The latest figures show that, for the third year running, 2011 saw a fall in the price of apartments in Kraków.
According to the National Real Estate Market (Krajowy Rynek Nieruchomości), the average price per square metre in the city at the end of 2011 was PLN 7,176. This compares to 7,371 at the beginning of the year. Prices also fell faster in 2011 (2.5 per cent overall) than in 2010 (1.7 per cent). KRN blamed this decrease in prices on uncertainty in the currency and credit markets, leading to reduced financial circumstances among potential homebuyers and a drop in demand.
The three districts in which sellers could ask the highest prices were Zwierzyniec (PLN 8,259 per square metre), Stare Miasto (PLN 7,959), and Bronowice (PLN 7,864). At the bottom of the list were Bieżanów-Prokocim (PLN 5,749), Nowa Huta (PLN 5,748), and Podgórze Duchackie (PLN 5,662). Most apartments for sale (12 per cent) were offered in Czyżyny, at an average price of PLN 6,177 per square metre.
KRN noted that the worsening situation in the sales market had improved matters in the rental sector – but only for smaller apartments. The KRN report said that this was due to more people looking to rent, rather than buy, and more owners looking to lease their properties as they awaited improvements in the sales sector.
A studio apartment cost on average PLN 1,063 per month, while a two-room place was PLN 1,536. For a three-room apartment, the rental was PLN 2,147 per month on average. For four rooms and more, this rose to PLN 2,437 per month.
The most expensive two-room apartments were in Stare Miasto, costing an average of PLN 1,843 per month. The cheapest were in Bieżanów-Prokocim, at PLN 1,232.
Download the full KRN report.
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