The Pulse of Real Estate: will 2024 be the yoear of building new single-family houses?
- The purchasing power of buyers on the housing market in 2023 improved slightly compared to 2022. Taking into account the differences in salary levels in various industries, we can conclude that lawyers, IT specialists and pharmacists have the highest purchasing power. Assuming a certain flexibility in choosing the location of one's apartment, various remote work opportunities in individual professions are also important for the purchasing power on the housing market.
- Apartment sales in the second half of 2023 were similar to 2021, but the level of interest rates was much higher and the purchasing power of buyers was clearly lower in that period. High sales are the result of large sales of loans under the loan installment subsidy program ("Safe Credit 2%").
- The terminated "Safe Credit 2%" program is to be replaced by a new support program, on a smaller scale, which will be more beneficial for multi-person households and less beneficial for singles.
- We estimate that 2024 may be a year of great motivation to start building a single-family house. This may be motivated by the changing regulations on spatial planning, in particular changes in issuing decisions on development conditions, as well as the stabilization of prices of construction materials, EU environmental policy and the mentioned benefits for multi-person households planned in the new loan subsidy program.
Link to the entire report in Polish:
Puls Nieruchomości: 2024 rokiem domów? | Centrum Analiz PKO BP