At the end of August 2011 the offer of new flats in the area of the seven biggest residential markets in Poland reached 47.7 thousand flats. Traditionally, the biggest number of dwellings was offered in Warsaw – nearly 18.2 thousand units. Very important markets are still Cracow (almost 7.5 thousand flats on offer) and Wrocław (over 7.1 thousand residential premises).

The whole Tri-City (Gdańsk, Gdynia and Sopot are here treated as a single market) comes close to 6.7 thousand flats on offer (with nearly 5.1 thousand units available for sale being offered in Gdańsk). Poznań is a much smaller market with the offer at over 4.2 thousand dwellings. In Łódź and Katowice at the end of August real-estate developers offered nearly 2.9 thousand and over 1.1 thousand residential premises for sale, respectively.

Offer of new flats at the end of August 2011 on each market and the change in the offer of new flats between August 2011 and May 2011

When comparing the supply of new flats in August and May, the biggest rise can be observed in Katowice (+28.5%) and in Wrocław (+16.5). In Cracow, Tri-City and Łódź the supply increased by +4.9%, +4.5% and 4.4%, respectively. Also, in all other cities in the group a small rise in the offer of new flats was recorded: Poznań +2.1% and Warsaw +1.6%. This shows that in the presented period from this year’s May to August an increase in the offer of new flats was recorded in all seven biggest markets.

The biggest rise was registered in Katowice. This is the smallest market of all those enumerated above and the improvement of the situation on this market took place later than in all other cities. Besides this, the process of selling investments started a few years ago was very long. The second market in terms of the rise in supply is Wrocław. In the area of this city the economy segment of residential construction has been thriving in Krzyki and Fabryczna, two of its districts. The smallest change was recorded in Warsaw, but this should not surprise anyone. Being the leading market, Warsaw reacted very quickly to the improvement of the situation and since autumn 2010 we have been observing an increased real-estate developers’ activity here.

On all markets enumerated above the total offer of flats at the end of August was about 47.7 thousand flats, compared to 45.5 thousand at the end of May. The registered incline was of 4.7%. Clients have bigger and bigger choice of new flats; a lot of investments are to be completed soon so the range of flats in completed investments will be wider then. In such a situation, even if real-estate developers do not reduce their prices, in many cases they will be willing to agree on negotiating the price and will offer discounts. They will be much more careful when launching new projects on the market.