Pandemic not able to stop increases in housing prices

Despite the economic problems caused by the pandemic and the initial turmoil in the real estate market, 2020 was another year in which house prices rose again. In voivodeship capitals, they ranged from 3-13 percent in the primary market and 3-9 percent in the secondary market on an annual basis. Demand for own apartment will remain strong also in 2021 and will drive further increases, indicate experts from Emmerson Evaluation in the latest report Evaluer Index 2021.

In its report, Emmerson Evaluation analyzed data from the housing market of 30 Polish cities, including seven major agglomerations in detail, also broken down into individual districts. The information comes from the Evaluer database, and the prices per sqm. are presented as a median rather than a mean. Indeed, the median value better reflects the information on prices, as the result is not influenced by single, unusual transactions (such as the purchase of one extremely luxurious property). The analysis took into account the transaction prices at which the buyers actually bought the flats.

Sopot remained the leader in terms of prices on the primary market (median PLN 16,700 / sqm). Warsaw remained the runner-up with a median approaching PLN 11,000 / sqm. Kraków moved to third place with the result of PLN 9,800 / sqm. The median price per square meter more than PLN 9,000 was also recorded by Emmerson Evaluation in other Tricity cities. In Gdańsk, it amounted to PLN 9,700 / sqm, in Gdynia it was slightly cheaper – PLN 9,600 / s m. In Wrocław, the median approached PLN 9,000 / sqm, while in Poznań it exceeded PLN 8,000 / sqm. The cheapest new flat was to find in the Lubuskie Voivodeship. In Zielona Góra, PLN 5,100 per sqm was paid. On the other hand, the lowest median of prices among all cities analyzed in the report was recorded in Gorzów Wielkopolski (PLN 4,700 / sqm).

The secondary market also saw significant gains. Sopot remained the most expensive with a median price of PLN 10,300 / sqm. In Warsaw, the median price per square meter of second-hand flats approached the level of PLN 10,000 / sqm. The lowest rents below PLN 4,000 / sqm performed again in Gorzów Wielkopolski.

(WBJ)