Square meters of residential real estate in Warsaw will start to bring profit only after a decade
"These are calculations taking into account the increase in the price of the property itself, as well as the rent for its rental. The plus of this type of investment is precisely that you can earn on it in two ways," notes Bartosz Turek, an analyst at Open Finance. On the one hand, by renting out housing, you can get more than 5% net profit from the purchase price of the property itself. On the other hand, you can earn on real estate by reselling it.
As Polskie Radio notes, recently there has been a rise in prices on the Polish real estate market. According to the National Bank of Poland, at the end of the second quarter of this year, real estate prices in the largest cities of the country increased by more than 8%. Thus, a square meter of housing in Warsaw will cost the buyer 7,300 zlotys (about 1,800 euros), in Poznan – 5,800 zlotys (1,400 euros).
However, experts warn against buying several properties at once on credit. Such an investment, in their opinion, can be very risky. The Monetary Policy Council of Poland has steadily kept loan interest rates at the same level. Although economic development, the influx of tourists and labor migrants from Ukraine increase the demand for rental housing, this state of affairs will not last forever.
The advantage of owning real estate is the protection of capital from inflation and turbulent situations in financial markets, but obtaining a stable income from real estate occurs only after several, and sometimes several dozen years. For example, a purchased square meter of housing in Warsaw will start to bring profit only after 12 years. The average rental rate for it will be about 51 zlotys per month.
The greatest demand on the Polish market is for apartments in large cities intended for long-term rental by students or citizens of Poland or Ukraine coming to cities in search of higher-paying jobs. Also in demand is the purchase of housing for short-term rental in the city or apartments in a resort area.
As the publication Dziennik Gazeta Prawna notes, such investments in real estate will be oriented primarily towards tourists, which means that the important factor of the proximity of housing to the city's tourist attractions must be taken into account.