Poland

Poland Map

PROPERTIES & RESIDENCE

Pros of obtaining a property in Poland
Purchasing a Polish property is definitely a solid investment. Their economy has been doing exceptionally well. It has grown by over 3% each year in the last 8 years. Unemployment is at a very low level of 3.5%. National debt is relatively low compared to other EU countries. GDP per capita is about USD 16,000 per year and it's on a dynamic rise. It is still one of the fastest growing economies in Europe. A lot of corporations have moved their back offices into Poland.
Poland prides itself on a highly educated society. Most Polish people are very literate and speak foreign languages.

There are hundreds of flights in and out of Polish cities, including low cost airlines which fly to all cities in Poland several times a day.
Major cities are not the only good opportunities- investing in real estate on lakesides, in the mountains or on the coast also makes a lot of sense.
Prices of properties are quite low but the market has been robust and is going up steadily. Prices range from EUR 2,000-5,000 in major cities.
Rental yield is very good- 5-6% annually. Please note that Lee & Bronski will suggest investment apartments with much higher yield.

Low transaction costs: commission to real estate agents, 2% Civil Transaction Tax; notary fees around 1.5-2% (the more expensive the property the lower the fee); 23% VAT for new properties- like buying from a developer.

Residence permits based on real estate ownership
Residence cards are issued to people starting up businesses. The entrepreneur has to demonstrate that they can make an annual income of at least EUR 15,000 to be eligible for the residence permit. Business can be related to property investment, management etc. Thousands of foreign companies have already entered this line of business.

Residence permits based on new company formation
Residence cards are issued to people starting up businesses. The entrepreneur has to demonstrate that they can make an annual income of at least EUR 15,000 to be eligible for the residence permit. Business can be related to property investment, management etc. Thousands of foreign companies have already entered this line of business.

Taxes & Rental income tax
Property income tax – starting at 8.5%.
Capital Gains Tax - 19% and if you keep the property for 5 years you are exempt from paying it.
VAT - 23%, Corporate Tax - 20%, Income Tax - 19 or 32%. Social security tax varies and is around 35% though there are exemptions.

Other residence types in Poland
There are various residence types- An education OR a spouse visa are only some examples and Lee & Bronski will find a solution tailored to your needs. There is a variety of reasons to reside in Poland and Lee & Bronski may assist you in each case.

Which residence permits offer a path to permanent residency and citizenship?
A passport can be APPLIED for after 5 years of permanent residence; renting or owning an apartment as well as earning an income are required. A language test in Polish will have to be passed.
A Polish passport allows visa-free travels to the entire EU, the USA and Canada.

Restrictions
Foreigners are charged a worldwide income tax if they stay in Poland for more than 183 days a year. Becoming a fiscal resident may not be the best way to take, unless you come from another EU State.
Every entrepreneur is obliged to pay for their own and their employees’ social insurance. The insurance guarantees free health services for the insured person, their spouse and children.

The country's strong position on the map of business-friendly places is reflected in actual business transactions and investments. In 2019, Poland was also ranked highest in the CEE region and third in Europe in terms of greenfield investment value - USD 21.8 billion. It is no coincidence that at the end of 2020 Poland is the third preferred location in Europe for foreign investments, and despite the pandemic, we have nearly 200 foreign investments in this year's portfolio with a total record value of EUR 10 billion!

>Growth And Business Advantages

In 2020, Poland’s GDP contracted by “only” 3.5%, significantly less than the OECD average of 5.5%. In the UK, this figure stood at a staggering 9.9%. While unemployment rates have soared across Europe, the official Polish figures have hardly budged, and are the lowest in the EU according to the latest Eurostat figures.

We should keep in mind that the Polish economy was also performing very well before the pandemic. It had been forecast to grow by 3.1% in 2020, according to the IMF’s World Economic Outlook from October 2019. However, the Polish economy’s drop to 6.6 percentage points below the expected growth figure is still a milder slowdown than in many other countries. For instance, in the case of the Czech Republic it was 8.1 p.p. (from +2.6% to -5.5%), Hungary 8.3 p.p. (from +3.3% to -5%), the UK 11.4 p.p. (from +1.4% to -10%), and Spain almost 13 p.p. (from +1.8% to -11%). As much as 83% CEOs in the world and 98% of CEOs from Poland positively assess the prospects for the development of their activities in the next 12 months. At the same time, 65% CEOs of global companies perceive technological breakthroughs as an opportunity for development, not a threat to their business, while for Poland this percentage is as high as 96% - results from the latest research conducted by the consulting company KPMG among nearly 1,300 CEOs worldwide, and a similar study conducted among CEOs in Poland.

REAL ESTATE TRENDS

Real estate prices have been rising for months. Secondary market prices are rising literally everywhere and for any type of property. However, the largest increases are in the area of plots and detached houses. Prices of apartments increased the most in Gdynia (8.3%), Gorzów (7.6%) and Sopot (6.1%). In Poznań, the prices of flats increased by 4.1% on average, while in Warsaw - by 3.8%. "Own house at any cost" is the right way to explain instant swipe of detached compounds off the market.

Read More ...

-

-

Statistics

Capital City
Warsaw
Currency
PLN
GDP Growth
4.6%
GDP Per Capita
€15,000
Annual Inflation
3.9%
Unemployment
3.5%
Avg net salary
€1,260
Avg salary growth
9.8%
Area (km²)
315000
Border states
DE, CZ, SK, UA, BY, LT, RU
Residence

via Company formation

For Sale
Miniature
€566,500
For Sale
Miniature
€155,000
For Sale
Miniature
€223,000
For Sale
Miniature
€240,000
For Sale
Miniature
€170,000
For Sale
Miniature
€357,000
For Sale
Miniature
€273,000
For Sale
Miniature
€100,000
For Sale
Miniature
€600,000

Greece > Halkidiki > Pallini — Villa 150 m²

Greece > Halkidiki > Pallini
For Sale
Miniature
€610,000
For Sale
Miniature
€430,000
For Sale
Miniature
€211,000
For Sale
Miniature
€72,000
For Sale
Miniature
€195,000
For Sale
Miniature
€200,000
For Sale
Miniature
€499,000
For Sale
Miniature
€610,000
For Sale
Miniature
€127,000
For Sale
Miniature
€169,000
For Sale
Miniature
€550,000
For Sale
Miniature
€114,000
For Sale
Miniature
€305,544
For Sale
Miniature
€296,945
For Sale
Miniature
€235,000
For Sale
Miniature
€496,000
For Sale
Miniature
€410,000
For Sale
Miniature
€61,000
For Sale
Miniature
€302,500
For Sale
Miniature
€261,800
For Sale
Miniature
€700,000
For Sale
Miniature
€284,900
For Sale
Miniature
€260,000
For Sale
Miniature
€577,000
For Sale
Miniature
€134,500
For Sale
Miniature
€247,000
For Sale
Miniature
€671,000
For Sale
Miniature
€410,000
For Sale
Miniature
€127,000
l