Just last summer, data on Poland’s real estate market was red hot, with prices surging in Q1 by 10.9 percent compared to the previous year and up 2.8 percent versus the previous quarter.
Now, times have changed, with experts saying real estate is entering a correction phase and that easy flipping is over.
Data from March 2025 show a clear downward trend, with average asking prices in as many as 11 of the 12 cities analyzed being lower by about 2.2 percent compared to the same period in 2024, reports Poland’s Business Insider.
These “small” corrections are happening every month, says Marcin Drogomirecki, real estate market expert, Morizon-Gratka Group. “They are interrupted only by sporadic increases and in the longer term clearly indicate a progressive correction in the prices of apartments offered for sale on the secondary market,” he adds.
Compared to February 2025, apartment owners lowered their price expectations by an average of 0.6 percent in March.
The decreases in apartment prices vary significantly depending on the location. The smallest corrections were recorded in Łódź, where prices per square meter fell by only 0.2 percent, while six large urban centers — Warsaw, Katowice, Lublin, Wrocław, Olsztyn and Poznań — saw price declines of more than 2 percent.
Kraków saw the largest drop, with the average asking price in March being PLN 15,885 ($3,700) per square meter, which means a decrease of 4 percent compared to the same period last year.
An exception to the nationwide downward trend was in Gdańsk on the Baltic Sea coast. The city was the only one of the 12 urban centres analyzed to record a slight increase in prices by 0.2 percent. Gdańsk has been seen as an attractive place to live and invest; it also saw the introduction of offers for the sale of finished flats and apartments from investments completed in recent years to the secondary market, priced significantly above the local average.
However, across most of Poland, sellers have been gradually dropping their sale prices given the more difficult current market conditions. “Property owners who have not found a buyer for months are gradually revising their expectations,” says Marcin Drogomirecki.
At the same time, new listings are increasingly appearing on the market with more competitive starting prices.
Properties more resistant to the downward trend are those on the high end of the market, especially those freshly renovated, modernly finished, and ready to move into immediately. Apartments in new buildings, which do not require additional investments, also maintain prices at a relatively high level.
Those located in less attractive locations, finished and equipped according to outdated standards or requiring major renovation, offered at inflated prices, may take many months to sell.
While in the long term, investing in apartments can still protect capital from inflation, short-term investment strategies such as flipping (buying, quickly renovating and reselling for a profit) are becoming increasingly risky and less profitable, notes Business Insider.
Inflation in Poland continued to be strong throughout 2024, ending the year at 4.7 percent and rising to 4.9 percent in February.
