Rental market supply growing, new regulation may reduce rents
Poland’s rental market is seeing rising supply but weakening demand. In February, listings increased by 4% month over month to 24,500, while inquiries dropped 8% m/m and about 19% y/y, according to Otodom. New short-term rental regulations may further boost supply as some landlords shift to long-term leasing, especially in tourist cities. Average rent fell slightly to PLN 3,588, down about 1% m/m and 1.4% y/y, with Warsaw remaining the most expensive. Demand slowed after a January rebound, partly due to improved mortgage conditions encouraging home purchases.
At the same time, global factors such as rising energy prices may impact affordability. The market is entering a turning point shaped by supply growth, regulation, and macroeconomic pressures.