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Is it Better to Rent or Buy a Property in Poland? Analysis of the Costs and Benefits from 2006 to 2022

When analyzing the profitability of both solutions, website experts took into account transaction costs, i.e. court fees, notary fees, agency fees and tax (about 6 percent of the price) related to the purchase of an apartment. They also assumed an additional expense for the need to refresh the premises, in the amount of 10 percent. its prices. In addition, there is interest on the loan taken for the purchase of real estate.

When renting, rents are the cost (without administrative fees and those for utilities). “In addition, it is clear that the buyer of the apartment has to allocate much more money for the own contribution to the loan than the tenant for the deposit. Therefore, in our calculations, we also include interest on money that, as tenants, we did not spend on our own contribution to the loan, but placed it on a bank deposit. – we read in the material of Bartosz Turk from HREIT.


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HREIT

As NBP data necessary for the calculations have been available since the third quarter of 2006, this date was adopted as the moment of purchasing a flat or making a decision to rent a property. At that time, it was enough to spend about PLN 312,000 to buy an apartment in the capital. zloty. If you add 16 per cent. of this amount for handling the transaction (tax, court fees, notary public and agent) and refreshing the premises, the total cost of purchase would additionally increase by almost PLN 50,000. zloty.

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