Why Invest in Property in Poland
The increase in consumer spending and consumer confidence in Poland combined with low mortgage rates and an established mortgage market have all economists very positive about the future of the polish economy and property market. With demand outweighing supply in some areas ,low price per square metre, good capital appreciation and generous rental yields, the time to invest in Poland is now!
- Member of the EU since May 2004
- GDP grew at 5% in 2005 and is expected to grow by 4.5% in 2006
- The stable economic and political situation in Poland makes it a safe place to invest
- Steady and sustainable capital appreciation of 10-12% pa on average with some parts of Warsaw seeing growth of up to 30% in 2005
- Low cost of buying property
- Low cost of fees associated with buying property in Poland - approx 6%
- Good potential rental income in properties in good locations
- Low inflation - 1.5%
- Good exchange rate with the Zloty: expected to make further gains in 2006
- Potential cut in interest rates by Gov to stimulate consumer borrowing and mortgage borrowing
- Becoming more and more accessible with Ryanair looking at setting up a base there
- The rising affluence of the population and the competitive mortgage market and rates (approx 4.3%) point towards a bright future in Poland
- Good foreign investment policy attracting some large blue chip companies to set up in Poland therefore bringing foreign workers looking for rental accommodation and creating employment among locals.
- 15.2 million tourists - an increase of 6.4% from 2004