Warsaw Prices - What's the latest?

[ringledman]

Anyone on the ground in Warsaw with an indication of the latest on the property market?

Have things stabilised? Any sign of growth?

Any input on things in Wola would be appreciated.

Cheers.

 

[buyingabroad]

Would be really interested in finding out as well.

 

[The Viking]

Small piece today about new Wola development from the Warsaw Business Journal. Avg price per sq m is 7.5000 zloty.

New Residential Estate in WolaJanuary 6, 2010
Bouygues Immobilier Polska is building a new residential estate called Villa Arte in Warsaw's Wola district. When completed, the estate at 49 Jana Kazimierza St. will have more than 700 apartments in three complexes. Two buildings will be constructed in the first stage of the project. Initially, the developer will offer 93 apartments and two service outlets for sale in one of the buildings.

The apartments range from 24 sq m to 88 sq m in size. Apartments on the ground floor will have small gardens adjoining a park that will be created on the estate. The cheapest apartments will cost zl.200,000. The average price per square meter is zl.7,500. The price of a parking space in an underground garage is zl.29,900.

Bouygues Immobilier Polska plans to begin the construction of the first stage of the project in spring and complete it at the end of next year so as to be able to hand over apartments to customers in the first quarter of 2012.

 

[Gorbashow]

Things stabilised. The prices are still high in comparison to average income, but they won't drop because of three things:

1) Poland didn't go into recession. We had growth, there was a slow down, but now we started growing again (last 3 months 3,1% GNP growth). Banks already started to lower the margin on mortgages.
2) Polish government decided to subside first buyers (for first 8 years, government pays 50% of interest to the bank)
3) Poland is a big country and there is a still not enough properties to fill the market. Developers stopped working on many projects in 2009, so oversupply that was in 2007-2009 will be gone by next year.

I'd say prices will be stable for the next 2 years, then maybe they will start to grow again but not as rapidly as we saw in years 2004-2007