Polish Property
Poznan Property and Real Estate
Property in Poznan has boomed in 2007, the city has seen large price rises in it's real estate. This demand looks to be sustainable in the long term as it is due mainly to local demand.
The shortage of high quality new property, especially apartments in Poznan and in Poland as a whole has led to rapid price rises.
These price rises have been particularly strong in Poznan as the situation is more acute than in other areas.
Not enough new apartments are being built to satisfy the needs of the local population and the increasing number of foreign investors looking to take advantage of the market. As Poland's economy strengthens with more foreign investment so individual cities such as Poznan are booming with industry and commerce. Jobs are being created, and as in other Polish cities, workers are moving to the cities from outlying areas to take up these jobs.
As this migration happens, demand for property increases. A growing Polish middle class with a higher disposable income than ever before have become a feature of the property market in Poznan. Buyers are young, between 25 and 35 with money to spend. The mentality of this group of people is to get on the property ladder as soon as possible. With mortgages becoming easier to obtain there are less obstacles for these people to purchase an apartment and so demand rises.
In the first two quarters of 2007, property prices rose significantly. Investors have made over 100% returns in short time periods. The centre of Poznan has done particularly well, with these apartments in demand from locals looking to live near to their place of work.