An Attempt to Identify Social – Economic Factors in the Levels Of Property Prices in Chosen Cities in Poland

Abstract

Property prices vary on different local real estate markets. Even considering only the largest cities, great disproportions between average unit prices can easily be observed. This problem involves all segments of the real estate market, yet, because of the social & economic importance of housing properties, it takes on special importance on the apartment market. In Warsaw - the capital of Poland and the largest Polish city - prices exceed PLN 10,000 per 1m2 in the best locations and the average price at the end of 2016 in the entire city came to over PLN 7,500 per 1m2. At the sme time, however, average prices in other agglomerations, such as Łódź or Katowice, were equal to approx. PLN 3,500 per 1m2. It is only natural to ask what factors, especially social & economic, contribute to such considerable differences in house prices. This article addresses a group of potential factors underlying the prices of apartments, which have been studied statistically in correlation with average unit prices of apartments in chosen cities.

Keywords

• real estate market
• prices of apartments
• apartment price factors