’s sales and expects new PRS segment sales of over 900 units in the fourth quarter, moving towards a total of 4,000 units sold across all segments by the end of 2024.

Source: Murapol and ISBnews

Housing prices in Poland’s six largest cities remained largely stable in September, with changes ranging from a 1.7% decrease to a 1.1% increase month-on-month (m/m), according to a report by the Polish Economic Institute (PIE). The supply of apartments in these cities has been steadily declining since April 2024.

“Apartment prices in Poland’s six largest cities have held steady for another month. However, September saw a more pronounced price increase in smaller and medium-sized towns compared to previous months,” the PIE stated. The report also noted that the sharp year-on-year (y/y) rise in housing prices, driven by significant increases in late 2023 and early 2024, is unlikely to continue through the end of 2024.

In the largest cities, Gdańsk and Kraków saw slight price drops in September, with prices falling by 1.7% and 0.2%, respectively. Meanwhile, cities like Łódź, Warsaw, Wrocław, and Poznań experienced marginal increases, ranging from 0.2% to 1.1%. The average price per square meter (m²) in these cities stood at PLN 15,700.

In smaller towns, the trend was different. Cities with populations under 100,000 saw a 2.5% monthly increase in housing prices, while those with populations between 100,000 and 500,000 experienced a 1.7% rise. The average price per m² in these mid-sized cities was PLN 9,200, while in smaller towns it was PLN 8,000.

Since April, housing price fluctuations in the largest cities have been slow. In Warsaw, Kraków, Gdańsk, and Łódź, prices in September were at the same levels as in April, while Wrocław and Poznań saw a modest 2% increase over the same period.

“The most significant price increases occurred earlier in 2024, which is why the year-to-date rise in prices is most noticeable when viewed over the past nine months,” said Tomasz Mądry, a senior analyst at PIE’s sustainable development team. “In Wrocław and Poznań, prices have increased by over 5% since January 2024, while in Warsaw they rose by 4.6%. Meanwhile, Kraków, Gdańsk, and Łódź saw gains of around 2%.”

However, the growth rate of year-on-year price increases has slowed across all six major cities. In Warsaw, housing prices still recorded an annual increase of over 15%, but Kraków saw a decline in its y/y price growth, dropping from 16.7% to 11.9% in September. PIE predicts that by the end of 2024, only Warsaw and Gdańsk will see double-digit price increases.

Supply Decline Continues in Major Cities

The supply of available apartments in the six largest cities has been declining each month since April. By September, the average number of new listings per week had dropped by 26% compared to April’s peak. However, medium and small towns saw a rebound in supply for the first time since March 2024, with the total number of apartments available for sale in September rising by 11% year-on-year. The largest supply increases were in medium-sized towns, while larger cities saw an 8% rise.

The gap between housing supply in the largest and mid-sized towns has narrowed to 12%, the smallest margin in over a year, according to PIE.

The Polish Economic Institute is a public think tank with a long history, dating back to 1928. It focuses on research in areas such as macroeconomics, sustainable development, energy, and the global economy.

Source: PIE and ISBnews