Re: Poland
Hi deecide,
Absolutly i do like a good converse.
Firstly the selling agent was not the vendor. I will not deal with selling agents i will only deal direct with the builder. Selling agents in warsaw command i have heard 3-7% commision after i heard this i said thanks but no thanks. Over there you can deal direct without selling agents but obviously you will need to be a decent negotiator.
900 euro but you later mentioned 520 to 600 euro.
This is true the agent was incorrect and making up figures.
The price when i was originally there i estimated for rental was around 2K zlotys which works out as around 500-520 euros. Id now estimate the real rental as been 2400k zlotys per month €600.
Yes if you look at the sites listed at
http://www.oferty.net/ you will see the price increase.
I am unaware of any bank in the world who will provide an overestimate on the value of a property. This is a valuation by the bankers valuer. Its supposed to be bi-partisan and not too have any flagrant misguided truths.
To explain if you goto
www.oanda.com and check out the exchange rates you will see that prior to EU entry the Zloty traded at 4.7 against the euro.
Now it trades close to 4.0 on the euro this is in and around 20% immediate
gain.
Deecide i am unaware if you read how commercial property valuations are come too and the effect of monetary interest rate cuts on property prices. However if you do you will understand that a .5% cut on a 300K mortgage in fact means that the property is worth 350k. This is basic.
There have been cuts of 1.75% on that market in the last year with an increase of .5% 1 year ago.
I would suggest airing on the side of caution when it comes to what the agent is going to tell you this is true for every real estate agent internationally and not just confined to Poland.
I have heard that not everywhere in Poland - warsaw went up last year. Its a simple case of seeing what is good and what is not.
Irish prices did 12% last year however the 4-5 bed homes in stepaside alone did 25%. Money can be made anywhere its just a matter of how risk tolerant you are.
Deecide we are in the european market as part of this the accession countries must abide by VAT laws etc. VAT in europe state that people must have VAT on apartments (hidden in building and land prices). These changes have not come into effect in Poland and these accession countries and are a significant reason as to why there has been such appreciation.
If i had been 6 months earlier i could have bought the same APT for 40% less. There was a rush to avoid a new 7% tax implemented on all new builds. Prices are obviously going to go up in line with government policies. This has happened before and will happen again.
Take something as simple as a box of cigarrettes the polish government is instructed to produce levies of 7-8% a year on fags to align themselves with europe.
I would tell you the apartment and road its in and you can check but to be frank its none of your business and i keep my business to be my own business. Doing so would only lead to accusations that i have an interest in this. I do have an interest but its solely a personal one.
Remember Poland had depressed property prices for years prior to accession. Also remember prior to accession there was 21% unemployment and now it is 17.5%. There is also a larger population in the greater warsaw area and anyone who thinks this will not get bigger is insane.
Dig your own info and see who is building in warsaw.
If it was me thinking of going to eastern europe again i will be following
http://www.finfacts.com/irelandbusinessnews/publish/article_10002519.shtml and the FDI inflow chart based on per capita czech republic is the place to be in.
Im not responding to any more polish treads PM me instead. Im bored of having to feedback when people do not research there own info before posting