New trends on the housing market – what do Poles expect?

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This result puts us in the last place, tied with Romania and Croatia. What do these numbers show in practice? Almost 38 percent Poles lives in overcrowded apartments. The housing situation of Polish society is a problem that has been struggling with successive governments for years. Even though the number of housing units is increasing, the demand still exceeds the supply.

According to the Central Statistical Office, the number apartments, whose construction began in May 2021, increased by 92%. compared to the same period last year. The answer to the growing demand is not always visible in production, but in the permits and construction sites started Definitely yes. Only in the first half of 2021, permits were issued or construction notifications were submitted to 171.5 thousand. flats, which means an increase by 40.2 percent. compared to the same period in 2020

The demand for real estate from the primary market is not even adversely affected construction material priceswhich are breaking records today. In May 2021, compared to May 2020, they increased by an average of 6.5 percent. A comparison of prices from October 2021 to the same month a year earlier, is an increase by an average of 20.5 percent. Meanwhile, paradoxically, some people are now investing in real estate not despite high prices, but for fear that they will rise soon. The more so as the 8-year construction boom seems to confirm these concerns. There is another reason why the purchase of real estate is enjoying continued success. Research shows that at least two-thirds of Poles consider it to be the optimal form investing savings. No wonder that more and more people want to invest their capital in similar projects.

Which properties in the field of single-family houses are the most popular? According to statistics, these are houses ranging in size from 100 to 140 square meters. – Of this type development investments are usually built in new locations today. This is, on the one hand, an effect of the lack of building land in city centers, but also a reflection of Poles’ expectations. Not everyone wants to live in the city today, says Paweł Kuczera, founder and president of Horyzont Inwestycje. According to the research conducted in 2019-2020 among all 66 cities with poviat rights, the exodus to rural outskirts has become the norm. Only Warsaw, Kraków, Rzeszów, Świnoujście and Żory recorded an increase in the number of inhabitants at that time. Given these migrations, the structure of home demand, and what the market offers, it’s easy to see that supply new homes it is insufficient for the increasing demand. As a result, there is a growing activity of the construction industry in the segment of single-family houses and an increase in transactions in this market, which will surely continue despite the continuous increase in prices.

60 percent Poles declare their will to live in a house with a garden. These dreams seem to be getting harder and harder to come true. And it’s not just about financial matters. Two years ago, as much as 11 percent. investors indicated less accessible land as a factor that may have a negative impact on the number of planned investments. The last year has verified these fears and one must admit – the low supply of land, combined with their rising prices, mean that development investments more and more often they are created in new locations. Is it becoming more and more complicated to obtain attractive plots for new housing investments and developers are building less? On the contrary. – Although in the first half of 2020, there was a lot of uncertainty on the housing market, and most developers experienced significant sales drops, the second half of the year definitely reversed this trend. What’s more, it is the pandemic situation that made Poles more and more often dreaming of their own home with a piece of garden – explains Paweł Kuczera. – The best confirmation is the interest in purchasing real estate already at the stage of the proverbial “hole in the ground”, which we experience personally on the occasion of ongoing development investments. – he adds.

The systematically growing number also proves the willingness of Poles to make their housing dreams come true loan applications on real estate purchased in poviats surrounding metropolises. According to analyzes carried out by one of the largest banks in Poland, in 2016 they accounted for 20 percent. all applications for the purchase of single-family homes. In 2019, as much as 24 percent, and in the second-fourth quarter of 2020 – as much as 26 percent. The development investments that are emerging today are therefore a response to the current needs of customers.

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About Eric Wilson

The variety offered by video games never ceases to amaze him. He loves OutRun's drifting as well as the contemplative walks of Dear Esther. Immersing himself in other worlds is an incomparable feeling for him: he understood it by playing for the first time in Shenmue.

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