In September 2023, the average price per square meter of new apartments in Krakow crossed the threshold of 15,000 PLN, and in Warsaw, which did not ease up in the race for the title of price leader among the largest metropolises – exceeded 16,000 PLN! Whereas in Lodz, September brought price stabilization, and in the Tricity, even a minimal decrease. These are the preliminary data from BIG DATA RynekPierwotny.pl.
“The primary market price madness continues. Not only are developers raising apartment prices, but the cheapest ones quickly disappear from their offer. Those that remain become even more expensive,” says Marek Wielgo, an expert at RynekPierwotny.pl and GetHome.pl.
For the average price per square meter to stop rising, developers would have to significantly increase the supply of apartments in the popular segment, designed with credit customers in mind. It seems that in most of the largest Polish cities, September did not bring a reversal of the price trend. Preliminary data from BIG DATA RynekPierwotny.pl indicates that the average price per square meter of apartments in the offer of development companies in Krakow and Warsaw increased by another 2%.
“Two months ago, we reported that this average had broken the threshold of 14,000 PLN per sqm in Krakow. In September, another threshold has been crossed – 15,000 PLN. However, Warsaw still does not let itself be pushed from the leader’s position. Last month, the average price per square meter exceeded the threshold of 16,000 PLN here,” comments the expert of RynekPierwotny.pl and Gethome.pl.
The supply problem has most likely deepened even further. According to preliminary data from BIG DATA RynekPierwotny.pl, at the end of September in Krakow, developer companies offered 49% fewer apartments than nine months earlier! While in Warsaw, the offer of premises decreased by 40% during this period.
Tricity still holds third place in the price podium. However, after sharp increases in the average price per square meter in July and August, September brought a 2% decrease here. It should be added that the apartment offer in the Tricity has shrunk by 25% over the year, but it increased in September compared to August.
Lodz once again showed that it is an oasis of stability among the largest metropolises this year. This applies to both the size of the offer and the average price of apartments.
However, the cities of the Upper Silesian and Dabrowa Region are no longer such an oasis. Here, the average price per square meter of apartments has jumped by a staggering 7% month-on-month! As a result, it was 12% higher than in December of the previous year.
Looking from the buyer’s perspective, the perspective of rising prices in the developer’s offer is best illustrated by their structure. For example, in Krakow, where the average price per square meter rose the most this year, the offer of flats with a price below 10,000 PLN has shrunk from 21% to 5%, while the percentage of flats with a price above 15,000 PLN per meter has increased from 18% to 46%.
Marek Wielgo, an expert at portals RynekPierwotny.pl and GetHome.pl, is the author of this analysis.
