In March, developers began building more than 17.8 thousand apartments. This is roughly 63 percent more than a year ago, according to data from the Central Bureau of Statistics. Bartosz Turek, senior analyst at HRE Investments, noted that in the entire local building history, there has never been a month when developers start building many buildings.
The expert wrote, citing data published by the Central Statistical Office, in March of this year. It broke records in terms of the number of construction projects initiated by developers, units commissioned, or planned projects.
We read in the caption, “Just one year after the outbreak of the epidemic, the housing boom was the best ever.” Only in March of this year. The developers began building more than 17.8 thousand square meters. Apartments, or nearly 63 percent, for more than a year.
Bartosz Turek noted that the boom was caused by increased demand. There is no shortage of willing people due to the cheapest loans in history or virtually interest-free deposits that encourage you to look for more profitable investments. The analyst also pointed to the effect of increasing inflation, which makes many people want to protect their capital from a loss of value by investing in housing, considering it a safe haven.
Turek added that all of this would not have been possible if the decent situation in the labor market had not been preserved despite the unfavorable conditions. “Demand is so great that we hear of price hikes so often. Unfortunately, at the moment we have to rely on the remaining statistics based on supply data, because we will see accurate summaries based on verification acts only in a few months’ time,” – he wrote.
The analyst noted that the month of March also recorded a record in terms of the number of building permits issued. In this month alone, the developers received decisions that allowed them to build approximately 23.3 thousand square meters. Apartments, or 68% more than a year ago
He noted that more permits were only issued to developers in December 2020. At that time, it was 25.3K. Allow. He added that the record-breaking month of March “is in line with the five-month series of data on a very large number of building permits issued.”
Bartosz Turek writes that in March developers have completed construction of approximately 10.8 thousand. New buildings. It is recognized that 5.5 percent. Less than a year ago, but – as he pointed out – “we are also dealing with the best result in March in history.”
Construction to meet special needs
As he noted, the number of homes that Poles are building for their own needs is also increasing. In March alone, construction of nearly 12,000 square meters began. Homes, which is more than 62 percent. More than a year ago. The analyst added that the dynamic growth is partly due to the lower base effect, but – as we have read – the latest data shows that March 2021 was a period when Poles began building the largest number of homes in history to meet their specific needs. “Only the following months will show whether we are really dealing with the penetration and widespread realization of home dreams outside the city, or rather, in the face of an epidemic of lost momentum, the Poles will give up on their dreams of going out,” – he wrote.
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