Can a Ukrainian buy property in Poland?

If you are going to live in Poland for a short period, then renting an apartment will be an ideal solution. But if you are planning a longer stay or staying in the country forever, buying a property is the right choice. And you won't be the only one who thinks the same! The interest of foreigners in real estate in Poland is growing. In 2016, foreign citizens purchased 4,648 apartments and 1,747 commercial premises. It was the Ukrainians who bought the most housing, ahead of the Germans and the British.

Ukrainians are not the first year of the lead in the list of buyers of Polish real estate. In 2015, only Germans (27%) were interested in local property more than Ukrainians (17%), and British citizens were slightly less interested from 13%. They are followed by the French, Italians, Cypriots and Russians.

How to buy an apartment in Poland?

Polish law distinguishes between two types of housing: an apartment and a house. Foreign citizens can freely buy an apartment in Poland, I.e. separate living space in an apartment building. It does not require any legal status or permission. Permission is also not needed for foreigners who want to buy property in Poland and do not live in its territory.

The purchase of a house requires permission from the Ministry of the Interior (MIA). It is also required for the purchase of real estate in the border area and land plots in an area of ​​over 1 hectare. The permission of the Ministry of Internal Affairs will be issued only if the foreigner proves the existence of a connection with the RP - temporary or permanent residence in Poland, and if the purchase does not pose a threat to the national security of the state.

Foreigners, legal entities and individuals can freely rent housing or land. Leases for more than a year must be in writing.

What gives buying property in Poland?

Note! Possession of Polish real estate is not enough to legalize the stay of a non-resident in Poland. This means that the purchase of real estate in Poland does not provide grounds for obtaining a residence permit and citizenship.

However, living space gives minor advantages in obtaining a residence permit, permanent residence and citizenship. Namely, you do not need to confirm the availability of a booked place of residence when getting a visa at the consulate and you can register at the address of your own apartment when getting a long-term Polish visa.

There are many cases when, after the purchase of real estate, getting citizenship was sped up. This is especially important for parents who send their children to Poland for higher education. Here, your own apartment is a great option with a perspective. In addition, the property can become an investment capital, because the value of Polish real estate is growing.

How much does an apartment in Poland cost?

The cost of an apartment depends on the city, district and technical characteristics (area, layout, year of construction, availability of repairs). Most often, the smaller the area, the more expensive the square meter of the object.

Warsaw remains at the top of the most desirable cities for residential real estate acquisition. More than a quarter of all foreign-owned apartments are in the capital. The most expensive apartments are here - the price per square meter of apartments in the center of Warsaw is on average €2480.00, in a residential area - €1600. Next comes Krakow - about €2170.00 and €1400.00 respectively.

In 2017, the third place is occupied by Poznan with the cost of a square meter in the city center €1690.00, and in the residential area €1310.00. On the fourth is Wroclaw, where a square meter costs about €1700.00 in the city center and €1260.00 on the outskirts.

The cheapest accommodation is in Zielona Góra, where the average price is only €785.00.

With record low interest rates, limited offers and a new housing subsidy program, demand for housing in Poland continues to grow strongly. The increase in house prices is minimal.

According to the National Bank of Poland (NBP), the average price of apartments in seven major Polish cities (Warsaw, Gdansk, Gdynia, Krakow, Lodz, Poznan and Wroclaw) increased by 0.3% (adjusted for inflation by 1.3%) during 2016 of the year:

• In the capital, the average price increased slightly by 0.6% (1.6% of inflation) first quarter of 2016, followed by Gdansk with an increase of 3.5
• In other Polish cities, the increase in housing prices is minimal - Lublin 2%, Poznan 1.5%, Bialystok 1.5%, Szczecin 1.4%, Gdynia 1.3%, Opole 1.1%, Wroclaw 0.6%, Lodz 0.4% and Olsztyn 0.1%
• During 2016, Krakow saw the largest price decline of -1.9%, followed by Zielona Góra (-0.9%), Rzeszow (-0.8%), Kielce (-0.7%) and Katowice (- 0.2%)

Given the low level of interest rates on bank deposits since 1990, low inflation, as well as stable rates and high demand for rental apartments, the attractiveness of investment in real estate in Poland is still very high!

New building vs resale?

Purchasing an apartment during the construction phase provides certain advantages: you can choose a convenient layout, any floor, and a lower price. Some buyers who rent housing for a long time before buying their own do not want to wait for the commissioning of the complex and incur double costs, then they choose ready-made new buildings or secondary market housing.

With the same characteristics, new buildings cost a little less than the objects in the secondary market.

It must be understood that a new apartment from the developer is rented “in a state of development” and you will have to spend €7.000 - 10.000  on finishing work. According to the norms, the following will be implemented in the apartment by the developer:

• floor screed
• preparing walls for painting
• electrical wiring
• sanitary communications and heating are summed up
• all counters installed
• front doors installed

Recently, 5- and 6-storey houses with a closed and equipped territory (playgrounds, parking, landscaping, recreation areas) have been built in Poland.