Rental prices in Poland are climbing for yet another quarter. According to the latest report by Rankomat.pl and Rentier.io, students in cities like Toruń should brace for a steep increase in rental costs in the upcoming academic year. In Toruń, rents for small apartments (up to 30 m²) rose by nearly 15% year-on-year, while large apartments (over 60 m²) saw a jump of almost 20%. Despite two interest rate cuts this year, renting still remains more affordable than mortgage payments for comparable properties in most cases. The largest gap is seen in Kraków, where a mortgage payment for a 50 m² apartment is PLN 1,187 higher than the rental cost.
Additionally, rental property investments are now yielding higher returns than bank deposits. This is due to falling interest rates combined with rising rental rates.
Rental Price Comparison by City and Apartment Size
The report presents quarterly data for apartments sized 30 m², 50 m², and 70 m² across 17 cities. Unsurprisingly, Warsaw tops the list as the most expensive city. Renting a 30 m² studio in the capital costs PLN 2,735 per month—about the same price you’d pay for a 70 m² apartment in Toruń or Białystok. A 50 m² unit in Warsaw rents for PLN 3,643, while a 70 m² apartment reaches nearly PLN 5,000 (PLN 4,947).
Aside from Warsaw, the most expensive cities include Gdańsk, Kraków, and Wrocław. Rents for a 30 m² unit in these cities average around PLN 2,400, while 50 m² apartments go for approximately PLN 3,100. For 70 m² units, prices vary: Gdańsk (PLN 4,025), Kraków (PLN 3,850), and Wrocław (PLN 3,700).
On the opposite end, Częstochowa ranks as the most affordable city. Renting a 30 m² flat there costs just PLN 1,386. A 50 m² unit goes for PLN 1,824, and a 70 m² apartment costs PLN 2,484.
Toruń Sees Steepest Hike in Student Rents
As students enjoy their summer holidays through August and September, many are already thinking about accommodation costs for the upcoming academic year. Unfortunately, rents are rising in most cities surveyed. The sharpest increases were seen in Toruń: nearly 20% YoY for large apartments and nearly 15% for studios. Medium-sized apartments (30–60 m²) rose by a moderate 6%—roughly in line with the national average.
In Warsaw, the largest academic hub in Poland, rent increases have been relatively mild: 4.2% for small units, 2.5% for medium ones, and just 1.6% for large apartments. Still, Warsaw remains the most expensive rental market.
Other major student cities with over 100,000 students—Kraków, Poznań, and Wrocław—saw typical rent hikes of around 5% YoY. Poznań was an outlier for large apartments, which rose by 9% YoY.
Kraków: The Toughest City for Transitioning from Renting to Owning
Many young people are particularly interested in how mortgage payments compare to rents. Thanks to recent interest rate cuts and slight declines in property prices, housing affordability has slightly improved—making the transition from renting to owning somewhat easier than it was a few months ago.
However, this improvement is still limited. In most cities surveyed, monthly mortgage payments (based on a 30-year loan with a 10% down payment) remain significantly higher than rent. Kraków leads in this disparity. Switching from a rented 30 m² apartment to owning one increases monthly costs by PLN 512. For a 50 m² apartment, the jump is PLN 1,187. In Warsaw, the difference is PLN 483 and PLN 1,066, respectively.
To close the gap between rent and mortgage payments, interest rates would need to fall below 5%. Currently, they remain above 6%.
Rental Investments Beating Bank Deposits
Further rate cuts will only make homeownership more accessible if property prices remain stable. However, cheaper mortgages often fuel property demand, which in turn drives prices up—especially if investors re-enter the market looking to buy homes for rental income.
With recent rate cuts, such investments are becoming attractive again. Rental property yields are now surpassing returns from bank deposits and bonds. Net rental yields range from 4.2% in Kraków to 5.8% in Sosnowiec. These figures account for taxes and all ownership costs, such as maintenance and insurance—which is crucial in protecting landlords against unexpected issues like floods, fires, or tenant-caused damage.
Importantly, these are net figures. In terms of comparison, they’re equivalent to gross bank deposit rates of approximately 5.2% to 7.2%. The estimates also assume full-year occupancy.
What’s Next for the Rental Market?
In summary, if interest rates continue to fall, we could see rental prices stabilize—or even decline. As more young people transition from renting to homeownership, demand for rentals may drop. At the same time, the supply of rental units could increase, as more investors see rental housing as a profitable venture.
Source: CEO.com.pl
Report by: Rankomat & Rentier.io
