Poland Real Estate Market in 2007 r.
1. Market - primitive flat
The primary market is developing aggressively, developers are still selling new investments at the stage of the realization, the price still grow. Such a trend will be staying in 2007. I am forecasting an annual rise in prices about 10-15 % per cent. Of course their height will depend on the region of the country, the location, the finish and the solidity of the investor. Both domestic and foreign customers will be interested in the purchase of the fixed property, in addition one should pay attention for more and more big making interested in our market neighbours from behind the eastern border and investors from Asian countries. Wealthy customers treating this shopping as investments are entering the market with the possibility of getting incomes from the lease. Price fever and the property balloon blown up on the housing market which started in 2006 with the yr will already in the second half be stabilizing 2007, and after 2008 when a lot from assumed property investments the market will misfire will recover his mental balance.
2. Secondary market of the –flat
The secondary market will also be developing dynamically is forecasting a rise in prices about 15-20 % per cent, and a big rise in prices is a reason on the primary market. Flats will be buying rather a youth people about the medium financial status using mortgage credits which still numerous concealed traps have. Bought apartments this year will be rather to needs own but also the ones better located to serve can and as the good deposit and to give incomes from the lease. As this way as for years enough well put flats will be enjoying the success in well-kept fixed properties, rather 2-3 room. Customers will also be seeking apartments situated in elegant tenements allocated for destinations residential or functional. On the secondary market parents will also be buying flats for young students because it is good better than the lease investment.
3. Primary market -home single-family
In 2007 we should observe coming into existence of the investment latest trend. They will be these are functional detached houses about surface 120-200 metre. coming into existence in the vicinity of big cities. Buildings will be localised on pretty, developed plots. These projects will be carried out is driving private persons as well as property companies. It will be developing process, and in 2008-2009 the yr will reach its peak popularities. The coming into existence of these investments will influence the also more further stabilization of prices on the housing market. Prices on the market of detached houses will be addicted to the demand and the supply, height if it will be in the period of 2-5 % per cent.
4. Secondary market -home single-family
The secondary market place of detached houses is very quiet. The supply of these fixed properties is very large starting from the location, an architectural style, the surface, finishing the standard and the technology or the age fixed properties. At the purchase of these fixed properties their individual features will be counting, and of course price which is subordinate to considerable negotiations from a reserve price. The fact that we often buy the built house is a main fault in this market in already unfashionable and impractical standards. The craze for building materials is changing in a flash. It causes that decisions on such a purchase aren't simple and very much it is necessary to think because the renovation of such a fixed property can be not only very laborious, but also expensive. In this section next year slight correction of prices will follow up to 10 % per cent. An interest in detached houses will be 2007 more still grew in the yr if prices of residential apartments are climbing up.
5.The market of the renting out.
Renting out of flats with the alternative, such a surrogate for the market purchase - sale.
Less wealthy people and the ones which are working in an unfamiliar towns are using it. Admittedly the Act on the protection of laws of residents again was amended but still she is imperfect and he lets for unequal treating the owner and for the lessee. The market of the lease of flats is divided in the so-called section of cheap flats and the section of rented luxury apartments by both foreign and domestic companies for the managerial staff. These lessees are interested in well located and comfortably decorated apartments. Their supply is little and the demand in economically unrolling cities is increasing. Prices in 2007 on the market of the lease can grow on average about 5-10 % per cent. To remember he belongs that also maintenance costs of apartments will change, a min. is being planned. rise in the electric energy, the natural gas or rents. It will have the deciding influence on developing of prices on the market of the lease in individual cities and fall in the profitability of investment for rent.
6. Buiding grounds and industrial land
On the market all the time a lack of the good planning politics of administrative districts and a developed red tape are felt connected with obtaining a permit for the completion of investment. I am assessing that in 2007 prices of plots will rise on average 8-10 % per cent. A growth of an interest in these fixed properties will come both by individual customers as well as developers. Plots in good locations will be sought after with the good infrastructure. Attractive trains up to property investments will be sold on the spot at prices sometimes higher than call so long until a housing market won't stabilize.
7.Invest into the marketplace
Of the fixed property to buy with the reason and prospects for consecutive years. A purchase of the fixed property is investment long prompt burdened with the considerable risk. One should undertake the cooperation with experienced professionals of the market of the fixed property which will help to make appropriate choice not only for now but also for years.
So as ever one should be careful "not to buy a pig in a poke", to think for so-called occasions, to guard one's money and to read all documents concerning the purchased fixed property thoroughly.
8. Legislation
Is in preparation a lot of projects flats and investment. I mean the tax policy and the legislation here in the scope of the town-and-country planning whether shortening the period of competing for a planning permission. Also an interesting plan is arising at the Ministry of the Building concerning handing over an agricultural Agricultural estate agencies being in sources to the fixed property free of charge to the thing rabble with allocating up to the housing industry. He will contribute for reviving the investment market, destined projects will come into existence for rent. To the greater scale a rent building, a public TBS building will be carried out. It will let for fulfilling housing needs of less wealthy people which cannot afford the purchase own flat. He will also be stimulating the development of the market of the renting of apartments what will contribute for increasing the migration of people being job-hunting. Hence of gradual reducing the unemployment. He will cause also a tariff cut of the lease which will depend on functioning of the local market of the fixed property.
9. Mortgage credit
After the stormy fight against customers banks will start more cautiously giving mortgage credits mortgage credits. Requirements will grow as for the credit rating as well as protections. Not everyone will already be able to afford „ attractive walutowe” credit;. It will be necessary to run up a debt in the impressionable domestic currency politically and economic. „ Times; cheap money” will come back not quickly.
10. Market
The Market of the fixed property is a mirror of the economy. So I wish in 2007 an even greater growth of economic signs to come. In wallets a rise in salaries would be noticeable. And on the market she maintained fixed properties sensible balance between supply and demand.
Autor: Tomasz Błeszyński Real Estate Adviser Commercial & Residential Property.
Professional 16 with summer experience. Scope of the fixed property professional Activity in the scope of the turnover of fixed properties from 1990 in an entire market segment of the fixed property and investment. Services of the consultancy, the commercialization, the restructuring, stewarding fixed properties. Service of physical, legal persons domestic and foreign. Old interaction with the bank sector in the financial service of the market of the fixed property. Excellent knowledge of the Polish and European market of the fixed property.
Poland Real Estate Market in 2007 r.- 20-01-07
