Real Estate / Buying a flat in Krakow; prices are still falling? [200]

Its seems the general view at the moment is that average prices are more or
less stable in Krakow (I guess if you account for inflation this means falling gradually).

Does any one have any breakdown of the prices in different market sectors?
For example the prices of apartments in the old town versus new-builds?

I was told by an agent that the prices of the larger flats in the old town are falling
which seems reasonable given the low rental yields...

Also regarding a flat for renovation. How much per sq m would the renovation cost
(new bathroom, kitchen, windows). I've heard a figure of 1,000 zl per sq m.
Can anyone recommend a company operating in the Krakow area?

Thanks!

Real Estate / Buying a flat in Krakow; prices are still falling? [200]


I don't believe prices are going to rise that for sure - and you're right property seems very
over-valued particularly when you compare it to earnings but will we start seeing 20% falls in the coming months on top of the 20-30% falls already? My guess is probably not

but I'm not familar with the Krakow market so that's why I'm interested in other
peoples (objective) opinions.

Real Estate / Buying a flat in Krakow; prices are still falling? [200]


I contacted an agent about a flat in that building fully expecting that they would be
willing to accept an offer significantly lower then 15,000 - but no. I lived in London
for a number of years and for those prices you could buy a flat in a good area
close to the centre. They claim that only four flats are available something I find
very hard to believe.

Real Estate / Buying a flat in Krakow; prices are still falling? [200]


What would your average pole need to pay per month on a 500K mortgage over 40 years
with 10% deposit?

I was quoated 3,500 per month by DB for a 500K home loan over 25 years. To qualify
for this you have to earn at least 12K (brutto) per month. Also the approval process
for a mortgage is far from simple. Now maybe that's just DB and other banks are more
flexible...but I would imagine the figure would be broadly similar?

In saying that I doubt if prices will fall by much - maybe 10% - certainly not more then 20%.

Law / Laundromats in Poland? Good business venture or not? [90]

I find the comments that everyone has a washing machine surprising. I rented a nice flat in Krakow some years ago which didn't have a washing machine - in fact many of the flats I saw at that time were without one. The landlord assumed I would hand wash my clothes.

My impresson at the time was that most poles either use a friends or parents machine - or nothing at all....

Laundromats are common place in London and I somehow doubt there are less washing machines per head of population there then in Krakow for example.

I think laundromat would do very well - I would have certainly used it.

I guess you would have to explore the fixed costs and how much you need to charge to
cover these. Maybe the reason there not common is simply because the cost of
running one is too high in Poland?

Law / Laundromats in Poland? Good business venture or not? [90]

This was about 2004. It was an apartment in a relatively new block.

At the time I new other foreigners who were renting who had the same problem.

One day out of frustration I took all my laundry to the dry-cleaners. It cost
me 70 zl to have it done!

Life / What are the things which cause culture shock in Poland? [164]

I grew up in Ireland and lived in the UK for over ten years and having now lived in Krakow for a year - my impression of Poland is that its a land of real contrasts. For example, the centre of Krakow, particularly around the market square is stunningly beautiful and the old town is full of interesting cafe's, bars etc.. but go 5-10km in any direction form the centre and more likely then not you'll end up in some grim soviet-style neighbourhood (though albeit generally safe). A real contrast in my opinion.

Life / What are the things which cause culture shock in Poland? [164]

The contrast in a large city like Paris and London are more subtle in my opinion -

London has a lot of though neighbourhoods - in fact more dangerous then anything
here in Krakow but they don't look as grim also you'll always be able to find good cheap ethnic food in London poorer neighbourhoods which you just don't get here.

Real Estate / Price of a flat for renovation in a tenement house for renovation in Krakow [7]

Thanks for the information.

I was told all buildings in the old town are listed/protected. Is this true? My guess
is this complicates renovations as you need to apply for permission to change
anything but maybe I'm wrong.

How much do you think renovation costs are?

Real Estate / Poland housing prices in September 2010 - report now available [18]

From your report it seems that prices have increased in Krakow.

Do you know what the transaction level was? If the level of transations were low the
data might may not be that reliable.

Thanks

Real Estate / Poland housing prices in September 2010 - report now available [18]

I have read the report.

What I meant was do you have data on the number of properties sold? How does
this compare to the long term average? I suspect that the transaction level is low
as there are many unsold apartments close to where I live in Krakow
but I could be wrong.

Thanks

Real Estate / Buying a flat in Krakow; prices are still falling? [200]

Well I also Irish and have first hand experience of the crash. Property prices in Krakow are clearly over-priced relative to salaries but salaries are also particularly low here. Though you can justify the prices if you assume salaries will quickly increase over time.