PKO expert: a housing boom in the countryside can expire

2025-06-13 18:22
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2025-06-13 18:22
In recent years, the dynamics of purchasing power and credit capacity greater than in large cities has translated into a higher demand for new apartments in smaller cities and villages, but this trend will be in the reverse – said Piotr Bujak, chief economist and director of the PKO BP Economic Analysis Department.


“It seems that the trend conhabbing the income of households in smaller urban or rural centers will expire. In this respect, the proportions of demand will even out in favor of large cities. An additional trend – everyone knows what demographic projections are – Poland of smaller cities, rural areas will deplete, so even if the income due to state policy will grow more, it will cause that there will be more than The housing resource in smaller centers and in rural areas will be smaller.
As he explained, in recent years a lot of factors have been responsible for the increase in demand for new development production in smaller cities or villages.
“The trend can stay for some time, because the income of households in smaller towns or in rural areas is growing harder than in large cities. 7-8 years ago this was happening thanks to the 500+ program, in the previous two years due to the high increase in the minimum wage (…) and in smaller urban or rural centers, purchasing strength and creditworthiness increased more than in large cities than in large cities and only in large cities The demand for apartments was revealed.
According to the main economist of PKO BP, there may be fewer such factors in the future.
“Maybe doubling a tax -free amount will work in this way, perhaps a re -political change, which the result of the presidential election heralds and again there will be more emphasis on social programs, but it will not be quite possible, looking at the condition of public finances,” he said.
“In smaller centers, the quality of the housing resource is lower, so modernization and reproductive demand may be stronger there,” he added. (PAP Biznes)
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