Buying Property in Poland?
Great info about buying Poland property!

Poland is such a diverse property market that it requires an incredible amount of thought and consideration by any property investor looking at investing in Polish property.

Poland joined the European Union in 2004, which was the pinnacle of many years’ economic preparation. After Poland joined the EU, it saw a significant increase in inward investment, particularly in the capital city of Warsaw. A combination of educated youngsters offering quality staffing to business for a fraction of the price of western countries, coupled with cheap materials, has encouraged many international companies to move to the area.

Another key benefit is that Poland is a transportation hub, within Europe, bridging Eastern / Western Europe and again offering a range of commercial opportunities for investors.

Buying Property in Poland

One of the main attractions for property investors is the wide range of properties that is available to buy and to renovate. Most investors have typically headed directly for Warsaw, where prices have been growing at an impressive rate of over 100 percent, in the last two years, in some parts of the city.

Moving away from the main capital, Krakow, the second city is gaining momentum, and is also culturally extremely attractive. The Old Town area of Krakow has large town houses which are being split into flats of one to two bedrooms. It is estimated that the value of these one to two bedroom properties will rise by over 50 percent, in the next two years.

Interestingly, larger family properties are set to increase by nearly 100 percent in this area, encouraging larger investors to move to this beautiful second city, where space is more readily available.

It may feel that investing in Polish property is something that should have been done before it joined the EU, but the benefits are still radiating throughout the country. There is, for example, an increasing demand for new houses as more employees move to Poland, seeking good quality accommodation. Currently, the demand for houses is rising at between 10 and 12 percent per annum which is therefore driving house prices at over 10 percent a year.

The demographics of Poland are also changing, with more than 50 percent of the population being under the age of 35. These young locals are now seeing increasing affluence and are looking to buy their first property. This growing affluence is also attracting significant migration, with more than 100,000 people moving annually to Warsaw, alone. It is thought that the population of the capital city will double, over the next 10 years.

Financing is also becoming increasingly easy to come by in Poland, with interest rates at a little over the interest rates on offer in the UK. Both loans and mortgages are now readily available for foreigners, which is driving the property market higher still in this interesting country.

Although there is a rental potential in Poland for those who are targeting professional lets, the tourist market is not massively buoyant. Therefore, those investing in Polish property are generally looking more for capital gains, over the long-term.

Poland is certainly worth a look for any investor seeking long-term capital gains, in a very explosive market that is certainly on the up.