Poland's apartment prices continue to fall

he is right. There are some suburbs in Warsaw where the prices hover at 5,000. must we always go over this?? It does get oh so tiring. Miasteczko Wilanow is around 5,000. All of Praga- and don't discredit Praga it has loads of nice areas.

Centrum is above- closer to 8,000--which is normal for any city.

Bielany, Ursynow are both around 5,000. As is Piaseczno.

Zoliborz is closer to 7,000.

Prices in Wroclaw already dropped below the 4000zl/m2 mark for decent, livable flats in good locations, which is quite incredible I must add.

I am seeing a few drops around, not seen that one so far, will look out for it, thanks for posting

Based on experience within the property market, I wouldn't buy an older house in Poland (flats are a different animal). Generally these houses are just not up to modern standards (in my opinion). They suffer from a total lack of insulation, terrible layout, sub-standard electrics/plumbing, everything will most likely need replacing (interior fixtures, floors, windows,

doors, etc). Also, count on a new central heating system and probably a new roof, and I bet the old one will be pressed metal 'blacha', meaning the roof supports are also sub-standard. The last point is that re-selling the property will be a nightmare, as nobody wants those older houses. I am not, by any means, saying this issue is unique within Poland, as The UK pretty much has the same situation with sub-standard musty old houses. The difference in Poland is that planning permission and decent land are easily come across. Why even bother with an old house that will swallow nearly as much as a new house and never look or function in the same manner? I suppose most of these people want to sell to part fund a new build. I know I just sold an old flat, the proceeds of which are proudly sat on my new build :)

This is all in my own opinion and I am not saying it suits everybody, but think long and hard before committing money to an old house, because the bill will continue aka classic film 'money pit' with Tom Hanks.

Source?

I don't believe you for a second. But do share.

a new-build is possible in the region of 4,000 but then it all piles up again with the extras.

a development across the road from the botanical gardens is among the cheapest i've seen.

Milky, this will probably spoil your Christmas:-

wbj.pl/article-60762-government-announces-replacement-for-family-on-its-own-program.html?type=wbj

I know how sad you were when the first scheme finished, but I did warn you the the government would have to do something to replace it.

Kłodzko and the surrounding areas are 300 meters above sea level, and this house is nowhere near the river that runs through Klodzko.

But please do provide proof how you know this area is famous for flooding.

Maybe just do a google image search for klodzko powodz and you will see that it was certainly hard hit in both the 97 and 2010 floods

The 1997 flood looks quite serious, personally i would never even consider buying property near an inland river anyway. I dont even like the idea of property near the sea or ocean, one flood and thats it.

oferty.net/mieszkanie-na-sprzedaz-trzebnicka-slowianska-wroclaw,920528668
oferty.net/mieszkanie-na-sprzedaz-ok-moscickiego-rodzina-na-swoim,920354483
oferty.net/mieszkanie-na-sprzedaz-roosevelta-wroclaw-srodmiescie,920525040

Took 10 seconds to find.

One "expert" goes so far as to say that real estate "has not just bottomed, but is booming" and talks of reported bidding wars on homes in locations like Seattle, Austin, and Palo Alto.

But Wiedemer believes that all of this positive news for the housing sector ignores the one factor that will cause housing prices to plummet: Interest rates will eventually rise.

He points out that even with interest rates at historic lows, research shows that more than one out of every four homeowners are willing to walk away from their homes.

Read more: Aftershock by Robert Weidermer predicts fall of housing prices.

moneynews.com/StreetTalk/weidemer-aftershock-housing-prices/2012/07/16/id/445519

Crikey thats shocking.

One of the things that concerns regarding the US market is build quality, an alarming amount of their homes are made of wood and concrete panels, not many cement structures, bricks or tiled roofs, sure they are quick to build and look fantastic when finished but many of those neighborhoods go to complete crap after about 15 years. If you've ever driven through a southern state after a hurricane a good 30% of the older houses don't even have any roofs left.

This kind of thing, its most probably around 8 years old, imagine what they will look like in 30 years time when the mortgage is all paid up?

• 
  panel houses
  

That is a typical single-story ranch, most probably from the 1960s/1970s. Im guessing southern mid-west US. If anything, the concrete, windows and garage door would be enough to tell you it's at least 30 years old. So.. ah-hem... that's "what they will look like in 30 years time"...

Today's new builds are contemporary versions of Colonial/American Four-Square and Cape Cod. For f's sake. Time to beat you up again.

central Florida - Orlando, a residential district, its a shame i didnt list the exact address when i snipped it from Google Earth. Its not a ranch at all, i would say no way older than mid 90's.

anyway heres another which i have just snipped from Google Earth and it has the exact address for your reference, a little more modern. How old do you think this house is?

• 
  Holden Ridge Avenue, Orlando
  

Judging by the tree, neighborhood and driveway it's probably late 80s/early 90s, recently renovated with new exterior trim, windows and garage door.

Humm the tree does make it look fairly old but that tree may have been there before they built and they left it. I'd say that development is around 1998, its still classic Florida build quality, lots of wood and panels its not really going to last that long.

Last one - i promise, take a look at this, i reckon this is defo not more than 10 years old. What do you think?

• 
  Florida villa
  

Sure, but a more detailed look shows you that tree is almost parallel to their neighbor's, i.e., it was planted. "Build quality" is another issue altogether, and shows you that real estate in most of America is treated as a consumable.


I need a better picture as I can't really make the driveway, garage door or windows, but judging by the road, curb, mailbox, grass, hedges and their neighbor's tree, I'd say 20 years old (mid to late 1990s). But who cares, the house is still in Florida, a terrible place to live... ha ha..ha

these were built from 2002 - 2004, i have first hand knowledge as i sold a few myself, on the very same development, its one of my favourite golf courses in Florida, its Southern Dunes Golf and Country club on the Highway 27. The developer is Park Square Homes, established 25 years ago, i recognise that particular model villa but for the life of me cant remember the name.

parksquarehomes.com

The Brits used to love investing in these types of communities back in the early 2000's.

Cool, so I was pretty close. Btw, if you already knew when these units were built, why are you asking me for my opinion based on, of all things, a google street view photo? Why are you even asking for my opinion at all in this matter, if you're some dude who flips homes in the US and should evidently have a better eye for these sorts of things? Did you forgot, or am I not a drunk-posting, frustrated, self-loathing internet tough guy with a demented set of social values and morals?

35 billion euro sent home from Poles abroad since 2004. (angora weekly magazine) Influence on property prices?

1% of GDP, hardly.

Road building and the massive rise in exports, GDP and EU entry are far more important.

In that period the cumulative increase (i.e. the sum of 8 years increases) in Polands GDP is 1000billion Euros

but, sent by a specific age group(25-35 yrs) for a specific purpose. It's a massive amount of money.

And the Polish real estate companies going belly up due to lower margins...

bloomberg.com/news/2012-09-11/polish-builders-go-bust-on-rail-amid-spanish-bidding-freight.html

The article you link to is very interesting if you want to keep up to date with the "Civil Engineering" companies that are having problems with contracts in Poland, but, would you like to explain what that has to do with "real estate"? Railway upgrades, motorways and new roads are nothing to do with housing This has already been pointed out in a previous thread.

Perhaps the poster was passed a misleading bit of text with that link or they just scanned the article and saw the phrase Europe's crisis continues to drive builders outside their home markets. which of course only means domestic/internal to Poland construction rather than anything to do with people's homes or residences.

However, locally to me there seems to be yellowing for sale banners on some older houses, and quite a few flats up for sale in the secondary market - and loads of new builds in the pipeline. That said, this city seems to be getting very busy with lots of new faces from around the world, so maybe those new builds will find owners after all.

Budimex SA

Yes, what about them?

They happen to be one of the companies quoted in the article. They are involved in residential as well as civil/commercial, most of the building companies which are stock market listed companies in Poland, venture into both commercial and residential and therefore generate their income there are also joint ventures as well. The reflection of listed building companies on the Wig is a direct reflection of how the building sector is performing as a whole.


Consensus view on the Polish economy is too optimistic. Polish economy is set to enter recession in H12013 (negative GDP growth in y/y terms) and substantial acceleration afterwards is so far unlikely.

brebank.pl/images/BreKorpo2/Portal/BinaryPL/3593908/brewr_2012_11_02_3593908.pdf

Yes, let's quote what the article has to say about them:


So the story is actually 'a company which also owns a company which builds residential housing decided to buy a company which builds railway but failed to do its homework properly and so lost its investment'.

So back we come to the question: what does the ill-judged purchase of a company which builds railways have to do with "real estate"?