Record-high residential offer and sales in Q2 2016 - REAS

Developers added another a record-high 17,700 apartments to their offer in Q2 2016 in Poland’s top six markets (Warsaw, Kraków, Wrocław, the Tri-City, Poznań and Łódź), according to a report by residential real estate advisory REAS. The total offer reached 58,834 apartments in June 2016. The total number of apartments sold in the six largest markets over the past 12 months (between July 2015 and June 2015) exceeded 57,700, also a historic high. "The Q2 results confirmed that the boom in the market continues. Despite a slight decrease in the number of applications for government subsidy program MdM apartments sales were excellent," said REAS experts. They did however indicate that once the MdM program comes to an end (in early July, the state lender BGK informed that the first half of all the MdM funds earmarked for 2017 had already been allocated), the market could see a decline. "In early 2017, the second half of the 2017 MdM funds will dry up, so in reality MdM subsidies will stop supporting sales. The we will experience a short 'pile up' of applications for the last remaining funds earmarked for 2018," they said and added, "That's when the MdM boost will come to an end."