is there expected property prices rise in poland?

03.08.05, 07:41
just read about it in other post.
really?
    • usenetposts Re: is there expected property prices rise in pol 03.08.05, 11:07
      Of course.

      Look at the amount of funding that is promised - mainly not turned into cash
      flow just yet - from the EU.

      Consider where this money will end up.

      Obviously in the first instance it is used to allow cerain expenditures on
      machines, work to be done, etc, and a proportion goes at that point back out of
      Poland or even out of the EU if the supplier is non-resident. But in the main
      the money will remain in this country, improving the profitability of
      businesses, the availability of work and therefore prices to subcontractors to
      government, reduce the pressure on income tax and ZUS, and cause money flow and
      net earnings to increase in the private economy.

      The money is given mainly to areas which are underpriviledged, and to benefit
      poorer parts of society, but the trickle-up effect is guaranteed, and quite
      rapid also.

      Therefore the kind of property which the participant showed us is liable to
      have a lot more potential buyers from that class of society in a year or two's
      time. This will increase the price.

      If we are talking about property in cities, especially the capital, the price
      is due to rise because Poland has a less urban, and less capital-city centred
      population than the countries it seeks to emulate. Even Spain, with a similar
      size and population to Poland and a very rural and agrarian economy, has three
      cities/conurbations larger than Warsaw in terms of population.

      With set-aside, and follow land rules, POland is not going to get any less
      urbanised than it now is, so for urban and suburban properties, the only way is
      up. The property he showed is, bearing in mind transport plans, close enough to
      Warsaw to benefit from that trend.

      Another reason for the hike will be the replacement cost of building materials,
      and the labour cost of builders, both of which already went up 20%, since
      entry, but this hasn't trickled into the domestic housing market yet. It has
      to, of course, in due course.
      • nasza_maggie Re: is there expected property prices rise in pol 03.08.05, 11:43
        Property prices have risen in the center of Warsaw by circa 30% since we joined
        the EU.
        Also, the Irish are keen investors in Poland - from their economic experience
        with the 'Celtic Tiger' I trust them to know what they're doing!smile)
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