Housing prices in Poland have fallen on both the primary and secondary markets for the first time in over 12 years, new data from the National Bank of Poland (NBP) show. Previously, Poland saw some of the fastest-rising property prices anywhere in Europe.
The NBP data show that, in the fourth quarter of 2025, average transaction prices per square metre in seven major cities dropped by 0.8% YoY in the primary market, meaning for newly built properties, and 0.4% on the secondary market, for properties being resold.
That was the first time since 2014 that primary prices recorded an annual drop and the first time since 2016 for secondary prices. Both markets together have not seen a simultaneous decline since the second quarter of 2013.
For much of the period in between, prices rose dramatically in Poland, bolstered by the country’s rapidly growing economy and a popular state-backed mortgage subsidy scheme, as well as a lack of new supply. In 2023 and 2024, Poland recorded the EU’s largest increases in housing prices.
Analysts at Bank Pekao noted that the recent decline was actually even more significant in terms of real, inflation-adjusted prices. In the second half of last year, housing prices fell by 3-3.5% YoY in real terms, while affordability – measured against wages – improved for a sixth consecutive quarter.
“The square footage of an apartment that can be purchased for the average salary increased by 11-12% (depending on the market) and in the fourth quarter of 2025 was the highest since 2018,” the analysts wrote.
They added that housing availability also depended on the availability and cost of credit. Taking these factors into account, they note only a slight improvement due to still-elevated interest rates compared with 2018-2019, but said they expected affordability to increase further as rates fall and lending standards ease.
According to the NBP data, in the fourth quarter of 2025, the average transaction price of new apartments in the seven large cities studied – Warsaw, Krakow, Wroclaw, Lodz, Poznan, Gdansk and Gdynia – stood at 14,251 zloty (EUR 3,375) per square metre.
Prices were highest in Warsaw at 16,583 zloty per square metre, and lowest in Lodz at 9,708 zloty. Year-on-year, primary market prices fell the most in Lodz, down by 2.9%, while Gdynia recorded the fastest growth at 11.9%.
On the secondary market, the average price in the seven cities was 13,479 zloty per square metre, including 16,750 zloty in Warsaw. The lowest secondary market price was again in Lodz, at 8,038 zloty per square metre.
In contrast to the primary market, secondary market prices fell fastest in Gdynia, down by 5.9% YoY, while Lodz saw the strongest increase, also 5.9%.
Despite the drop in prices, Pekao’s analysts note that the problem of an undersupply of new properties still persists. They believe that prices will rebound and could be up by 5% YoY until the end of 2026. (Notes from Poland)