The real estate market in Warsaw is undergoing dynamic changes. On one hand, the number of apartments sold is decreasing, while on the other, prices continue to rise – albeit at a slower pace.
According to experts, the turning point might come in the second half of 2025, when housing prices in the capital are expected to start declining slightly. Until then, prices are projected to increase further, though at a much slower rate than in previous years.
Current Situation in Warsaw – What's Happening in the Primary Market?
Warsaw remains the leader in Poland in terms of housing prices. Over the past year, prices for new properties in the capital have risen nearly twice as fast as inflation, which stood at 4.9%.
Developers are now facing reduced demand, which has extended the time it takes to sell apartments. In the third quarter of 2024, 2,577 apartments were sold, marking a 2% decrease compared to the previous quarter.
Due to the drop in transaction numbers, the availability of apartments on the primary market has increased. According to a report by CBRE and REDNET Property Group, in September 2024, buyers could choose from over 14,500 units, representing an 11.6% increase compared to June. To attract customers, developers are increasingly offering promotions and additional incentives.
Increase in Listings on the Secondary Market – What Does It Mean for Buyers?
Data from portals like OLX and Otodom confirms a significant rise in the number of listings on the secondary market. The number of apartments for sale reached a record high of 228,000 at the beginning of December.
This marks a substantial increase compared to previous years, offering more choice for buyers. However, it also forces sellers to take greater promotional measures to attract potential customers.
This shift gives buyers several advantages:
- More Options to Choose From – A larger pool of listings allows buyers to find properties that meet their needs.
- Negotiation Opportunities – Sellers may be more willing to lower prices, especially for properties that have been on the market for a long time.
- Competitive Pricing – In some cases, sellers may offer discounts or added value to stand out among the competition.
When Can We Expect Prices to Drop?
Experts at Bank Pekao predict, that the Warsaw real estate market may reach a turning point in the second half of 2025. The main reasons for this include:
- High Supply of Apartments – The record number of listings reduces price pressure, particularly in the secondary market.
- Economic Slowdown – Slower wage growth and rising inflation could limit buyers’ purchasing power.
- Decreased Demand for Mortgages – High interest rates on mortgages and the lack of government support for borrowers have significantly reduced the number of people able to afford housing.
Summary – The Warsaw Real Estate Market in 2025
The housing market in Warsaw is changing rapidly. Although prices are still increasing, the pace of this growth is clearly slowing down, and the record-high number of properties available for sale may contribute to price stabilization in the coming months.
Are you planning to buy an apartment in Warsaw? Now is the time to carefully analyze the market and seek professional advice:
- How to Buy an Apartment Step by Step – A guide for buyers.
- Why Work with a Real Estate Agency – How experienced agents can simplify the process of purchasing a property in Warsaw.
Have questions? Our experts are here to help! Contact us today.
