Authored by the expert who managed and guided the team behind the Poland Property Pack
Everything you need to know before buying real estate is included in our Poland Property Pack
Deciding whether to buy or rent property in Poland depends on several key factors including your timeline, budget, and location preferences.
As of September 2025, Warsaw leads the market with average monthly rents of PLN 4,900 (USD 1,268) and purchase prices of PLN 16,400 per square meter, while mortgage rates for foreigners range from 7-8% with down payments of 20-30%.
If you want to go deeper, you can check our pack of documents related to the real estate market in Poland, based on reliable facts and data, not opinions or rumors.
Renting offers more flexibility for stays under five years, while buying becomes cost-effective for longer-term residents due to Poland's solid rental yields of 6-6.5% and stable property market growth.
Foreign buyers face minimal restrictions for apartments but should budget an additional 5-30% above purchase price for transaction costs including notary fees, taxes, and legal expenses.
| Factor | Renting | Buying |
|---|---|---|
| Best for stays | Under 5 years | 5+ years |
| Initial costs | 2-3 months deposit | 20-30% down payment + 5-30% transaction costs |
| Monthly costs (Warsaw) | PLN 4,900 average | PLN 6,000-8,000 (mortgage + taxes) |
| Flexibility | High - easy to relocate | Low - selling takes months |
| Investment potential | None | 6-6.5% rental yield potential |
| Foreign restrictions | None | Apartments: minimal; Houses: permit needed |
| Tax implications | None | PLN 1.19/m² annual + capital gains if sold <5 years |
What is the average cost of renting a home in Poland?
Rental costs in Poland vary significantly between major cities, with Warsaw commanding the highest prices in the country.
As of September 2025, Warsaw leads with average monthly rents of PLN 4,900 (USD 1,268) for a typical apartment. Kraków follows at PLN 3,300 monthly, while Wrocław averages PLN 3,100 and Poznań offers the most affordable option at PLN 2,600 per month.
These rental prices reflect the strong demand in Poland's major economic centers, where international companies and universities drive consistent tenant demand. Warsaw's premium pricing stems from its status as the financial capital, hosting numerous multinational corporations and offering the highest salaries in the country.
Rental costs typically include basic maintenance but exclude utilities, which can add PLN 300-600 monthly depending on the property size and season. Most landlords require a 2-3 month security deposit upfront.
It's something we develop in our Poland property pack.
How much does the average property purchase cost in Poland?
Property purchase prices in Polish cities have shown steady growth, with significant variations between locations and property types.
Warsaw leads the market with average prices of PLN 16,400 per square meter (USD 4,250), making a typical 60m² apartment cost approximately PLN 984,000 (USD 255,000). Kraków ranges from PLN 15,100-20,100 per square meter, while Wrocław offers PLN 12,700-15,000 per square meter, and Poznań provides the most affordable option at PLN 10,800-12,300 per square meter.
These prices reflect a 14.4% annualized growth rate over the past year, though the market is now stabilizing with premium districts showing signs of plateauing. New developments typically command 10-20% higher prices than existing properties.
Buyers should budget an additional 5-30% above the purchase price for transaction costs, including 2% PCC tax on secondary market purchases, 8% VAT on new apartments under 150m², notary fees up to PLN 10,000, and legal fees ranging from PLN 5,000-15,000.
What are the typical mortgage interest rates for foreigners in Poland?
Mortgage rates for foreign buyers in Poland are currently higher than for Polish residents, reflecting additional risk assessments by lenders.
As of September 2025, foreigners typically face interest rates of 7-8% for 5-year fixed mortgages, compared to 6.0-7.5% for Polish citizens. Most banks require a 20-30% down payment from foreign buyers, with some institutions demanding up to 40% for non-EU citizens.
Banks also impose stricter documentation requirements for foreigners, including proof of stable income, employment verification, and sometimes require evidence of Polish income sources. The approval process typically takes 6-8 weeks longer for foreign applicants compared to domestic buyers.
Mortgage origination fees add approximately 0.01% to the total loan amount, while currency exchange costs can impact buyers financing purchases in foreign currencies. Some banks offer preferential rates to EU citizens or those with permanent residency status.
Non-EU buyers often face additional restrictions, with some lenders requiring a minimum loan amount of PLN 500,000 or limiting financing to properties in major cities only.
What are the property tax rates in Poland?
Poland maintains relatively low property tax rates compared to other European Union countries, making ownership costs manageable for most buyers.
The standard annual property tax rate is PLN 1.19 per square meter for residential properties, though each municipality sets its own rates within legal limits. This means a 60m² apartment incurs approximately PLN 71 annually in property taxes.
When compared to rental costs, property taxes represent less than 1.5% of annual rent in most cases. For example, the annual property tax on a Warsaw apartment costing PLN 984,000 would be around PLN 71, while annual rent for the same property would be PLN 58,800.
Additional ownership costs include monthly maintenance fees ranging from PLN 500-1,000, utilities averaging PLN 300-600 monthly, and building insurance. Property owners also face rental income tax at 8.5-12.5% for income up to PLN 120,000 annually, then 32% for higher amounts.
| Cost Type | Annual Amount (60m² apartment) | Percentage of Property Value |
|---|---|---|
| Property Tax | PLN 71 | 0.007% |
| Maintenance Fees | PLN 6,000-12,000 | 0.6-1.2% |
| Insurance | PLN 800-1,500 | 0.08-0.15% |
| Utilities (owner-occupied) | PLN 3,600-7,200 | 0.36-0.73% |
| Total Annual Costs | PLN 10,471-20,771 | 1.06-2.11% |
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How long should I plan to stay in Poland to make buying worthwhile?
The break-even point for buying versus renting in Poland typically occurs around the 5-year mark, primarily due to high upfront transaction costs.
For stays under 5 years, renting generally proves more cost-effective due to the 5-30% transaction costs involved in purchasing, plus the 19% capital gains tax applied to properties sold within five years of purchase. The high mortgage interest rates of 7-8% for foreigners also make monthly ownership costs substantially higher than rent in the short term.
For residents planning to stay 5-10 years, buying becomes increasingly attractive as transaction costs amortize over time and capital gains tax exemptions apply after five years of ownership. The strong rental yields of 6-6.5% also support property values over this timeframe.
Long-term residents (10+ years) typically benefit most from ownership, as they can leverage Poland's stable property market growth and avoid the uncertainty of rental price increases. Property owners also gain from potential appreciation while building equity through mortgage payments.
It's something we develop in our Poland property pack.
What are the potential hidden costs of buying property in Poland?
Hidden costs when purchasing property in Poland can significantly impact your total investment, often adding 5-30% to the stated purchase price.
Legal and administrative costs include notary fees up to PLN 10,000, legal representation ranging from PLN 5,000-15,000 (especially important for foreigners), and translation services for documents. Real estate agency fees typically add 2-3% of the purchase price.
Tax obligations include 2% PCC tax on secondary market purchases or 8% VAT on new apartments under 150m². Currency exchange losses can add 1-3% for foreign buyers financing purchases in non-PLN currencies.
Post-purchase costs often surprise new owners, including immediate maintenance issues, building management fees, and utility deposits. Property inspection and survey costs range from PLN 2,000-5,000 but are essential for avoiding costly surprises.
1. Notary and legal fees (PLN 5,000-25,000) 2. Tax obligations (2-8% of purchase price) 3. Agency commissions (2-3% of purchase price) 4. Currency exchange costs (1-3% for foreign buyers) 5. Property inspection and surveys (PLN 2,000-5,000) 6. Initial maintenance and repairs (often PLN 10,000-50,000) 7. Mortgage arrangement fees (0.01% plus administration)What is the state of Poland's rental market?
Poland's rental market shows signs of stabilization after years of growth, with supply increasing while demand moderates in major cities.
Rental price growth has slowed significantly in 2025, with year-over-year increases ranging from just 0.3-3.9% in major cities, compared to double-digit growth in previous years. Warsaw, Kraków, and Wrocław are experiencing the most stability, while smaller cities show more volatile pricing patterns.
Supply is increasing as new developments come online and some investors enter the rental market, creating more options for tenants. This trend particularly benefits international renters seeking higher-quality accommodations in prime locations.
Long-term rental demand remains supported by Poland's growing economy, EU membership attracting international workers, and strong university systems drawing students. However, the market is becoming more balanced, reducing the extreme tenant competition seen in 2022-2023.
Looking ahead to 2026-2027, rental growth is expected to remain modest at 2-4% annually, making renting a more predictable option for budget planning compared to the volatile increases of recent years.
How easy is it to sell property in Poland?
Property sales in Poland typically take 2-6 months depending on location, pricing, and market conditions, with preparation being crucial for foreign sellers.
Well-priced properties in high-demand areas like Warsaw's city center or Kraków's old town often sell within 2-3 months, while properties in secondary locations or overpriced listings can take 6-12 months. The key factors affecting sale speed include clear title documentation, competitive pricing, and professional marketing.
Foreign owners face additional complexity when selling, as all documentation must be properly translated and notarized. Capital gains tax of 19% applies to properties sold within five years of purchase, but sales after five years are tax-exempt for individual owners.
The selling process requires land registry verification, property condition assessment, and often involves negotiations over furniture and fixtures. Estate agents typically charge 2-3% commission, while legal and notary fees add another PLN 5,000-15,000 to selling costs.
Market liquidity remains strong in major cities, with cash buyers becoming more common as mortgage lending tightens. Properties meeting current energy efficiency standards and located near public transport sell faster than average.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Poland versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What is the average return on investment for property owners in Poland?
Poland's property market delivers solid returns for investors, with rental yields averaging 6-6.5% across major cities as of September 2025.
The highest rental yields come from Bydgoszcz at 6.65%, followed by Warsaw at 6.49% and Gdańsk at 6.27%. These yields compare favorably to other European markets and reflect strong rental demand in Polish cities.
Capital appreciation has averaged 14.4% over the past year, though this rate is normalizing as the market stabilizes. Long-term property owners (5+ years) typically see annual appreciation of 4-7%, providing solid total returns when combined with rental income.
Total return on investment for well-selected properties ranges from 10-13% annually when combining rental yields with capital appreciation. Properties near public transport, universities, or business districts tend to outperform the market average.
| City | Rental Yield | Recent Price Growth |
|---|---|---|
| Bydgoszcz | 6.65% | 12.1% |
| Warsaw | 6.49% | 8.3% |
| Gdańsk | 6.27% | 11.7% |
| Kraków | 6.10% | 9.2% |
| Wrocław | 6.05% | 10.8% |
| Poznań | 5.95% | 13.5% |
Are there any restrictions on foreigners buying property in Poland?
Foreign property purchase restrictions in Poland depend on the type of property and buyer's nationality, with apartments facing minimal barriers.
Most foreigners, including non-EU citizens, can purchase apartments without special permits or approvals. This makes Poland one of the most accessible European markets for international property buyers seeking urban residential investments.
However, purchasing detached houses or land requires a permit from the Ministry of Internal Affairs for non-EU citizens. EU and EEA citizens gain full property rights after establishing short-term residency in Poland, eliminating most restrictions.
The permit process for houses typically takes 2-4 months and requires demonstrating economic ties to Poland or legitimate investment purposes. Agricultural land purchases face the strictest controls, with permits rarely granted to non-EU foreign individuals.
1. Apartments: No restrictions for most foreigners 2. Houses: Non-EU citizens need ministry permit (2-4 months process) 3. Land: EU citizens only after residency; very limited for non-EU 4. Agricultural land: Extremely restricted for all foreign buyers 5. Commercial property: Generally open with standard business registrationHow does public transport quality affect the buy vs rent decision?
Poland's excellent public transport systems in major cities strongly support property values and influence the financial case for buying over renting.
Warsaw, Kraków, and Wrocław feature modern, extensive public transport networks including metro, trams, buses, and suburban rail systems. These networks are expanding under EU-funded mobility plans, with new metro lines and tram extensions planned through 2030.
Properties located within 500 meters of metro stations or major tram lines command 10-15% higher purchase prices and rents, while also selling faster when owners need to relocate. This transport premium makes buying near public transport a safer long-term investment.
The high quality and affordability of Polish public transport (monthly passes cost PLN 110-130) reduces the need for car ownership, making urban living more economical for both renters and buyers. This supports consistent rental demand and property values in well-connected areas.
Future transport improvements, including airport rail links and express bus networks, continue to enhance property values along planned routes, providing additional upside for property owners compared to renters who cannot capture this appreciation.
It's something we develop in our Poland property pack.
What are the long-term implications of owning versus renting in Poland?
Long-term property ownership in Poland offers significant advantages over renting, particularly for residents planning to stay beyond five years.
Property owners benefit from capital appreciation averaging 4-7% annually over the long term, while renters face the risk of rental increases that have historically tracked or exceeded inflation. The five-year capital gains tax exemption provides substantial tax advantages for patient investors.
Rental markets face uncertainty from potential regulatory changes, including proposed rent control measures and tenant protection laws that could limit landlord flexibility but also constrain rental supply. Property owners avoid this regulatory risk while potentially benefiting from any supply constraints.
Poland's EU membership and growing economy support long-term property values, with infrastructure investments and demographic trends favoring urban property markets. Currency stability within the EU framework also protects against major devaluation risks.
Owners gain the freedom to modify properties, benefit from any government housing incentives, and build equity through mortgage payments. Renters maintain flexibility but miss wealth-building opportunities and face ongoing payment obligations without asset accumulation.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
The decision between buying and renting in Poland ultimately depends on your timeline, financial situation, and long-term plans in the country.
For stays under five years, renting offers superior flexibility and lower financial risk, while buyers who plan to remain 5+ years can benefit from Poland's stable property market, solid rental yields, and favorable tax treatment after the five-year holding period.
Sources
- Global Property Guide - Poland Price History
- Finding Poland - Cost of Living
- Wise - Cost of Living Poland
- Simpl Rent - Poland Rental Market 2025
- Poland Insight - Apartment Prices June 2025
- Centrarium - Poland Real Estate Market 2025
- Harveo Finance - Poland Mortgage Rates
- Clean Whale - Foreigner Mortgages Warsaw
- The Global Economy - Poland Mortgage Rates
- Progress Holding - Poland Mortgage Guide